EPM is the convergence, finally, of better data, better tools, and better processes to empower people at all levels of the organization to answer those basic questions and help improve performance. Based on his 2013 book (published by John Wiley & Sons), Ron Dimon will show how EPM helps your organization: -Tap in to all this data for competitive advantage: from new insight to novel action -Keep people engaged in their work and aligned with strategy -Conduct "enlightened debates" -Treat performance improvement as a management process Ron will share better practices and what some of the leading organizations who have embraced EPM are doing in this interactive and inspiring session. For more information on the Loras College 2014 Business Analytics Symposium, the Loras College MBA in Business Analytics or the Loras College Business Analytics Certificate visit www.loras.edu/mba or www.loras.edu/bigdata.

1. Enterprise Performance Management
Done Right
Ron Dimon, Advisory Services Partner
CheckPoint Consulting

2. #LCBigData14
@RonDimon

3. WAIT!!!
• EPM is not
– The HR “Performance Management” Process
– Enterprise Process Management
– Enterprise Project Management
– Evolution Petroleum Corporation
– Equine Protozoal Myeloencephalitis
(A horse
disease)

4. 4
Agenda
1. What’s your strategy?
2. What’s possible in your organization?
3. Who is going to deliver on that?
4. How are you doing, right now?
5. Why did you get what you got?
6. Now what: what’s next?
7. Are we doing it right?
Business Questions

5. 5
“Organizations that have implemented (Enterprise)
Performance Management more broadly, are nearly
four times more likely to be among the most
competitive organizations in their industry.”
Brian McDonough, IDC (2010)

6. 1. What’s your strategy?
• Profitable Revenue Growth
• Operational Efficiency
• Customer Satisfaction
• Employee Engagement
• Cash Cycle Effectiveness
• Asset Utilization
• Market Share
Strategic
Objectives

7. 2. What’s possible in your organization?
• What-if Scenarios
– Financial Models
– Operational
Models
• Drivers
• Historic data
• Constraints
• Predictive Analytics
• Targets
Strategic
Objectives
Enable the
Debate
 People
 Process
 Technology
 Data

8. 8
“Unless commitment is made, there are only
promises and hopes; but no plans”
Peter F. Drucker

9. 3. Who is going to deliver on that?
• Who, what, how much, where, by when
• Budgets, Plans & Forecasts
– AOP, P&L, Workforce, CAPEX, Marketing, Project, Capacity
• Top-down / Bottom-up
Strategic
Objectives
Enable the
Debate
 People
 Process
 Technology
 Data
Agree on &
Record
Commitments
targets
constraints

10. Now RUN the organization
• People & Capital:
– Acquiring & Serving
Customers
– With Products
– In Markets
– Through Channels
– Using Supply Chains
Strategic
Objectives
Debate Commit
Execute
• Generating Tons of
Transactional Data:
• Quotes
• Invoices
• Contracts
• Inventory
• Pick, pack, ship
• A/R
• A/P
• Payroll, benefits
• Cash receipts
• Social
• Machine

11. 11
“However beautiful the strategy, you should
occasionally look at the results.”
Sir Winston Churchill

12. 4. How are you doing, right now?
Useful:
– Right Person
– Right Time
– Right Info
– Right level of detail
– Financial & Operational
– By
• Product
• Customer
• Time
• Channel
• Account
Strategic
Objectives
Debate Commit
Execute
Gather all that data
and turn it into
useful Information
 People
 Process
 Technology
 Data
And
• Allocated
• Eliminated
• Currency
converted

13. 13
“A good decision is based on knowledge and not
on numbers.”
Plato

14. 5. Why did you get what you got?
• Analytics
– Financial
– Operational
• Trends
• Benchmarks
• Profitability
• Variance
• Regression
• Statistical
Strategic
Objectives
Debate Commit
Execute
 People
 Process
 Technology
 Data
Gather
drill-down
Understand the
root-cause self-serve

15. 15
“It is a capital mistake to theorize before one has
data. Insensibly one begins to twist facts to suit
theories, instead of theories to suit facts.”
Sherlock Holmes

16. 6. Now what: what’s next?
• Are our results
and root causes
still in line with
our strategic
objectives?
• And given what
we know now,
how should we
improve our
models?
Strategic
Objectives
Debate Commit
Execute
Gather
Under-
stand

17. 7. Are we doing it right?
Strategic
Objectives
Debate Commit
Execute
Gather
Under-
stand
GOVERN:
Common Business Language
Common Data
Common Master Data
Automated Reconciliation
 People
 Process
 Technology
 Data

18. From Operational Excellence
to Management Excellence
Strategic
Objectives
Debate Commit
Execute
Gather
Under-
stand
Govern
ERP
GL
CRM
HRIS
SFA
Inven-
tory
Mfg
Manage the business
Run the business

19. Enterprise Performance Management
is…
• The processes and technologies that
enable people to gain new insights about
the business, make better decisions,
deploy resources more effectively, and
continuously improve performance.

20. How can you enroll others in the
value of EPM?
• EPM as a Decision Process
• EPM as an Accountability Framework
• EPM as a New Insight Generator
• EPM as an Innovation Engine
• EPM as a Continuous Improvement Process
• EPM as a Management Operating System
• EPM as a Performance Improvement Process

21. Think of it this way…
① A company is a network of conversations
Wouldn’t it be better to have facts in your conversations?
② Strategy is a shared agreement
Agreements need tracking, measuring, accountability and
transparency.
③ It comes down to Integrity
Imagine how you would behave if what you were promised was
reliably going to happen.
④ So that we can produce results that are
expected, over and over again.

22. Q & A