The document discusses the evolving role of finance organizations towards strategic management and decision-making, emphasizing the importance of integrated performance management systems that enhance visibility into business performance. It highlights the need for advanced capabilities, data integration, and actionable insights for various organizational levels to drive alignment and efficiency. Additionally, the document underscores the significance of continuous planning and the use of metrics to improve overall business performance.

2. Nic Smith BI Solutions Marketing Microsoft Corporation

4. Scorecards Slide decks Meetings Analytic applications Presentations Financial reports Dashboards Webcasts Charts and graphs Internet Project plans Documents Spreadsheets Intranet Blogs Portals RSS feeds Business books Television reports Magazines Newspapers IM/chat Email

5. 1990s 2000s Financial Systems Infrastructure Increasing Globalization Internet bubble Accounting Scandals Shareholder, Board Transparency Business Trends Affecting Finance Technologies for Finance Business Intelligence Internet E-mail Y2K updates Desktop Accounting Compliance Controls Enterprise Risk Management Information explosion Business complexity

6. Source: "The Changing Role of the Finance Organization in a Multi-Polar World: Accenture High Performance Finance Study 2008." High performers are more focused on strategic business issues than operational details High performers invest in advanced capabilities

7. People Processes & Methodologies Technology Organization-wide access to relevant business information (no IT filter) Easy-to-use intelligence tools for all levels and roles Role-based delivery of performance-related information Scorecards, dashboards, and strategy maps that identify business drivers Standardized KPIs to align with business goals and initiatives Redesigned business processes to affect business drivers Automated workflow for simpler consolidation and reporting Data integration to combine information from existing systems Data consistency, security, and integrity Server-based views to allow collaboration and consistency – single version of the truth Increasing Value

8. Organizational Alignment Finance & Ops Management Costing, budgeting, forecasting, tactical dashboards Executive Management Strategic & capital planning, scorecards, risk dashboards Front Line Employees Collaboration, reports, action Enterprise Performance Management (EPM) aligns and connects the entire organization – everyone knows goals and roles Continual process

9. Performance Management Human Resources HR Analytics, Headcount Planning, Talent Scorecards, OPEX Planning & Analytics Financial Budgeting, Planning and Forecasting, Consolidation, Management Reporting, Scorecards & Analytics Operational/Supply Chain/MFG Operational Dashboards, Supply Chain Analytics, Constraint Based Planning Sales/Customer/Marketing Analytic CRM, Sales Forecasting, Campaign Management & Analytics, Sales Scorecards “ I need to improve our analytics capabilities so we can understand our current business performance and do a better job of planning for the future." “ I need better visibility into my cost of operations so I can target specific cost reduction opportunities that won’t have a negative impact.” “ I need better visibility into our pipeline performance so I can focus on deals that help me grow business with my most profitable customers.” “ I need better visibility into our talent management so I can plan for growth and understand issues before they become troublesome.” Performance Management Applications

11. Point solutions for management processes Little or no integration Doesn’t deliver the integrated BI solutions Users attempt to integrate data in their own environment (Office) Many management systems developed ‘offline’ Disconnected from source and ‘formal’ systems Data Mart Data Warehouse CRM Planning Sales Analytics Management Reporting Dashboard

12. Need for an Integrated Approach Forecasting What will happen? Planning and Budgeting What do I want to happen? Dashboard What is happening now? Analytics Why did this happen? Scorecard How to coordinate what happens? Management Reporting Financial Consolidation What did happen? Common KPI’s and Business Rules

14. “ Less than 5.0% of the typical workforce understands their organization’s strategy” Kaplan & Norton

15. Actionable strategy has a financial plan

16. Why is Planning Important? Source: IBM Business Consulting Services, The Global CFO Study 2005 Moderately effective organizations in managing performance Utilize collaborative planning, reporting and decision-making process Employ rolling forecasts, based on relevant business events Use a streamlined, integrated budgeting process Create enterprise-wide performance management reporting 48% 50% 55% 71% 28% 43% 65% 68% 50% Use linked and aligned scorecard metrics cascaded down to each function and business unit 35% Recommended Actions Evidence from Highly Effective Organizations Highly effective organizations in managing performance

21. The Microsoft Difference for Finance Financial & Business Reporting Treasury & Cash Management Corporate Strategy Budgeting & Planning Compliance Risk Management Analysis & Monitoring FINANCE DEPARTMENT Information Technology Legal & Regulatory Human Resources Sales & Marketing Business Units REST OF THE BUSINESS Operations Management Data Management Across Multiple Systems

23. What happened? Reporting, Consolidation What is happening? Scorecards and Dashboards Why did it happen? Analytics What will happen? Forecasting What do I want to happen? Planning, Budgeting

24. Monitoring Seeing what is happening Key performance indicators (KPIs) measure performance at all levels of the organization Scorecards and KPIs align, monitor, and drive performance Real-time dashboards help decision-makers spot trends, problems, and opportunities

25. Analysis Understanding why it is happening Business users can have the information their way—in exactly the view they need and without reliance on IT Business users can analyze key measures by product, geography, channel, segment, or other filters

26. Planning Shaping what will happen Assumptions and business drivers are part of the system, not offline Model “what if” outcomes to determine best course, alternatives, and opportunities Planning based on analytical models for each business area with accurate measures of resources and results

27. Mainframe/ Departmental Systems END USER TOOLS AND PERFORMANCE MANAGEMENT APPLICATIONS BI PLATFORM (RDBMS, ETL, OLAP, Reporting) DELIVERY

30. Oticon

31. Wenatex

34. High Performance is a Journey Tactical Operating Aligning Accelerating Leading No management methodology Manual planning process Financial metrics BI = spreadsheets Strategic Three to Five Year Progression “ Try on” methodology (BSC, Six Sigma) Process codification – financial planning Departmental metrics Pockets of BI, data marts Methodology permeates Closed-loop continuous process Metrics cascade throughout BI standardization Innovate methodology Continuous planning (frequency) Extended enterprise scorecards BI extranets Use of BI First step is to know your “BI Maturity”

35. Microsoft Business Intelligence Vision and strategy Complete and integrated BI and Performance Management offering Agile products that adapt to your information needs Built on a trusted part of your IT backbone