A Better Plan for Planning


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Makes Budgeting More Proactive, Less Reactive

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  • Time – takes too long, missed opportunities and obsolete plansLong simulation times can lead to missed opportunitiesLong planning cycles result in missed plansQuality – data integrity, lack of standardization and communicationLack of standardized financial logic can lead to errors in financial analysisLack of standardized methods and business rulesLack of communication between various areas within the organizationErrors in excel spreadsheetsFlexibility – lack of responsiveness to changesDisconnected processes (strategic, financial, operational) cause changes to be difficult and timelyLimited level of detailCost – many wasted resources, questionable benefitsToo much time spent gathering informationLimited time modeling and analyzing information
  • One version of truth: Get away from spreadsheet chaos, One Place to create and maintain business rules and calculationsPowerful calculation engine: superior calculation power, comprehensive library of functions, Time and Financial intelligence
  • A Better Plan for Planning

    1. 1. Oracle HyperionPlanning
    2. 2. Agenda• Introduction – The BizTech Team• A Typical Budget Process• Problems That Surface During Budgeting• What is Hyperion Planning?• Hyperion Planning Solutions• Summary
    3. 3. Introduction
    4. 4. Quality | ResultsFrom Many Completed Implementations
    5. 5. About BizTech• Professional Services Firm – Professional Services firm focused on Oracle applications and technology – Oracle Platinum Partner – Highest Level of certification – Specialized Pillar Partner in BI/EPM, EBS, CRM, and Core Technology – Over 400 successful Oracle implementations over the past 15 years – NY, PA, NJ, VA offices with Regional, Global, and International clients – 100+ Consulting Resources• Centers of Excellence across key solutions and industries – Solutions: Oracle Applications, Technology, BI/EPM, and Managed Services – Industries: Financial, Professional, Business Services; Communications and Media; Manufacturing; Distribution; Public Sector, Government; Healthcare and Life Sciences• BizTech Software Solutions : BizTech Data Integrators, BizTech Insight Accelerators, BizTech Reporting Foundation• Oracle License Reseller
    6. 6. Award Winning Partner IDC and Oracle expert panel selected BizTech over Thousands of Oracle partners, based on service delivery excellence to our clients Proven Oracle Experience with the full portfolio of Oracle Solutions Oracle Titan AwardGlobal Implementation Partner
    7. 7. Client-Centric Practice AreasOracle Applications Oracle Technology and Business Intelligence- Full Portfolio of Oracle Applications Solutions - End to end service offering in BI and EPM- Implementation, Upgrade, Migration - Fully staffed team of Data Architects/DBAs- Since 1990 MPL6 to R12 Experience - Solid experience in RAC, HA, and HS designs- Over 400 successful implementations - Understand full Oracle technology stack Oracle Oracle Applications Technology BI/EPM Clients Managed Oracle Services Software ITO ProviderManaged Services and IT Outsourcing Oracle Software Provider- Remote or Onsite services - Full Portfolio of Oracle License Resell- Full portfolio of Oracle Applications and - Helps Clients Optimize License models Technologies - BI Software for the agile enterprise- World-Class Data Center with 24x7 Support - BizTech Data Integrators- Instant capacity, operational focused model - BizTech Insight Accelerators - BizTech Reporting Foundation
    8. 8. A Typical Budget Process
    9. 9. The Typical Budget Process• Excel Templates are prepared by the FPM team (usually in October) – Last’s year budget amounts is cleared out – Current year actual results are annualized and emailed out on a separate template. – All formulas are checked to ensure that links and calculations are working• Templates are instructions are emailed out to department heads – Each department head is responsible for their own budget. In larger companies this often involves sub-departments separated by location or line of business – Requested time frame is usually three weeks to complete – Email reminders are usually sent out one week prior to submission• Templates are submitted to FPA by department heads – For a typical company, this also involves chasing down a few stragglers, collecting all the templates, and consolidating into one master budget. – Often works out to over 100 Excel spreadsheets.• Data is consolidated, reviewed and audited – Each formula must be reviewed, audited, printed out and manually subtotaled – Multiple versions are often required to keep track of changes. – Budget is submitted to management for first pass review and process begins again
    10. 10. Which best describes your budget process? 10
    11. 11. Problems That Can Surface During Budgeting• Excel is an outdated tool when preparing detailed Annual Budgets – Larger or even mid-sized firms with multiple lines of business, products, departments, cost centers and locations can often find themselves needing hundreds or even thousands of Excel templates to prepare a consolidated budget. – Most summary and detail departmental templates need to be printed out and audited by someone in finance and accounting to verify data integrity. – One broken link among thousands will lead to an incorrect budget and time consuming fact finding. – Emailing budgets to and from users is time consuming, can be accidentally overlooked or discarded, risks data integrity and is prone to user errors or consolidation issues.• Multiple versions lead to different versions of the “truth” – Often a company will have multiple versions of a budget, one for baseline, one for upside one for downside and sometimes numerous other combinations. Review of these various versions wastes valuable time and blurs the truth of what should be the most realistic budget.• Dated material – By the time the budget process begins, and budgets are sent out, received back, sent out again, revised, approved, further revised and achieve final approval, months can often pass, leading to outdated or irrelevant budgets, depending on current conditions.
