In an increasingly dynamic environment, integrated corporate planning is becoming more important.
The comprehensive integration of planning and analytics is an essential condition for holistic corporate management, the use of modern planning approaches and properly functioning performance management.
Integration must be carried out conscientiously at all levels to maximize its benefits. Integrated corporate planning and analytics quickly provide reliable and relevant information for corporate management only when all four aspects are addressed simultaneously.
Those aspects are:
- Integration of strategy management with annual planning and budgeting. Objectives and assumptions strategic planning must automatically be incorporated into annual planning. This is the only way to ensure that a company’s long-term goals are consistent with its medium and short-term goals.
- Integration of annual planning and budgeting with forecasting. This is the only way to ensure that decisions are based on the latest information available.
- Integration of operational plans with financial planning. Only this integration can ensure that the planning model represents a suitable image of the company and its environment and is therefore suitable for the best possible alignment with all internal and external relationships.
- Integration of planning with analytics and performance management. This is an essential prerequisite for holistic corporate management. The management of organizations profits from a seamless integration of analytics and planning functionality.
What are the main challenges in corporate planning today?
- 45% see integration with analytics as a means to gaining better insights with less effort.
- 40% are striving to improve the insights gleaned from planning and forecasting.
- 36% want faster and better forecasts.
The integration of planning and its integration with analytics are decisive success factors for effective performance management as well as for transparent, reasoned decision-making.
