From Hours to Minutes: How Speeda Transformed Benchmarking for a Malaysian Tax Firm

｜Introduction

This edition of Speeda’s User Voice features a Malaysian transfer pricing firm that plays a crucial role in providing transfer pricing services to clients across various industries. Due to the increasing complexity of global taxation and the necessity for precise data, this firm relies on Speeda to streamline its research process and enhance its benchmarking capabilities.

The firm’s Tax Service Team is responsible for conducting benchmarking studies and gathering industry data to ensure compliance with regulatory requirements. The transfer pricing team primarily conducts studies that involve identifying comparable companies to establish fair market valuations. 

The total team size, including management, remains under 10 members.The scope of their work is wide-ranging, covering sectors such as manufacturing, metal stamping, medical operations, and trading, which requires access to a broad spectrum of industry information.

Arduous Benchmarking and Manual Check Dragged Workflow

Before integrating Speeda, the firm faced significant efficiency challenges in their research process. Professionals previously relied on manual searches using Google or publicly available databases, which made conducting a benchmarking study highly time-consuming.

The firm also encounters several challenges inherent in specialised transfer pricing work:

1. Niche Classifications: They occasionally face difficulties in identifying niche industry classifications or locating specific companies relevant to a study. Some sectors demand in-depth research to gather sufficient benchmarking data for accurate analysis.
2. Data Validation Gaps: While extensive databases are utilized, roughly 20% of the companies they search for lack a dedicated website. This requires supplementing their research with financial data from local sources, such as CTOS and the Companies Commission of Malaysia (SSM), to ensure accurate and comprehensive reports.

Speeda as the Must-Have Accelerator to Research and Benchmarking 

The firm uses Speeda primarily for two key purposes: Company Benchmarking (identifying comparable companies based on financial indicators and industry classification) and Industry Analysis (understanding market trends and industry-specific data). Speeda has become an essential tool, particularly in the early stages of new client engagements.

1. Enhancing Efficiency and Benchmarking: The most significant benefit observed is the increase in efficiency. Previously time-consuming research is now streamlined, allowing the team to complete initial research in just a few hours. With Speeda, the team can quickly select a keyword and filter companies from the database, minimizing the time investment required for data extraction and analysis. The efficiency gained allows the team to allocate more time to refining their analysis and preparing reports.
   For benchmarking, the team uses Speeda to gather necessary information and generate lists of comparable companies. They can efficiently filter and select the most relevant companies by utilizing keyword searches, industry codes (such as local Standard Industrial Classification – SIC), and other criteria. Speeda’s global coverage enables the firm to quickly identify and compare companies across multiple jurisdictions.
2. Overcoming Research Obstacles: When the team faces obstacles, such as difficulty finding an appropriate local SIC classification for a niche industry like “Aerotech,” they leverage Speeda’s ‘Ask the Consultant’ feature. This feature provides tailored support, ensuring they receive a list of comparable companies that meet their criteria, thus helping them maintain the quality and accuracy of their benchmarking reports.
3. Supporting Industry Analysis: The platform provides access to industry reports that the team reviews as part of their research. The firm also utilises Speeda’s graphics and data sources to enhance the quality of reports and presentations they prepare for clients.
4. Ease of Adoption: The platform is described as user-friendly and intuitive. New staff members found that they could quickly adapt to the platform after completing onboarding training, noting that the main functions (Company and Industry searches) are straightforward for extracting the necessary data.

Transfer Opportunities Beyond Southeast Asia

The team’s primary market is currently the Asia-Pacific region, covering countries such as Australia, Japan, and Thailand. As part of their future initiatives, the firm is focused on expanding the market to other emerging regions in APAC. As they grow and expand into these regional markets, the need for broader database coverage becomes essential. Access to accurate and comprehensive data is recognized as more critical than ever, ensuring that Speeda remains a crucial tool for their research and benchmarking efforts.

｜Let Speeda Accelerate Your Transfer Pricing Projects

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