Budget and BI
Planning and budgets can be rather complex areas, hence you are trying to foresee the future. There is no final result on how you make the right budget. There is however a lot of different methologies and trends, which you can use.
In my mind no one is more right than the other. However the system you choose to support your process, must be flexibel enough, to handle whatever method you use for budget. It should also be able to handle a shift in methodology, if you choose to go from a traditional budgetting and move to a beyond budgetting approach, or what ever other approach you choose.
I do not have any preferences in regards to, which approach you use for budget purpose. It is individual, what suits each company and their stakeholders.
It is however important, that you know the processes around your budget, before you implement a budget system. If not, you risk setting up a system, that does not support your budget process, and that will make your implementation cost a lot higher, than necessary.
When helping companies, I start by making sure, that the process is clarified and well documented. If not the first phase is to clarify, who does what, and when in the budget process.
Based on my experience the time used for documentation the process is time well spend.
One of the reasons is that overview can give you a indication of where to optimize and make the process run smoother. Another way to optimize is to evaluated the complete process after running it a couple of times. It is always important some times to step back and take a look at the whole process with critical eyes.
In regards to tools then I have implemented a lot of budgetsolution in the past 6 years based on SAP BPC. My experience is, that it can support a wide range of budget methodologies, and can be adjusted, if something changes.
Another advantage of SAP BPC is that it is supported on two platform’s – SAP’s own NetVeawer and also Microsoft. The NetVeawer version is typical to large customer’s, who already run SAP as ERP system or considers it, whereas Microsoft is more standalone for smaller companies.
I see generel BI as a natural part and extension of the budget. In many of my budgetting projects, the budget has been an integrated part of the BI system.
I can help you with:
- Clarify and document the budget process
Set up the budget process in SAP BPC
Recommendations to where the system can support the process in a better way
Input to the BI strategy or how you get further, with the one you already have