    12. 12. A Disconnected Processes Long-Term Planning• Time – cycles take too long, missed opportunities and obsolete plans Treasury M&A• Quality – data integrity, lack of Plans standardization and communication Senior Management• Flexibility – lack of responsiveness to changes Annual Plan &• Cost – many wasted resources, Forecast questionable benefits Headcount FP&A Plans Departmental Revenue & Plans Cost Models
    13. 13. Most Budgeting is Done Here… But Excel is NOT the best way to prepare budgets anymore! • Error-prone and labor intensive • Disconnected from all users • Numerous Security Risks • Doesn’t scale to company size • Few controls / audit trails • Not ideal for multiple, complex calculations • Spreadsheets are inefficient for more than
    14. 14. What is Hyperion Planning?
    15. 15. Hyperion Planning FEATURES • Strategic Planning • Modeling & Simulation • What-if Analysis • Excel Integration • Enterprise Collaboration • Currency conversion feature for multi-currency applications • Uses the Power of Essbase BENEFITSPlanning & Budgeting  Speed & accuracyApplications in the  Finance ownedWorld  Align finance and operations  Accountability  Visibility to past, current and future business performance
    16. 16. What is Hyperion Planning?• Oracles Hyperion Planning is a web driven Planning and Budgeting tool that utilizes Oracle Essbase as the data storage and calculation engine.• Hyperion Planning sits on top of the Essbase OLAP server. – By leveraging Essbase s multidimensional data model as well as standard relational database management platforms, Oracles Hyperion Planning provides a powerful tool for forecasts, budgeting, reporting, and analysis.• The Essbase portion of the application gives Hyperion Planning the calculation power to handle predictive planning, allocations and complicated revenue recognition planning.• While Oracle Hyperion Planning is a web software application, it also has an add-in with Microsoft Office (called Smartview) which allows users to forecast or budget in Microsoft Excel, an environment comfortable to most finance users.• Hyperion Planning is part of Oracles Hyperion EPM software suite and is often utilized with Hyperion Financial Reports and Web Analysis to enhance the analytic value inherent in its underlying use of Essbase.• Oracle Hyperion Planning has two additional add-in modules, Workforce Planning and CapEx Planning that can be used along with Oracle Hyperion Planning to increase performance drivers in budgets and emphasize operational budgeting.
    17. 17. Achieving a World Class Enterprise Planning Process Run models based Validate operational Update forecast on key strategies feasibility to with latest budget financial plan and actuals Set targets Validate Evaluate Monthly / Update long-Long-term strategic Annual operational workforce and rolling term strategic plan budget / plan feasibility capital forecast plan Seed targets to annual Evaluate resource operating plan Update strategic and capital plan with latest Start annual requirements forecast process Assess and Manage RiskA world class budget process utilizing the right tools can take a few weeks.However, at many companies, the budget process can take months.
