If FP&A professionals previously thought we had a tough job, the new reality of a very different world after COVID-19 will make our previous issues seem like a walk in the park. Where should we focus our efforts and how can we provide the businesses with the best ways to move forward?
How are you handling this mayhem? To better understand how to manage it, in this practical guide, we will look into four major dimensions.
In this article, I would like to share some insights on why your FP&A analytical transformation might fail and how to avoid this. The article is based on more than 20 years of relevant experience transforming large organizations.
The image of a silo is one that is sealed off from its surroundings. It is insular and protected. In the organisation, this has tended to manifest itself in functional silos. Meaning Finance, HR, IT, R&D, Supply Chain, Marketing etc. It can, of course, apply broader to also divisions within an organisation or even regions / markets. How does this relate to Finance?
All functions have operational deliverables, with perhaps a very few exceptions like a Corporate Strategy function. Given this “daily business” that has to be conducted, it is logical that when attempting change risk rears its considerable head. The greater the change impact and ambition, the bigger the risk has to be taken into account on how to guarantee “business continuity”. FP&A is not exempt from this.
The second Washington, D.C. area FP&A board was held on March 12, 2020 at the offices of Robert Half International in McLean, VA and was sponsored by SAP. It was a smaller board meeting, amidst emerging Coronavirus concerns, but the small size gave way to a lively and timely discussion about the evening’s topic: FP&A Analytical Transformation.