Weitere ähnliche Inhalte Ähnlich wie Optimize Financial Processes and Systems for Better Business Performance (20) Kürzlich hochgeladen (20) Optimize Financial Processes and Systems for Better Business Performance1. Today’s Agenda
Optimize Financial Processes and Systems
for Better Business Performance
Kelly Battles Paul Hamerman
CFO VP, Principal Analyst
Host Analytics, Inc. Forrester Research Inc.
© Host Analytics, Inc. 2010 Company Confidential
2. AGENDA
• Welcome & Introduction (10 minutes)
• Featured Speaker (35 minutes)
Paul Hamerman, VP Principal Analyst, Forrester Research Inc.
• Q&A (15 minutes)
Register! Three Part Webinar Series
Part I: TODAY - April 26, 2012 at 10:00PT
Optimize Financial Processes and Systems for Better
Business Performance
Part II: May 29, 2012 at 11:00PT
Unlocking the Value of Dynamic Financial Planning
Part III: June 14, 2012 at 10:00PT
Financial Consolidation & Reporting: Optimization Across the Enterprise
2
© Host Analytics, Inc. 2010 Company Confidential
3. Host Analytics at a Glance
The Only Complete and Integrated Corporate Performance Management (CPM) Suite in the Cloud
• Integrated CPM Suite • Cloud/SaaS Delivery Model • World-class support and
Budgeting Low Total Cost of services
Consolidations Ownership • Most innovative products e.g.
Dashboards & Scorecards Fast time to value/ ROI Executive Report Manager
Simpler implementations Decision Hub
Internal & External Reporting
SEC Compliance
© Host Analytics, Inc. 2010 Company Confidential
4. FEATURED SPEAKER
Paul Hamerman
VP Principal Analyst
Forrester Research Inc.
© Host Analytics, Inc. 2010 Company Confidential
5. Optimize Financial Processes And Systems
For Better Business Performance
Paul Hamerman, Vice President and Principal Analyst, Forrester
Research
April 26, 2012
5 © 2009 Forrester Research, Inc. Reproduction Prohibited
2011
6. Agenda
Trends and challenges in financial management
processes and technology
Aligning financial processes and information across time
dimensions to optimize business value
Best practices in achieving better business performance
Technology’s role in optimizing financial business processes
Recommendations
6 © 2011 Forrester Research, Inc. Reproduction Prohibited
7. Technology enables finance professionals to
improve efficiency, controls, and compliance
throughout the entire lifecycle of financial
processes.
7 © 2011 Forrester Research, Inc. Reproduction Prohibited
8. Financial business process challenges
Fragmented and inflexible transactional systems
Lengthy process to close the books
– Complex procedures and batch interfaces
Increasing compliance burdens (e.g., SOX, XBRL, IFRS)
An unstable and dynamic global economy complicates planning
and forecasting efforts
Labor-intensive efforts to assemble external financial reporting and
regulatory filings
Giving senior executives relevant information on financial and
business performance at the right time
8 © 2011 Forrester Research, Inc. Reproduction Prohibited
9. Key trends for 2012:
Financial management systems
Budgeting and forecasting remain top business
priorities, due to economic instability
Closing to report to file is seeing more investment as an
end-to-end process solution
SaaS financial solution adoption will grow rapidly
Flexibility, usability, and mobility drive technology
selection more than functional requirements
Regulatory compliance drives continued investment in
financial systems
9 © 2011 Forrester Research, Inc. Reproduction Prohibited
10. Financial applications’ investment plans for 2012: There is
an uptick in activity over 2011
Don't know 2%
2%
Expanding or upgrading 25%
22%
Implemented, not expanding 39%
48%
Planning to implement within 1 8%
year 6% 2012
2011
Planning to implement > 1 year 8%
7%
Interested, no plans 8%
7%
Not interested 10%
8%
0% 10% 20% 30% 40% 50% 60%
10 © 2011 Forrester Research, Inc. Reproduction Prohibited
11. Financial process checklist:
Do you have…
A flexible accounting platform that supports automation of financial
business processes?
A mechanism in place to continuously track and report progress against
defined business goals?
A planning process that supports continuous review and updating of
budgets and forecasts?
A concise set of key performance indicators (KPIs) at the business unit
level that correlate to process outcomes?
A commitment to continuous improvement of business performance and
business process efficiency?
Technology to deliver integrated planning, accounting and performance
processes in the context of time dimensions (past, present, future)?
