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Sharper MTM accuracy and stronger control through Allegro Horizon automation

90% Manual Effort Reduction in Valuation and Inventory Operations

Performance Challenge

A growing energy and commodities business struggled with valuation and inventory processes built on manual simulations and scattered workarounds. Daily reliance on what-if trades to estimate stock movements caused recurring reconciliation issues and reduced confidence in reported results. Missing forward curve configurations limited true Mark to Market(MTM) visibility, leaving leadership without a clear view of exposure or unrealized gains and losses. Complex deal entry routines, inconsistent internal transfers, and limited traceability across transformation steps added effort and increased audit risk. The business needed a system-led model that delivered accurate valuation, timely MTM insight, and a unified financial view.

E-CTRM-VALUE-CREED-2

KEY RESULTS

90%

 Manual Effort Reduced

Major drop in trade adjustments and reconciliations, lowering operational risk.

100%

P&L Accuracy Improved

 Physical inventory and logistics fully reflected in daily MTM valuation.

20–30%

Processing Time Saved

 Quicker trade entry and internal transfers, improving workflow efficiency.

A Strategic Approach to Project Success

Value Creed delivered a structured valuation and inventory transformation for an organization managing complex energy supply chains. The work focused on eliminating long-standing constraints by moving from manual simulations to fully native, system-driven workflows in Allegro Horizon. By anchoring the design in real process needs and aligning with accounting, risk, and logistics teams, the transition improved data integrity and removed recurring reconciliation effort.

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Comprehensive Current State Assessment

Workshops across trading, risk, operations, and finance documented manual dependencies, inconsistent valuation practices, and limited forward curve readiness. These findings guided the definition of a target model that supported accurate MTM valuation and reliable inventory visibility.

Valuation and Inventory Model Enhancement

A redesigned structure replaced what if simulations with automated, logistics aware valuation logic. Forward curve mapping was rationalized, &dual WACOG plus MTM views were enabled to support daily P&L alignment and improved exposure clarity.

Process Automation and Template Standardization

Deal capture templates, interbook automation, and rule based workflows were implemented to reduce manual steps, shorten processing cycles, and stabilize operational throughput. This ensured uniformity across business units while lowering dependency on individual teams.

Auditability and Controls Strengthening

Position trails and transformation logic were made fully traceable, supporting financial governance, internal controls, and compliance obligations. This improved oversight across valuation and movement workflows.

Structured Evaluation and Stakeholder Alignment

Design decisions, functional validation, and cross functional reviews ensured alignment across trading, risk, finance, and operations. Stakeholder feedback shaped refinements and confirmed readiness for adoption.

Final Enablement and Advisory Outcomes

The project concluded with detailed documentation, evaluation findings, and recommendations that reflected system behavior, business alignment, and operational improvements. Leadership gained clear insight into solution benefits and long term scalability.

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Our advisory services will guide your operations and help you achieve your vision, considering all stakeholders. With extensive lifecycle, functional, and technical expertise, our experienced team delivers frameworks and guidance for building reliable and scalable commodity trading businesses.

Key Takeaways

Value Creed guided the organization through a targeted valuation and inventory transformation that replaced manual simulations with system led, automated workflows inside Allegro Horizon. The engagement strengthened financial accuracy, unified operational and risk reporting, and restored daily MTM visibility by rebuilding core valuation logic and forward curve readiness. Automated deal capture, standardized interbook processes, and clearly traceable transformation paths reduced operational effort while improving control and audit alignment. With reconciled data, faster processing cycles, and a fully integrated valuation model, the business is now positioned for scalable growth, stronger decision making, and sustained operational efficiency.

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