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Today’s Finance Leaders are evolving from a transaction processing and historical reporting role to strategic business partners responsible for driving growth and creating value. They are achieving this goal by providing data and insights through Enterprise Performance Management (EPM).

Through our unrelenting focus, KPMG India can help you by developing an action driven EPM roadmap to realize targeted benefits. By seamlessly managing EPM complexities, we focus on delivering both competitive advantage and value to our clients in their journey towards achieving their EPM goal.

Financial Planning, Budgeting and Forecasting

The current competitive market, uncertain environment, pandemic, and the resultant market conditions have made organizations question and consequently realize the importance of preparedness as the key to resilience. Planning, budgeting, and forecasting is critical to translate the business strategy into a simple and executable story built into an organization’s future.

We believe that an integrated planning framework offering visibility of activities that deliver growth and analyze effective allocation of resources is critical to support business strategy.

Our approach focuses on evaluating the planning process, value drivers and their alignment to strategic targets while pulling the current pain points and their root causes. We help clients improve their existing planning, budgeting, and forecasting processes by focusing on one or more

Financial Planning, Budgeting and Forecasting

Integrated Business Planning (IBP)

Technology disruption is not new. However, the speed of disruption is faster and continues to accelerate. More and more organizations are recognizing challenges with respect to technology.

We observe that many finance leaders believe that

  • Planning takes too long to turnaround, so impacts are approximated in offline spreadsheet
  • Traditional planning tools do not the business and regulatory asks (relating to risk, capital, treasury)
  • Utilizing an EPM tool is costly as duplicate effort is required to produce and reconcile outputs
  • Management does not have the right tools and outputs to make better decisions

Integrated Business Planning (IBP) represents a new model for coping with volatile market forces and rapidly evolving business conditions. An Integral part of Enterprise Performance Management, IBP aligns strategic planning, operational planning, workforce planning, capital/investment planning and financial planning into a unified planning operating model to make proactive business tradeoffs while improving decision making.

IBP creates cross-functional alignment and integration of planning and execution processes to ensure optimal business performance, including reduction of operating expenses and inventory, increased on-time delivery of products and services, and improvement in budgeting and costing accuracy.

Integrated Business Planning (IBP)

This integrated approach emphasizes collaboration across business and finance stakeholders to connect changes in the environment with decision making and ultimately enable a more agile and responsive enterprise.

Management Reporting Framework

Performance reporting is a critical dip-stick approach to evaluate actuals against targets. It enables critical decision-making by providing actionable insights to measure, monitor and predict business performance.

Our management reporting and enterprise performance management framework helps clients decisively on what matters the most for an organization by offering improved business insight, dynamic management of goals and aligning behaviors and actions with strategic business objectives, ultimately improve business partnering and decision-making capabilities.

It considers wide array of aspects for leading enterprise operating model and aligns strategies, plans, decisions and actions through a tightly integrated capability across layers of target operating model that embed best practices to enable continuous 'plan-do-check-act' process and culture within the organization:

  • Organization and people
    • Defined ownership, integrate with other functions and improved capabilities 
  • Process, governance, and control
    • Standardized process, KPIs, definitions and terms
  • Service delivery
    • A separate discipline with clearly defined end aligned authority and responsibility
  • Data and reporting
    • Timely and structured reports with drill down via standard chart of accounts
  • Technology
    • Integrated operational and financial IT systems with aligned data source system

A holistic EPM framework delivers tightly integrated capability across people, process, and technology.

Management Reporting Framework

Multi-dimensional costing and profitability

We help clients manage profitable growth by creating a deeper understanding of cost and profitability along multiple dimensions such as product, customer, channels, market, etc. Our approach focuses on understanding a company's revenue analytics and creating a set of aligned cost Information to support the detailed analysis of both revenue and margin. This is accomplished by creating analytic models and reporting capabilities that leverage new sources of key cost and value driver data to support a deeper and more strategic analysis of costing, margins, and profitability.

Our framework enables clients to rapidly enhance profitability insight capability by developing an integrated model based on leveraging analytical tools such as Power BI®, Python®, Power Pivot® and Power Query® and providing a roadmap to sustain a long-term solution and insight as a service.

Key Capabilities include:

  • Looks at product lines as an investment portfolio
  • Provides roll-up insights from product, to product line, to brand, and to market
  • Recognizes multidimensional revenue and cost behavior
  • Looks at cost in a "life-cycle" concept with emphasis on " should-cost" analysis
  • Recognizes multiple value and cost drivers
  • Provides insight into unused capacity and opportunities
  • Aligns with industry specific needs
  • Provides insight into "complexity" of product
  • Incorporates all P&L elements, not just cost of goods sold
  • Cost and revenue are dimensionally aligned to create a complete picture of profitability
  • Calculates price at different sensitivity and under different scenarios

We also assist in developing or updating multi-dimensional costing and profitability framework including policy, process, and governance for allocation/appropriation of cost and capturing granular details through chart of accounts reengineering.

Our approach generalized approach in creating a multi-dimensional costing and profitability model for clients is simple yet highly:

  • Assess the business as well as management expectations.
  • We analyze the models and frameworks and determine the gaps in the models and design a comprehensive framework using ERP and other tools like Power BI®, Excel etc.
  • We help companies implement and further streamline the models and frameworks.
Why you should choose KPMG?
Why you should choose KPMG?