    18. 18. Hyperion Planning Budgeting Process• The Hyperion Planning Process lets users track the progress of a budget from any level in the organization using a Web-based client. (Not) First Signed Pass Off Under Approved Review
    19. 19. Single Centralized Planning Platform Workspace (Web) MS Office Operational plans Industry modelsP&L Financial Services Workforce CapEx Sales MarketingB/S Planning Planning Planning PlanningC/F Manufacturing Consumer Goods Retail Planning Foundation Essbase Calculation Engine Data Warehouses Transactional Systems Performance Management Applications
    20. 20. Hyperion Planning Architecture Internet Reporting Microsoft Explorer Administrative StudioClient Office Netscape StudioTier Apache Tomcat BEA Weblogic ApacheServer IBM Websphere Web Server Microsoft IIS Macromedia JRunTier Application Server Web Server MS SQL Server OLAP Component OracleDatabase IBM DB2 EssbaseTier Relational Component Data Integration Source Systems GL CRM HR DW etc. etc.
    21. 21. Key Capabilities Update Forecasts based on changing environments• Continuous forecasts (rolling, event based)• Manage budget process and workflow• Top-down and bottom-up budgeting• Generates P&L, B/S and C/F• Prepares by Business Unit, Department and Cost Center level• Revenue and cost allocations handled automatically• Driver-based planning• Workforce planning• Capital asset planning
    22. 22. Business Rules - Ensure Consistency of Calculations and Allocations• Graphical design• Use building blocks• Easy to read and understand• For planners, not programmers• Powerful calculations and allocations
    23. 23. Hyperion Planning OverviewMicrosoft Excel Financial ReportsData Forms Microsoft Office Hyperion Essbase Web Analysis Data Sources
    24. 24. Essbase and Planning• Multidimensional database management system (MDBMS) that provides a multidimensional database platform upon which to build analytic applications.• One Version of the Truth• Speed-of-thought analysis for thousands of concurrent users• Easy for users to consume data via spreadsheets• Write-Back capability of data and Powerful calculation engine• Powerful security module down to cell level• Scalable to enterprise-level user base• Premium Performance & Optimized Storage• Ease of development, deployment and maintenance• Stand Alone Application to eliminate spreadsheet reporting
    25. 25. Hyperion Planning Solutions
    26. 26. Hyperion Planning Solutions• More Efficient Process, controlled by Finance – Budgets are ready for input immediately upon release by FPA – Reduces time to complete, risk of “stragglers”, resource misuse• Reduced data entry, risk of errors and risk of key files on desktops or C drives – No hidden or offline files. All supporting detail can be uploaded to the Budget.• Easier budget consolidation – no need for manual uploads, email of files or transferring of files.• Budget commentary available on-line• Fast calculation performance – most calculations performed in 4 seconds or less• Workflow feature ensures timeliness or user preparation and management review – Email alerts to remind user of deadlines.• Standard calculations and business rules maintained in database• Reduced Administration and stricter security.• No set up from budget to budget cycle. Process begins immediately• Reports automatically pick up new database members (new depts.)• Low end-user training requirements• Implementations can take as little as three months
    27. 27. Manage the Planning & Forecast Processes• Web Based Enterprise Solution• Prepare Financial and Operating Budgets simultaneously• Full “Off-Line” Planning Capabilities• Guided Work Flow via Task Lists• Improved Process Management & Controls• Rolling Forecasts• Modeling & “What if Scenarios”• Break-Back & Driver Based Plans• Workforce Planning to assist with headcount, salaries, merit pay and bonuses.• Capital Planning to assist users with forecasting and analyzing future capital needs.
    28. 28. Guide Users Through Budget Process• Budget wizard to guide planners from start to finish• Include instructions• Set due dates for entry and review• Create templates and forms for data entry or enter data in Microsoft Excel• Alerts and progress monitoring• Send email reminders on status and timing for preparation.• Report on budget status can be made visible to any or all users.
