2. DecisionsSlide 2
Agenda
• Priorities in finance and best practices
• History of financial applications
• Bringing Value
• Customer success through the cloud
• Wrap up
4. DecisionsSlide 4
The Evolving Role of Finance
Bean
Counter
Reac-ve
“2000
and
late”
Rigid
Data
Report
Business
Results
Business
Partner
Pro
ac-ve
Real
-me
Flexible
Informa-on
DRIVE
BUSINESS
RESULTS
Technology
is
a
key
enabler
6. DecisionsSlide 6
What’s Wrong With Spreadsheets?
• Not built for a process
• Prone to error
• Not built for collaboration
• Unstructured documentation
• Invisible dependencies
• Lack of flexibility
• Little modularity support
• No separation of data to end-user interface
• Changing is major surgery
• Too much time!
• …The list goes on... ….Too much time on non value
added activities"
7. DecisionsSlide 7
Priorities
• Drive Decision-making
• Elevate the Role of Finance
• Visibility and Performance Management
• Buy from vendors who know finance
8. DecisionsSlide 8
What We Are Hearing
• Need functional decisions to incorporate financial implications
• Strategic plan is not driven into operations
• Difficulty with scenario modeling
• Need for variance analysis, ad hoc reports and dashboards
• Reporting deficiencies, lack of out of the box finance support
• No version control, broken links, errors and long nights
Better
Performance
Process
Efficiency
10. DecisionsSlide 10
Getting the process right
Adjust
Currency,
Intercompany,
Journals
Close
Collect
Report
Management,
Legal,
External
Average
World
class
Time
spent
on
close
ac>vi>es
12
days
6
days
2
days
Analyze
Adjust
Close
Collect
Report
Analyze
and
Forecast
More
>me
for
analysis
Less
>me
on
mechanics
Freeing
up
-me
for
beGer
planning
11. DecisionsSlide 11
Enhanced visibility starts with better data
Your Company
Exchange
Rates
Operational
Data
Financial
Data
Industry
Benchmarks
Leading
Indicators
12. DecisionsSlide 12
Corporate
Metrics
Weekly Monthly Quarterly
Functional
Metrics
vs.Budget
vs.Benchmarks
Bookings, MRR
Pipeline
Customer Count
Cash, CF, AR, AP
Headcount
Trends/Time
Responses
Opportunities
Website hits
Customer Portal
Activity
Support tickets
Customer usage
Summary GAAP
Financials
Customer Churn
DSO
Detailed GAAP
Financials
NPS
Partner Count
Time to Activate
Employee
Retention
Win/Loss Rates
Product Mix
Uptime
PM Utilization
Ticket resolution
time
Bug count
Frequency
Context
Drive decision making with broader access to data
15. DecisionsSlide 15
What new Technology Brings
Performance
Right
features
Driven
by
vendor
Technology
agnos-c
Customiza-on
Ease
Of
Use
Benchmarks
Best
people
on
the
right
problems
Integra-on
of
efforts
and
avoid
silos
Vendor
agnos-c
Enabled
by
cloud
Low
ongoing
costs
Low
ini-al
costs
Driven
by
vendor
Helped
by
cloud
Access
to
latest
func-onality
16. DecisionsSlide 16
Basic
Customization
Discrete
Simple
Finance
Soloed data
Separate apps
Upfront $$$$$
Sophisticated
Configuration
Integrated
Multidimensional
Cross Functional
Collaborative
Integrated
Features
Process
Data
People
Effort
Architecture
Flexibility
Economics
Pay As You Grow
Love
‘em
and
leave
‘em
Business
Partner
Effect of new technology
18. DecisionsSlide 18
Introduction to Cervello
Cervello helps companies improve their analytics and planning
capabilities. We take an innovative approach to making complex
solutions simple so our clients can focus on running their businesses
and serving their customers. Our services and applications enable our
mid-market, enterprise, and business services clients to gain the
benefits of a world class analytics and planning without the headaches.
Cervello is one of Host Analytics’ premiere partners and was recognized
as Partner of the Year for 2010.
20. DecisionsSlide 20
On-Premise SaaS*
Two major categories of solutions that enable
CPM on a sustainable basis
* attributes of SaaS
• Multi-tenant
• No hardware
• Lower implementation costs
• Upgrades part of subscription
• Predictable cost structure
• Scalable
21. DecisionsSlide 21
Why SaaS?
• The cloud (and SaaS) is a significant macro trend in enterprise
software for both startups and existing players
• SaaS offers a more compelling value proposition
22. DecisionsSlide 22
Why SaaS? – in line with macro trends
• nearly every business application start-up in the past 10 years is
principally offered as SaaS
• all of the large, on-premise software companies acknowledge this
trend are are attempting to get there
• there are 13 public SaaS companies with a combined market cap
of over $35B and the SaaS category is growing at a 20% CAGR
• according to Gartner Group estimates, SaaS applications
accounted for a little more than 10% of total enterprise software
market last year and should reach at least 16% by 2014
23. DecisionsSlide 23
Why SaaS? – better value proposition
1. Lower TCO and faster ROI
o Predictable and comprehensive cost structure
o Faster application development
o Less application maintenance
2. World class environment owned by finance
o Very little support needed from IT
o Maintenance and upgrades owned by vendor
o Rapid product innovation and top tier security
3. Focus on the business solution
o Technology platform owned by vendor
o Will scale with you as you grow
4. Value added services
o Benchmarking and external data
o Application modules and templates
24. DecisionsSlide 24
Common issues raised in buying process
• Security of the data – everyone
• General awareness of the solution category – specialty manufacturing
company
• Finance control – national restaurant chain
• IT control – media company
25. DecisionsSlide 25
Common reasons people adopt SaaS
• Innovative thinkers (probably are already using other SaaS apps)
• Recognize cost vs. value and time to value are big benefits
• Don’t have the bandwidth to support complicated on-premise apps
• Want significantly less dependence on IT
26. DecisionsSlide 26
Case Study: Public Medical Device Company
• The Business Challenge
– Finance team wanted to get
control of operational data
– Struggling with too much time
spent on budget, forecast, and
variance reporting
– Goal: Better integration of
financial and operational data
– Goal: Executive reporting
(e.g., through dashboards)
including the sales pipeline
• The Company
– Medical device manufacturer
– Over $160mm in revenues
– 3 different markets
– Rapidly growing revenues
– 30%+ improvement in gross
margins in last year
– Acquisition of competitor in
last year
27. DecisionsSlide 27
Data Warehouse
GL1 Inventory
Export
Data Management
Layer (Trusted
Network)
SaaS Layer (CPM,
BI and CRM)
Data Source Layer
(ERP)
Planning
(Bud, Fcst, Reporting, Variance Analysis)
Dashboards & Analytics
(Ad Hoc Analysis, Time Series, KPIs)
Import
GL2
Case Study: cloud based integrated CPM
28. DecisionsSlide 28
Conclusion
• Promoting fact-based decisions throughout the corporation is key
• The cloud will help you realize the value with less investment
• SaaS financial applications can
– Elevate the role of finance quickly
– Add rigor into financial processes without increased overhead
– Expand collaboration across the corporation without increasing
associated infrastructure