11 © 2011 Forrester Research, Inc. Reproduction Prohibited
12. Agenda
Trends and challenges in financial management processes
and technology
Aligning financial processes and information across
time dimensions to optimize business value
Best practices in achieving better business performance
Technology’s role in optimizing financial business processes
Recommendations
12 © 2011 Forrester Research, Inc. Reproduction Prohibited
13. The Financial Process Life Cycle (FPLC)
► The continuum of integrated financial
management activities, spanning planning,
management, reporting, and control
► A concept to help to understand the
relationship among key financial
management processes and to move these
processes toward best practices
13 © 2011 Forrester Research, Inc. Reproduction Prohibited
14. The Financial Process Life Cycle (FPLC)
August 2011 “Align Financial Processes And Systems For Better Business Value And Compliance”
14 © 2011 Forrester Research, Inc. Reproduction Prohibited
15. Financial Process Strategies Must Integrate Across Time
Dimensions
August 2011 “Align Financial Processes And Systems For Better Business Value And Compliance”
15 © 2011 Forrester Research, Inc. Reproduction Prohibited
16. The time value of process measurement: information value
erodes at various rates
August 2011 “Align Financial Processes And Systems For Better Business Value And Compliance”
16 © 2011 Forrester Research, Inc. Reproduction Prohibited
17. Report and comply Past
Challenges Best practices
Batch-oriented interfaces Single instance, global
Disparate systems accounting system
Complex accounting rules Automated processes and
integration
Time to close the books
Cloud-based software
Regulatory and internal
filing deadlines Accelerated closing and
reporting cycles
Internal controls and data
integrity Automated reconciliations
and controls
International operations
17 © 2011 Forrester Research, Inc. Reproduction Prohibited
18. Measure and respond Present
Issues Best practices
Cultural resistance to Performance management
change culture
What to measure? Results-driven processes
Accountability for results Key performance indicators
Timeliness of information and dashboards
Fragmented systems and Real-time information
data Visibility into results
anytime, from anywhere
18 © 2011 Forrester Research, Inc. Reproduction Prohibited
19. Plan and predict Future
Issues Best practices
Business and market
volatility makes forecasting Collaborative forecasting
difficult across business functions
The budget process is a Continuous planning
time-consuming process
Spreadsheets are too often Reduced budgeting
the solution to system gaps emphasis and effort
Plans and budgets are not Spreadsheets are within the
clearly linked to business
strategies planning app
Link plans to strategies,
measurements and actuals
19 © 2011 Forrester Research, Inc. Reproduction Prohibited
20. Agenda
Trends and challenges in financial management processes
and technology
Aligning financial processes and information across time
dimensions to optimize business value
Best practices in achieving better business performance
Technology’s role in optimizing financial business processes
Recommendations
20 © 2011 Forrester Research, Inc. Reproduction Prohibited
21. How’s business? Not a simple question!
Performance information should answer the following key
questions:
Which performance measures represent the true health of
our business?
How are we doing now relative to the goals, objectives, and
plans set forth in our corporate strategy?
How are we doing now relative to our achievements and
measures in prior periods?
How are we doing now relative to our peers and competitors?
Why do our performance results differ from what we
expected?
What are we going to do, in terms of corrective actions and
alternative strategies to improve our performance results?
21 © 2011 Forrester Research, Inc. Reproduction Prohibited
22. What are “good” key performance indicators (KPIs)?
Relevant: meaningful, few in number and in the right
business context
Accountable: assigned to specific individuals, backed by
rewards
Aligned: linked to corporate strategies and rewards
Easy to use and understand: based on a formula that is
comprehensible and enhanced with visual cues and graphs
Actionable: triggers a process or event to determine the
cause and correct the problem
Accurate and timely: based on reliable data and delivered
in the appropriate time frame
Predictive: focus on leading indicators to anticipate business
outcomes
22 © 2011 Forrester Research, Inc. Reproduction Prohibited
23. Drive information time value based on business needs
How frequently will decision-makers look at the performance
measures?
What are the process transaction volumes, cycle times, and
frequency rates?
Do you have the technology to plumb the performance information
at high rates of frequency? Or is the cost too high in terms of
effort?
How perishable is the information?
Real-time Daily Weekly Monthly
23 © 2011 Forrester Research, Inc. Reproduction Prohibited
24. Agenda
Trends and challenges in financial management processes
and technology
Aligning financial processes and information across time
dimensions to optimize business value
Best practices in achieving better business performance
Technology’s role in optimizing financial business
processes
Recommendations
24 © 2011 Forrester Research, Inc. Reproduction Prohibited
25. Technologies driving innovation in financial
processes
Cloud/SaaS
Business-driven flexibility
Big Data platforms
Mobile apps and tablets
Interactive usability
Web services integration
Collaboration tools (e.g., social)
25 © 2011 Forrester Research, Inc. Reproduction Prohibited
26. SaaS Buyers Cite Cost, Speed, And Better User Satisfaction
As Drivers For Adoption
May 2011 “The SaaS Market Hits Mainstream: Adoption Highlights 2011”
26 © 2011 Forrester Research, Inc. Reproduction Prohibited
27. Financial systems in the cloud – benefits
Business people manage the system, including processes, business
rules, and reporting structures
– Business flexibility improves
Systems are upgraded and updated regularly – reduced obsolescence
Less dependence on internal IT for systems support
Transparent cost of ownership via subscription model
Modern integration technology allows more frequent updates and better
connections to internal and external stakeholders
Business insight delivered quickly and in context
27 © 2011 Forrester Research, Inc. Reproduction Prohibited
28. Agenda
Trends and challenges in financial management processes
and technology
Aligning financial processes and information across time
dimensions to optimize business value
Best practices in achieving better business performance
Technology’s role in optimizing financial business processes
Recommendations
28 © 2011 Forrester Research, Inc. Reproduction Prohibited
29. Finance adds value in 3 key areas…
but struggles with processes and data
Executive Team
Consolidated view of cause and Consolidated view of
Driving overall success of
effects between individual functions
and how they impact financial results
business 3 impact on business
objectives
Human Resources Sales Manufacturing Research &
Development
Measuring business performance
Effective operational Productivity and
Managing resources
Forecasting future outcomes
execution 2 operational
insight
Finance
Capital planning, budgeting
System integration,
Accounting and financial reporting
Treasury and cash management
Cost reduction and efficiency 1 automation, and
Risk and compliance process efficiency
29 © 2011 Forrester Research, Inc. Reproduction Prohibited
30. Recommendations
Assess the health of your financial systems and
processes.
Modernize your systems via cloud and mobile solutions.
Integrate processes to improve information value across
time dimensions.
Put a framework in place for performance measurement
and results accountability.
30 © 2011 Forrester Research, Inc. Reproduction Prohibited