    29. 29. The Hyperion Planning Process Start Promote Sign-off Promote Approve Under ApprovedNot Started First Pass Signed Off Review Sign-off Reject Not Signed Promote OffExclude Approve
    30. 30. Hyperion Workforce Planning Improves Headcount, Salary and Compensation Planning• Packaged solution for quick implementations• Plan salary and other compensation at any level• Add, edit and delete employees and new hires• Pre-defined or custom calculations for taxes, etc.• Integrates actuals from HR systems• Test scenarios in real-time for impact analysis
    31. 31. Hyperion Capital Expense Planning Improves Planning the Acquisition, Lifecycle Management, and Retirement of Assets• Packaged solution• Customizable• Plan for asset purchases and asset related expenses• Transfer, retire, and improve assets• Directly linked to main plan• Interfaces with external systems
    32. 32. Hyperion Smart View• Accounts love their Excel and Oracle Understands this!• Planning features Ad-Hoc Analytics via Excel via reports or Drill through/back• Use MS Office to enter, analyze and report on subsidiary data• MS Excel add-in allowing access on or off-line• Users download forms to Excel• Manipulate data just like the full web client• Synchronizes to server when ready to be updated.
    33. 33. Summary
    34. 34. Planning - Fundamental CapabilitiesIntegrated nature of the system + BI integration = no more surprisesTurn on a dime - Web architecture & world-class deployment toolsenable rapid time to plan – gain the competitive edgeMore people, more often means more accuracyIntegrated architecture of the system means real-time visibility into past, current and future businessperformanceDriver-based capabilities to enable operational planning means more frequent updates in a languagethe user base will understand & finance can useIntegrated architecture linking financial to operational plans allows transparency across & down theorganizationOptimized architecture to allow for small or wide scale changes to the plan in line with businessconditionsThe world leader in financial & operational planning for over 25 years offering a truly unmatchedintegrated business planning solution
    35. 35. Planning – Additional FeaturesPowerful high-level strategic planning & modeling engine that can be translated to an operating planand deployed to a wide audienceThe ability to model at the operational level whilst assessing impact to the overall strategic planSee impact of acquisitions, mergers, pricing strategies and moreSee the business impact of changing business drivers to make intelligent decisionsTechnology that allows the entire user community to communicate & plan in real timeCascade high level plans to the divisions that can be customized whilst still connected to the overallplanFully integrated & native business intelligence capabilities for detailed reporting & analysisBi-directional planning capabilities to promote accuracy & accountability
    36. 36. Why Choose BizTech“Every company claims they deliver quality at a good price, why is BizTech the superior choice…”• Oracle Platinum Partner• Client First Philosophy• Focused Mission• Proven Methodology and Process Orientation• Simple to engage and do business together• Encompassing Ethics and Integrity• Balanced Leadership Team• Focused on YOUR industry area for over a decade
    37. 37. LightSquared, Hyperion PlanningBroadband provider with the mission to revolutionize the U.S. wireless industry with thecreation of the first-ever, wholesale-only nationwide 4G-LTE network integrated withsatellite coverage. Challenges: • Need to manage and forecast $6B in spend to support national 4G LTE broadband network • Ability to quickly create multiple financial models based on optimal funding source strategies • Predict labor costs associated with rapid growth plans • Complex sources and uses model to track cash source and cash use throughout the business Solution: • Hyperion Planning Suite Results: • Ability to track cash sources and uses throughout the business cycle from project through accounts payable • Provide CFO office with rapid response of forecasting scenarios • Ability to plan headcount growth and cost to support growth 37
    38. 38. Choose | The Right ApproachBizTech RapidApp Methodology
    39. 39. RapidApp Methodology BizTech leverages our proven methodology, RapidApp, on every engagement – Phases  Break the project into smaller, more manageable, sections of work  Allow for “planned pauses” & overlap – Tasks & Actions  Areas of concentration within a phase  Not all will be performed on every project – Deliverables  Formal work products requiring review and acceptance  “Controlling” documents – Policies & Procedures  Project planning, progress tracking  Status reporting  Project scope definition and management  Formal acceptance of deliverables
    40. 40. RapidApp Methodology The two most critical concerns for a successful implementation: PROVEN EXPERIENCED APPROACH PRACTITIONERS Prepare Configure Test Deploy Prepare D End User Initial Planning Accelerator Magic Test Scripts Training Prepare Prepare D Setup Test/ Setup Production Environment CRP Scripts System TestingDefine Project D Conference Room User AcceptanceLaunch Project Pilots Testing Go Live! Superuser Go/No Go Post-Go LiveAccelerator Prep Training Decision Support Project Mgmt, Quality Assurance, Knowledge Transfer
    41. 41. RapidApp (cont.)Phase 1: Prepare• In the Prepare phase, our objective is to build your project mission and definition. We will build a roadmap and framework for the entire project.• We define the scope and terms; identify people and resources, milestones and targets.• We work with your project team to establish and communicate expectations for the project and perform baseline Oracle training. – All implementation strategies are explored and decided upon during this phase.• We will establish the base line technical infrastructure that will be necessary to complete the project. – All of these elements are the basis for developing your project plan. At the end of the prepare phase, the deliverables include: • A definition of Scope, Objectives & Approach that will guide the project. • A RapidApp WBS that outlines all tasks as well as a resource plan. • A Quality Plan for all phases and deliverables.
