BEST Onboarding Essentials

BEST Onboarding Essentials – Understanding L'Oréal’s Core Processes

Welcome to the BEST Onboarding Essentials course, designed for professionals in Handel i zarządzanie; Zasoby ludzkie. This module explores the key concepts behind L'Oréal’s BEST framework, its mindset for continuous improvement, financial scope, reporting structures, internal control philosophy, performance metrics, and the tools used by the Travel & Expenses (T&E) team. Mastering these topics will help you integrate quickly, contribute effectively, and support L'Oréal’s commitment to excellence.

1. Decoding the BEST Acronym

The first step in any onboarding journey is to understand the language of the organization. At L'Oréal, BEST stands for Business Expertise Services & Technology. This reflects a strategic blend of deep business knowledge, service orientation, and cutting‑edge technology that drives value across the company.

• Business Expertise: Deep industry insight and functional know‑how.
• Services: Delivery of standardized, high‑quality support to internal stakeholders.
• Technology: Leveraging digital tools to automate, analyse, and optimise processes.

Understanding this acronym helps you align your daily activities with the broader mission of delivering excellence through expertise, service, and technology.

2. The BEST Mindset – Lean for Continuous Process Improvement

L'Oréal promotes a Lean mindset within the BEST community. Lean focuses on eliminating waste, streamlining workflows, and continuously improving value delivery. Key Lean principles include:

• Value Stream Mapping: Visualising end‑to‑end processes to identify bottlenecks.
• Kaizen: Small, incremental improvements that accumulate over time.
• 5S: Organising the workplace for efficiency and safety.

By adopting Lean, BEST teams can respond faster to market changes, reduce cycle times, and enhance stakeholder satisfaction.

3. Financial Scope – Managing Multiple Currencies

Within the C2A (Customer to Account) and SG&A (Sales, General & Administrative) scope, BEST manages 11 different currencies. This multi‑currency environment requires robust treasury management, accurate foreign‑exchange rate application, and consistent reporting standards.

Key considerations for handling multiple currencies include:

• Maintaining a centralised currency master file.
• Automating conversion calculations to minimise manual errors.
• Ensuring compliance with local accounting regulations while consolidating results for global reporting.

4. Reporting Cadence – Business Units in Period Closing

During each period closing, the BEST Record‑to‑Report (R2R) function reports on 65 Business Units. This extensive reporting landscape demands precise data collection, validation, and timely submission to meet internal and external deadlines.

Effective period‑closing practices include:

• Standardised data templates for each Business Unit.
• Automated reconciliation tools that flag discrepancies early.
• Clear communication channels between local finance teams and the central R2R hub.

5. Internal Control – “Everyone’s Business”

L'Oréal emphasises that Internal Control is everybody’s business to foster a culture of compliance, reliability, and efficiency. This philosophy ensures that every employee, regardless of role, contributes to safeguarding assets, maintaining data integrity, and supporting strategic decision‑making.

Core elements of this approach are:

• Compliance: Adhering to legal and regulatory standards.
• Reliability: Producing trustworthy financial and operational information.
• Efficiency: Optimising processes to reduce waste and improve speed.

By embedding internal control into daily routines, L'Oréal reduces risk and builds stakeholder confidence.

6. Performance Metric – Paid On Time (POT) Achievement

The I2P (Invoice to Pay) team achieved a remarkable 95% Paid On Time (POT) result at the end of 2025. POT measures the proportion of invoices settled within agreed payment terms, reflecting the effectiveness of cash‑flow management and supplier relationships.

Strategies that contributed to this success include:

• Implementing automated invoice matching and approval workflows.
• Leveraging predictive analytics to forecast cash requirements.
• Establishing clear service‑level agreements (SLAs) with suppliers.

Maintaining high POT rates supports L'Oréal’s reputation as a reliable partner and helps secure favourable credit terms.

7. Travel & Expenses (T&E) Team – Scope and Tools

The T&E team plays a critical role in managing employee travel, accommodation, and related expenses. Two important aspects are:

• Regional Scope: The APAC region falls outside the T&E team’s current scope, meaning other local teams handle expense compliance there.
• Compliance Tool: The team uses Concur to verify expense claims before reimbursement. Concur automates policy checks, flags non‑compliant items, and streamlines the approval process.

Understanding the toolset and regional responsibilities ensures smooth coordination and reduces processing delays.

8. Integrating Knowledge – Practical Tips for New Joiners

To translate this information into everyday performance, consider the following actionable steps:

• Familiarise yourself with BEST terminology: Keep a quick‑reference guide of acronyms and their meanings.
• Adopt a Lean mindset: Look for one small improvement each week and document the impact.
• Stay aware of currency handling: Use the central currency master file and double‑check conversion rates before posting.
• Participate in period‑closing activities: Review the checklist for your Business Unit and submit data ahead of deadlines.
• Embed internal control: Ask yourself, “Does this action comply with policy, add reliability, and improve efficiency?” before proceeding.
• Monitor POT performance: Track your invoice processing times and aim to meet or exceed the 95% benchmark.
• Leverage Concur effectively: Upload receipts promptly, ensure expense categories match policy, and resolve any flagged issues quickly.

By consistently applying these practices, you will contribute to L'Oréal’s culture of excellence and position yourself as a valuable member of the BEST community.

9. Frequently Asked Questions (FAQ)

• Q: What does BEST stand for?
  A: Business Expertise Services & Technology.
• Q: Which mindset drives continuous improvement?
  A: The Lean mindset.
• Q: How many currencies are managed in C2A and SG&A?
  A: Eleven (11) currencies.
• Q: How many Business Units are reported during period closing?
  A: Sixty‑five (65) Business Units.
• Q: Why is internal control emphasized?
  A: To develop activity through compliance, reliability, and efficiency.
• Q: What POT result did the I2P team achieve in 2025?
  A: 95% Paid On Time.
• Q: Which region is outside the T&E scope?
  A: APAC.
• Q: Which tool verifies expense compliance?
  A: Concur.

10. Next Steps – Continuing Your Learning Journey

After completing this module, deepen your expertise by:

• Joining L'Oréal’s internal webinars on Lean methodology.
• Participating in cross‑functional workshops that showcase currency management best practices.
• Shadowing a senior R2R analyst during a period‑closing cycle.
• Completing the internal control certification program.
• Exploring advanced Concur training to master expense policy configuration.

Continuous learning not only enhances your performance but also aligns you with L'Oréal’s strategic vision of innovation, sustainability, and market leadership.