2020 has been the most difficult year in modern history. As Einstein said, “In the middle of every difficulty lies opportunity.”  This survey we believe offers hope, insight, and a much-needed reality check on where FP&A is today.  It also forecasts what needs to happen for FP&A teams to develop their best practices from theory into reality.

This article details the main benefits and drawbacks of predictive planning. It provides recommendations on where to start your journey and how to avoid the most common mistakes.

On 3 December, we had an interesting debate on why extended planning and analysis (xP&A) is playing an increasingly important role in finance. Senior finance professionals from Deutsche Bahn, Jedox and Microsoft shared their views on the subject.

Computer simulations allow us to play out various scenarios repeatedly and assess the outcomes. It is also true for computer simulations that are used in finance. Through scenario analysis, we can gain some comfort and assurance that the decision taken is the right one given the circumstances. However, there are a few considerations with the use of artificial intelligence (AI). 

While automation has eliminated many repetitive tasks, the next step for FP&A is to develop advanced analytics capabilities.

FP&A Digitalisation was discussed at several FP&A Boards in the past but the recent mindset shift has changed the perspective. It went from anxiety before the implementation to peace of mind in fully controlling the processes and confidence in the quality of provided FP&A insights.