This document discusses budget planning and rolling forecast solutions from FESA. It describes FESA Planning, which allows users to create budgets, projections, forecasts, and perform variance analysis. It supports different time, business, location, and other dimensions. The document outlines challenges with current planning processes and how FESA Planning addresses issues like data manipulation time, linked formulas, version control, and reporting. It demonstrates the system's aggregation and versioning capabilities.
9. About Planning
Sales department updates sales forecast every day
IT department prepares annual IT budget for 201X
Brand manager monitors variance of actual cf budget
Your ERP systems responsible for historical data
Finance Manager responsible for cash flow projection
Management demand for managing future proactively
HR manager analyze HR plans provided by line managers
10. About Challenges of Planning
Substantial time are involving data manipulation rather
the core work of planning and analysis
Nightmare of using linked formulas amongst different
spreadsheet files
Difficult to ensure the correct version of forecast
Very time consuming to consolidate different budget scenarios
High frequency of errors and difficult to identify the source of
errors
Internal auditor identifies current weakness of budgetary
control system
Extended time for new staff to learn and practice the tedious
processes of data manipulation
12. Aggregation Computing Issues
Simplex form of aggregation
• 1 + 1 = 2
Most common aggregation functions
• Sum(), Count (), Max(), Min()
Assumptions (Based on standardized data source)
• Measurement and recognition rules
• Chart of accounts
• Reporting currencies
• Data file formats
• Presentations of transactions or trial balances
Example
• Each company of a consolidation group furnishes
standardized transactions, vouchers or trial balances to their
headquarters for aggregation in order to prepare different
kinds of summary reports (i.e. aggregation scenarios)
13. Aggregation Computing Issues
Key problems encountered by headquarters
• Issues of unexpected speed and accuracy when
Many data files
Many rows and many columns for each data file
Following are examples of column name:
Many amendments of data files
Identifying missing and duplication of data files
Frequent reporting, from monthly to weekly to daily to…
• Issues of security control
Send data through email system to wrong recipients
Ledger code Voucher date A/C period Account code
Business unit Department Project Branch
Currency code Org amount Exchange rate Eqv amount
Quantity Unit code Unit price Particulars
14. Aggregation Computing Issues
Aggregation scenarios
• Scenario 1: Aggregation for strategic management
Five-year budget planning with multi-scenario analysis
Acquisition and disposal decisions
– Capital asset, legal entity, branch, product line
• Scenario 2: Aggregation for operational management
YTD actual profit and loss by business unit by month
Monthly forecast by business unit by department
Actual cf budget scenarios cf rolling forecast versions
Sale-thru analysis by different dimensions
• Scenario 3: Aggregation for statutory compliance
YTD actual consolidated trial balance by company by the
following GAAPs:
– PRC GAAP
– US GAAP
– HK GAAP
– Japan GAAP
17. Versioning Computing Issues
Definition
• Versioning means version control over data processing
and/or reporting based on same sets of assumptions
• It shall be differentiated from aggregation scenarios
Two types of version control
• Version control for audit trial purpose
• Version control for reporting purpose
Version control for audit trial purpose
• Who, when, how about the submission of data files
• Who, when, why about the subsequent amendments
• Who, when, what about the authorization of data postings
• About the status of process: pending, completed, fail
Version control for reporting purpose
• Q1, Q2, Q3, Q4 version of rolling forecast
18. Versioning Computing Issues
Key problems encountered by headquarters
• Manually assign version number of file and folder name
Problem to support multi-user enquiry
Not easy to maintain completeness
Issue of security control
• Implement standalone document management system
Can keep every version of data file upload itself rather
than post and store relevant raw data within database
It cannot support to automate aggregation, so it cannot
support the retrieval of particular version of consolidated
rolling forecast
30. Save Time
Shortest time for implementation
Save Efforts
Avoid disruption of day-to-day operations
Save Money
Commit minimum capital investment
Mitigate Risk
Walk away from associated risks of ultimate complexity
Start and Growth FESA Planning
with an Entry Point Package
33. Support Highly Flexible
Formatting of Spreadsheet Data
“Pivot Table Like” or “Column” Form:
it can support Incremental Based Budgeting
“Transaction Like” or “Row” Form:
it can support Zero Based Budgeting
We classify formatting of spreadsheet data into two main
classes:
34. Support Data Rewritable Methodology
User can assign Segmental Rewrite Code to their date entry
form so as to rewrite posted data associated with specific
dimensions such as company, department and version:
For example:
HR01 represents data entry
form responsible by HR
department to maintain version
01 of data set
SALE01 represents data entry
form responsible by Sales
department to maintain version
01 of data set
35. Hotel Business
Room F&B Other Business
Telecom
Golf &
Shop
Health
Club
Parking
Garage
Rental
HR Finance Admin Marketing Property Utilities
An Example of Report Package
46. Provide Comprehensive Audit Trial
Provide comprehensive enquiry function for administrator or
auditor to monitor and audit data processing activities
92. Conclusion
Fast and flexible for the implementation of budget and
rolling forecast scenarios.
Very user friendly to allow financial users to configure
and monitor variances with differing combinations of
budgets, current / prior year actuals and multiple
versions of rolling forecasts.
Outstanding performance of R2R processing so as to
enable you to minimize your lead times for budget
planning, rolling forecasts, monitoring, and decision
making.
Improved internal controls throughout the whole
process of budget planning and rolling forecasts so that
decision making is based on reliable information.