    42. 42. RapidApp (cont.)Phase 2: Configure• In the Configure phase, you’ll establish the boundaries of your project.• We will work with your team to capture your functional requirements and translate those requirements into a technical design. The technical design becomes the foundation against which we develop the data warehouse, ETL and dashboards.• The conference room pilot at the end of the Configure phase will be the point at which we validate that the develop solution matches the defined requirements. At the conclusion of the configure phase, you will have: A definition of Scope, Objectives & Approach that will guide the project. • Application Functional Design specification document(s) • Application Technical Design specification document(s) • Conference Room Pilot Scripts that were used to validate the system • A working non-production environment (data warehouse, ETL, dashboards and reports)
    43. 43. RapidApp (cont.)Phase 3: Test• You’re going live soon, and we’re helping you prepare. We’re with you to update and configure the final system configuration.• We’ll help you conduct system testing to ensure a smooth transition into production.• We’ll also help you determine a training approach for your end users, design training material and a training environment, and conduct the training, if requested. At the end of the test phase, the deliverables include: • Documented Test Scripts that you used to test the system • A complete end user training approach ready for rollout including Training Guides • A fully tested, production-ready system..
    44. 44. RapidApp (cont.)Phase 4: Deploy• Your Oracle solution is live. As you make the transition, we can remain with you in a support role, helping to troubleshoot, teaching you how to maximize the value of your new system, and identifying any new opportunities to continue with the transformation to an e-business company. At the end of this phase, you will have: • A System Configuration Document • A Production Software Infrastructure Summary • A Deployment Plan • Stopped doing your business processes in your legacy system. • Moved all project support activities to your production support team. • Trained your end users.
    45. 45. RapidApp: The Value Proposition• Allows organizations to realize immediate cost savings through an accelerated implementation.• Establishes a budget conscious methodology that deploys functionality to satisfy core functional requirements.• Promotes the selection, inclusion, and customization of additional functionality through additional discovery after your product is implemented.• Facilitates a phased approach in which knowledge transfer is conducted whereby clients assume ownership of future project phases; reducing dependency on external services and associated costs.• Utilizes pre-built, customizable templates (models, forms, reports and business logic) reducing development cycles and project cost.
    46. 46. ALA Delivery Resource ModelLeveraging the Architect – Lead – Associate model yieldshigher productivity at lower cost, which: • Maximizes value over traditional team approach • Minimizes risk of single threaded SME approach Architect The Architect designs the solution, and is interacting with the work stream leads to ensure implementation approach is optimal. Lead The Leads are Subject Matter Experts, responsible for client interactions, requirements, ensuring Associates execute the work plan tasks and validates solution. Associate The Associate may be on-site or remote, executes the work plan tasks, unit test, and provides completed work to Lead for testing. Adds 3rd shift productivity to team.
    47. 47. Contact InformationStephen GoldsmithBI Practice Director(610)592-0600SGoldsmith@Biztech.comTimothy Simkiss, CPA, MBAHyperion Project Manager PracticeDirector(610)592-0600TimSimkiss@Biztech.com