What are the risks and rewards of applying new technologies to our company’s financial processes?” In a recent webinar sponsored by Planful, several experts discussed how cloud-based EPM platforms are helping organizations transform critical Finance processes – namely budgeting, forecasting, consolidation, and reporting.
As all organizations grapple with how to align enterprise-wide goals and objectives amidst changing market conditions, many are seeing the value of enterprise performance management (EPM) platforms in improving alignment. EPM platforms help organizations link their strategies and goals to their plans and execution by integrating key financial management processes:
So how are organizations doing with EPM in 2017? To get a sense of this, Planful sponsored a recent CFO survey with Argyle. When asked, “What are your 3 biggest performance management challenges in 2017?” here were the responses:
Then we drilled into some of these topics in more detail. When asked, “What are your 3 biggest challenges in budgeting, planning, and forecasting?” the top responses included the following:
We asked the same question regarding the 3 biggest challenges in financial close and reporting, and found the following:
In the financial close and reporting area, there is clearly more pain in internal management reporting than in external stakeholder reporting.
Finally, we asked what new technologies CFOs are leveraging in Finance. Here are the top responses:
It was great to see such strong support for cloud applications. Finance is clearly becoming more comfortable with the cloud. It was also encouraging to see the growing use of mobile technology.
While it was encouraging to see cloud-based applications usage increasing in Finance, our experience in the market, as well as other surveys, reveal that adoption of cloud-based applications for planning, consolidation, and reporting is at roughly 25% and growing rapidly.
Why are organizations replacing spreadsheets and legacy applications and moving to the cloud? There are many reasons, including speed of deployment, faster innovation, lower cost of ownership, and autonomy from IT. But a big driver is also the efficiency gains on key processes, such as budgeting and planning, financial consolidation, and reporting.
For example, reducing reliance on spreadsheets and moving to cloud-based applications enable organizations to automate manual steps, accelerate Finance processes, and improve alignment between Finance and Operations by gaining more participation, ownership, and accountability from line managers regarding their plans and forecasts.
The last segment of the webinar featured a panel discussion with Tim Brown – CFO at Motus, and Ben Tang – VP of Finance and Operations at Planful. During the panel, both executives highlighted their performance management challenges and how they have leveraged cloud-based EPM applications to address these challenges and streamline their Finance processes.
Here are some of the key benefits they cited from using a cloud-based EPM platform:
They also cited the benefits they achieved in improving alignment between Finance and Operations by empowering managers with direct access to information, gaining more accountability and ownership for plans and forecasts.
In summary, today’s market requires a dynamic approach to planning, consolidation, and reporting. Many companies are still relying on spreadsheets, manual processes, or legacy applications, and as a result, they struggle with long, tedious Finance processes. Leading companies are doing the following:
This leads to better business agility and overall competitiveness. To learn more, watch the webinar replay “Unlock the Secrets to Finance Transformation with Cloud EPM.”
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