What is Financial Multi-Scenario Planning? With multi-scenario Planning, companies are able to analyze several potential business outcomes and forecast what overall performance would look like with each of these models. What would happen to sales? Employee headcount? Cash flow? The key drivers of each scenario are identified and modeled out to create a complete picture of the budget or forecast. This allows companies to better prepare for and predict future performance, and help account for areas of uncertainty. Why is Financial Multi-Scenario Modeling Important? When companies create an annual budget, it captures the best assumptions for performance in the coming year. These assumptions are

Precise financial planning is an integral part of every business’s success. It also takes a substantial amount of time and energy from the business’s financial department, especially if the business is dealing with a volatile market. To meet the need for accurate and consistent budgeting, forecasting and financial analysis, large companies have formed specific financial planning and analysis (FP&A) branches within their organizations to help them plan for the future. FP&A professionals help companies tighten their financial processes and make more informed decisions regarding business operations and financial goals. Keep reading to learn more about the FP&A process and its benefits — and how

Forecasting is always an essential part of any business, and the workforce is typically the largest expense. Workforce planning includes salaries, commissions, benefits, taxes, retirement, and much more. On average, workforce expenses comprises over 30% of gross sales, but it can be over 50% depending on the industry. Workforce forecasting should always be the top priority for any organization. Our guide will cover many alignments with strategies, access to data, and best practices on workforce planning and forecasting. How to Develop a Strategic Plan for Workforce Forecasting There are many questions to ask prior to starting any type of forecasting, and workforce-related items are often

Nobody likes a budget that is far off target, especially when it could result in a liquidity crisis. Luckily, most companies rarely have to experience such a stressful event. Although, in a turbulent economy where interest rates and stock indexes move up and down like yo-yos and news about corporate layoffs are part of daily news headlines, strong financial clarity does not seem like a bad idea. So, what does a cash flow forecast mean to most people? Here is a definition: A cash flow forecast is a plan that shows how much money a business expects to receive in, and pay out, over a given period of time. Based on the definition above, it seems logical that all businesses should have a cash flo

As we all struggle to adjust to our new reality of social distancing and general economic uncertainty, it seems as if our expectations for the future are changing day-by-day, if not hour-by-hour. It is hard to tell what next week will be like for businesses across the world, much less what next month will look like – or six months from now. However, with a good Corporate Performance Management (CPM) solution, your company can gain insight into a range of possible future scenarios, so you can start executing meaningful action items right now. With the right CPM in your toolbox, you can get fast answers to pressing COVID-related questions, such as: How will it impact my business if I let some