TCM’s forecasting software allows you to forecast and reforecast, based on integrated and validated data, giving you instant access to information to make modifications easily as conditions change.

1. Forecasting
Fast, integrated forecasting
TCM’s forecasting software allows you to forecast and reforecast, based on integrated and validated data, giving you
instant access to information to make modifications easily as conditions change.
TCM streamlines the planning, budgeting and forecasting process, reducing the time spent by your management and
finance teams, and removing your reliance on error-prone spreadsheets.
Everyone involved in the forecasting process can see comprehensive, updated information and make informed
decisions, based on reliable information, reflecting changes in your business environment.
TCM’s forecasting software includes the
following functionality:
// Centralised, integrated, validated data TCM provides a powerful, integrated
// Integrated top-down and bottom up solution for the most complex budgeting
forecasting and forecasting applications
// Consolidates data automatically, providing
accurate forecasts from summary to detail
level
// Scenario modelling and predictive analysis
to demonstrate the effect of decisions on
corporate results
// Auto profiler to define the behaviour of
each line item, such as links to trends
Using TCM forecasting software, you can:
// See instant updates to changes in key
business drivers and changing market
conditions
// Dramatically reduce the time it takes to
prepare accurate forecasts and ad hoc
reports

2. Long-term forecasting
The issue
As one of the largest companies in its sector, this TCM client was struggling to extend its rolling forecasts to cover an 18
month period. Extended forecasting would facilitate the budgeting process and allow the company to monitor and modify its
performance over the long-term, as opposed to the constraints of a short-term focus.
Operating in two countries, with multiple geographic locations and over 100 reporting entities, the company was challenged
with using Excel spreadsheets to produce monthly rolling forecasts for 14 different product lines, including revenues, costs of
sales and overheads. Each month, the forecast was updated for the current year based on the latest actual results.
Although the finance team had developed a large Excel model, the process was cumbersome and difficult to maintain. The
model was also prone to formula errors and could only be updated by one or two people, creating bottlenecks and frustration
with the process.
The TCM Solution
TCM’s forecasting software was deployed to provide three distinct functions:
1) TCM created a forecast version that copied the previous month’s data and allowed updates to be modelled without
interfering with the live forecast. This enabled the analysts to review the data, make assumptions and adjustments,
and conduct scenario modelling using differing factors. They could then use this information to provide a realistic
forecast and make any necessary adjustments to the business plan. When the process review and update is
complete, the model is transferred into the live, formal forecast and becomes the base of reporting going forward.
2) A series of calculation rules were created to apply to each entity. Using TCM, these calculation rules automatically
update revenue, costs and volume forecasts based on assumptions and drivers defined by the business. The
calculations were also applied across the 14 product lines.
Input templates were also created for managers and regional managers to directly update certain key rates and
assumptions (e.g. average lease rates/selling prices). Managers were also now able to review the forecast as
calculated by TCM’s default rules and make changes as required. These changes are submitted directly to the TCM
model and immediately included in the overall monthly group forecast. With this solution, managers could also now
review the latest forecast against the previous forecast across the product line, by entity or by individual account
item.
3) TCM’s ad hoc reporting functionality provided the company with the ability to create exceptional, or single-use
reports. These reports can be generated to account for instances in which the average rates are distorted by
non-recurring events (e.g. a short-term contract for which special rates have been negotiated). TCM software allows
this information to be entered separately and consolidated into the overall picture.
Using TCM, the company now has a
well-defined model and a streamlined
process that provides the mechanism
to see beyond the end of the current
year, and allows decision-makers to
monitor performance and look ahead
to facilitate longer term planning.
Tel: +44 (0) 845 50 50 350
Email: info@tcminfosys.com
consolidation / reporting / budgeting / forecasting / strategic planning
www.tcminfosys.com