Transcription
THE CFO GUIDE TOBUYING A BUDGETINGAND PLANNINGSOFTWARE 2016
INTRODUCTIONCFOs today face increasing pressure of betterbudgetary control because budgets today areused for performance planning and evaluationof actual business performance. True enough,budgets can tell us a number of things becauseof its ability to tie together different parts of thebusiness organization.Even though this practice has been going on fora long time and several efforts are done to tryand improve budgets, it is still faced with a lot oflimitations followed by criticisms.The role of a CFO as a business partner ishighlighted today more than it ever was as wemove toward an era of data-driven decisionmaking. CFOs have entered a period of greaterdemand for accuracy of data from their ITsystems and a period when CFOs scramble toget better help in getting real-time insights sothey can back up their gut feel as they makeharder decisions in today s economic climate.Varying systems and applications aremushrooming claiming more or less thesame features as that of every other softwareprovider. The critical question for you as a CFOwho is tasked to adapt newer technology thenbecomes – what type of questions should I beasking before choosing a software?ABOUT THISWHITE PAPERThis white paper focuses on the questionsyou need to ask yourself when evaluatinga solution to potentially help you with yourbudgeting and planning process.By reading this white paper, you can beguaranteed you are making a well informeddecision before closing those deals andinvesting in a new technology for yourcompany.2THE CFO GUIDE TO BUYING A BUDGETING AND PLANNING SOFTWARE 2016
TABLE OF CONTENTSINTRODUCTION 2ABOUT THIS WHITE PAPER 2QUESTIONS TO ASK 4OBSTACLES IN FINDING THE RIGHT SOLUTION WITHIN A REASONABLE TIMEFRAME 9www.performancecanvas.cominfo@dspanel.comTHE CFO GUIDE TO BUYING A BUDGETING AND PLANNING SOFTWARE 20163
QUESTIONS TO ASKWhat are my new budgetingsoftware s non-negotiablefeatures?Before you start looking into different solutions,it is vital that you know exactly what pain pointsyou wish for the software to address. If youneed a reporting, budgeting, and planningsolution for example – what features are mostimportant to you? What must the tool be able todo?Once you know that, then you start looking forthose features among the list of what providersclaim their software possesses and everythingelse is just added value.Can the budgeting software do a demo with mycompany s data on it before I am asked to purchase?It is very easy to be impressed by an online demo of a software done by asales expert but more than just looking at a general demo, you should belooking into how that technology fits your unique business needs.If the software is not able to provide a good look at your own databecause it needs months to customize, that is a good reason for you toworry as it will signal a long and complex implementation ahead.4THE CFO GUIDE TO BUYING A BUDGETING AND PLANNING SOFTWARE 2016
How is this system better than its competitors?It is expected of you to look into what makes your prospected softwarebetter than the rest in the market. You do not want to miss out on a moresuitable solution out there. If the software of your choice can fight headto head with other competitors, that is a good sign. If you focus your timeand energy on only one provider, it is a complete waste of time in casethe software turns out it cannot meet your minimum requirements. It alsobetter to look at several providers at the same time to be able to comparethem side by side in terms of features, benefits, price, and performance.Do we meet the technicalrequirements for this system andcan it integrate with all otherdeployed systems?If you find a convincing software, you shouldthen have a look at what prerequisites it asksof you to ensure you have what it takes toimplement it. Another important considerationis its ability to integrate with other systemsin place. Over 50% of companies deploy acombination of different systems today. It is thenvery important for the new software to be ableto integrate with what you already have or atleast to be able to integrate with a system youwish to have in the near future.Can I get in touch with otherusers who successfully rolled outthe same system?It is common for providers to claim that theyare good and that they can do all this and thatfor you. They can even show you a nice, wellscripted, well prepared demo but one of thebest indicators of how good the system is andhow pleasant the experience of rolling it outwas is to reach out to a fellow CFO or userwho have gone through all the trouble aheadof you. It is through a reference that you canhave a feel of how the software really fares interms of performance, of roll-out experience,and of turnaround time to implement it.THE CFO GUIDE TO BUYING A BUDGETING AND PLANNING SOFTWARE 20165
How long will it take for my team to learn how to usethis new budgeting tool?There are tools that just by looking at it you can t help but be in awebecause of what it can do but it is good to keep in mind that the peoplewho do the demos for you have been trained for years or are the ones whocreated the software. What good is a robust software for if it requires arocket scientist to operate it? You must always take into consideration theskills of your finance team and the time it requires for them to learn it beforethey can actually be productive.How many people do I need to pullout for the implementation?An ideal software should not require a platoon ofworkers. Majority if not all of IT departments ofcompanies are already overworked. You want tomake sure that first, you have the right numberof resources you can spare and second, that youdo not take so much of their time. The shorter theimplementation time, the better it is for you sinceit is shorter time to productivity for you and yourteam.Do the developers of this budgeting solution possess thenecessary experience in budgeting and planning and inimplementing?The implementation of a new budgeting solution can be a complex project. Thedifficulty comes from either the tool itself being too complex to implement or the factthat there are several business decisions that have to be made by your team in orderto accommodate the new tool.It then becomes an important thing to look into the background of your solutionprovider and implementers to ensure that sufficient and relevant assistance is handedto you when the project starts rolling out. They must be able to ask the right questionsand help you come up with best practices on how to do certain business processes.6THE CFO GUIDE TO BUYING A BUDGETING AND PLANNING SOFTWARE 2016
Can I get quick and reliable support before, during, andafter implementation?Some systems can be very good and feels like a good fit for your businessbut halfway through it, the entire project just fails. It is not because thesoftware is not capable, it is not because it doesn t fit your business butsimply because the working relationship you have with the providers is notgood. It is important that when you have problems or questions, you get theneeded support.Do I have the potential to build moreor upgrade this system?Once you purchase a software, you must be ableto plan things with it. You must be allowed tobuild something on top of it, tweak it to better suityour business needs, and you must be allowedto upgrade it by adding new modules so that thegrowth does not stop by simply having it in place.A software that does not allow you to progress andgrow with it is not a long term investment for yourcompany.Is the pricing reasonable?In this day and age, the software with the highest price is not anymore always themost capable. Many providers have now taken a more pragmatic approach to pricingto be able to cater to a wider range of customers. You must balance what type ofimprovements it can do for your finance function versus the costs involved.On top of the license fee of the software, one of the things you also need to ask aboutis how much the annual maintenance fee is and how many consulting hours youwould need to implement it as these things can compound the costs of the budgetingsoftware.THE CFO GUIDE TO BUYING A BUDGETING AND PLANNING SOFTWARE 20167
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OBSTACLES IN FINDING THE RIGHT SOLUTIONWITHIN A REASONABLE TIMEFRAMEThe process of arriving into aconcrete decision over which of all ofthe providers give the most value toyou is a long one spanning severalmonths to years. Rightfully so, thereare several things that must belooked into.Budget is usually the biggesthindrance in finding the right solution.Several established providers quotethe most random and ridiculousprices out there. Traditionally, theexpensive one was perceived to bethe trusted one. However, times havechanged. We now know for a fact thatprices can be completely whimsicalon the side of the providers. As apotential buyer, you must spend sometime looking into several options andcomparing the price tags of each ofthese options.When investing in a new budgetingand planning solution, one of thegreat things about it is that it forcesyou to answer difficult questionsabout how your processes andorganization work in general.Budgeting is an exercise that piercesthrough several departments of theorganization so at times the answersto these questions are not easy tofind.Once the questions are answered thiscan lead to business standardizationwhich is a good thing. However, onthe down side, that can be a majorhindrance to finding the right solutionwithin a shorter span of time.Another key hindrance to findingthe right solution is the buy-in of theinfluencers. Sometimes, a specificsolution can have a strong advocatebut not everyone in the team is inand that causes a setback. It is bestthat the key decision makers lookinto the options at the same time sothey can discuss openly and evaluatealtogether before shortlistingproviders.Finding the right solution is critical toseveral organizations. It can spell thedifference between progressing andgetting stuck in their current stateof budgeting. Hopefully, with thequestions posed above, choosing theperfect solution that suits your needscan be relatively easier.THE CFO GUIDE TO BUYING A BUDGETING AND PLANNING SOFTWARE 20169
TOP BUDGETING AND PLANNINGSOFTWARE 2016Performance Canvas by DSPanelAnaplanEpicor Financial PlannerTagetikSAP BPCIBMWhitebirch PlanningTrue SkyTCM by TCM InfosysCastawayGide Financial Modelling SuiteHubbleVena SolutionsBoard InternationalCentageBig Boss by DSE GroupProphixBudgeting Entry by IsidoreOracle Planning and BudgetingCalumoLongview PlatformPowerPlan10THE CFO GUIDE TO BUYING A BUDGETING AND PLANNING SOFTWARE 2016
About Performance Canvas by DSPanelWith Performance Canvas we deliver Financial Reporting, Planning, Budgeting, PerformanceManagement and Consolidation in a way that will put your business into overdrive.Based on the ease-of-use of Microsoft Excel and the full power of Microsoft SQL Server wedeliver Finance and Performance Management complementing your selected combination ofERP and Line-of-Business systems.Your Finance & Management teams will increase agility, productivity and efficiency within minutesusing pcFinancials, pcMobile and pcLegal products powered by DSPanel.The experts behind all Performance Canvas products are the very same experts who designedHyperion Enterprise, IBM Cognos and Consolidator (frango and IBM), SAP BPC, and ClaritySystem.Performance Canvas was built from the ground up to answer the unarticulated needs of themarket not addressed by previous available mTHE CFO GUIDE TO BUYING A BUDGETING AND PLANNING SOFTWARE 201611
2 THE CFO GUIDE TO BUYING A BUDGETING AND PLANNING SOFTWARE 2016 INTRODUCTION CFOs today face increasing pressure of better budgetary control because budgets today are used for performance planning and evaluation of actual business performance. True enough, budgets can tell us a number of things because
