Skip to main content
Home
The Online Resource for Modern FP&A Professionals
Please register to receive the latest FP&A news, updates and tips Login

Main menu

  • Home
  • FP&A Insights
    • FP&A Trends Digest
    • FP&A Trends Research
    • FP&A Trends Insight Paper
    • FP&A Trends Survey
    • Short Videos
    • Our Contributors
  • FP&A Events
    • International FP&A Board
    • FP&A Trends Webinars
    • Digital FP&A Circles
  • AI/ML Committee
    • Introduction
    • Members
    • Resources
    • Meetings
  • FP&A Tools
    • FP&A Trends Maturity Model
  • About Us
    • Company Policy
    • Privacy Policy
    • Editorial Guidelines
    • Our Ambassadors
    • Our Sponsors & Partners
    • Contact Us
image
Top 5 FP&A Trends and Challenges
January 6, 2016

By Larysa Melnychuk, CEO and Founder at FP&A Trends Group and International FP&A Board

FP&A Tags
Financial Planning and Analysis
Modelling and Forecasting
FP&A Technology

The past 5 years have seen significant transformations in the FP&A world.Trends

I have been fortunate enough to have travelled extensively and seen these changes. I observed many restructures, system implementations, analytical insights and innovations, redundancies, frustrations, deadlines… In other words- I saw a lot of changes in the FP&A World first-hand: both successful and painful. I met a lot of FP&A professionals – hard-working, exciting, inspiring and often burned out.

In this article, I want to share my list of the Top 5 FP&A Trends.

1.  Quality of FP&A data

Good quality FP&A analytics starts from clean and reliable data. In other words, data quality is an essential characteristic that determines the reliability of data for making decisions. When different systems and tools do not speak to each other, finding "the one source  of truth" can be a very time-consuming and expensive exercise. Lack of good quality FP&A data is a renowned reason for many FP&A inefficiencies. When the valuable FP&A effort is spent on data cleansing and reconciliations, there is not enough time left for analytics. In the new year, we will continue to see many projects focusing on improving data quality.

2. Flexible and Dynamic FP&A Models

Traditional budgeting, planning, and forecasting have always been too detailed. Many companies still plan and forecast to the level of their General Ledger. Such a detailed planning process leaves no time for decision-making and improvements. In the near future, we will see more companies re-adjusting their planning models to driver-based, less detailed, more flexible and dynamic ones.

3. Shorter FP&A Cycles will improve the decision-making process

If your company is still involved in a lengthy and inefficient planning and forecasting battle, it is time to reconsider your process. If your forecasting cycle is more than 3 days and your annual planning process is longer than 3 months, you are most probably not realizing the true potential of your FP&A capabilities. Decision-making has a lead-time and FP&A process should be capable of supporting it. In the near future, many companies will restructure their FP&A processes in order to decrease the planning and forecasting cycles.

4. FP&A and Strategy Execution

Historically, FP&A often stayed away from the strategic planning process. Today the FP&A world is becoming more involved in long-range planning processes. We will continue to observe the gradual harmonization of these two processes. Modern systems can help FP&A to connect Strategic and Business planning through drivers and collaborative routine.

5. Modern FP&A Education will be in High demand

There is a high demand for fresh FP&A talent in the market place. The demand drives the supply. In the near future,  we will see a high interest in modern FP&A education. The world needs a new generation of FP&A professionals: bright, analytical, communicative, strategic and influential.

Enjoy the challenges that lie ahead of us. At the times of black swans and perfect storms, the FP&A world needs these changes and disruptions.

“Great innovation only happens when people aren’t afraid to do things differently”.  
                                                      --George Cantor, the founder of Set Theory

The full text is available for registered users. Please register to view the rest of the article.
  • Log In
  • or
  • Register
+

Subscribe to
FP&A Trends Digest

We will regularly update you on the latest trends and developments in FP&A. Take the opportunity to have articles written by finance thought leaders delivered directly to your inbox; watch compelling webinars; connect with like-minded professionals; and become a part of our global community.

Create new account

image

Event Calendar

Pagination

  • Previous
  • May 2025
  • Next
Su Mo Tu We Th Fr Sa
27
28
29
30
1
2
3
 
 
 
 
4
5
6
7
8
9
10
11
12
13
14
15
16
17
Transforming FP&A Together: Human & AI Synergy
 
18
19
20
21
22
23
24
Moving from FP&A to Extended Planning and Analysis (xP&A)
 
Five Critical Roles for Building a World-Class FP&A Team
 
25
26
27
28
29
30
31
FP&A Business Partnering and AI: A New Era
 
All events for the year

Future Meetings

The Face-to-Face Amsterdam FP&A Board
The Face-to-Face Amsterdam FP&A Board Transforming FP&A Together: Human & AI Synergy

May 15, 2025

The Face-to-Face Milan FP&A Board
The Face-to-Face Milan FP&A Board Moving from FP&A to Extended Planning and Analysis (xP&A)

May 20, 2025

The Face-to-Face Frankfurt FP&A Board
The Face-to-Face Frankfurt FP&A Board Five Critical Roles for Building a World-Class FP&A Team

May 22, 2025

BPAI
The FP&A Trends Webinar FP&A Business Partnering and AI: A New Era

May 28, 2025

The Face-to-Face London FP&A Board: Data Management & Analytics: Unlocking FP&A Value
The Face-to-Face London FP&A Board Mastering Data in FP&A: Smarter Analytics, Better Decisions

June 5, 2025

FP&A Trends Webinar The Evolving Role of FP&A: From Number Cruncher to Strategic Advisor
The FP&A Trends Webinar Making FP&A Teams Fit for the Future

June 11, 2025

The Face-to-Face New York FP&A Board
The Face-to-Face New York FP&A Board From Insight to Impact: FP&A Business Partnering in Action

June 17, 2025

The Face-to-Face Sydney FP&A Board
The Face-to-Face Sydney FP&A Board Modern Financial Planning and Analysis (FP&A): Latest Trends and Developments

June 26, 2025

The Face-to-Face Singapore FP&A Board: Modern Financial Planning and Analysis (FP&A): Latest Trends and Developments
The Face-to-Face Singapore FP&A Board Modern Financial Planning and Analysis (FP&A): Latest Trends and Developments

July 8, 2025

AI/ML FP&A
AI/ML FP&A
Data and Analytics
Data & Analytics
FP&A Case Studies
FP&A Case Studies
FP&A Research
FP&A Research
General
General
Integrated FP&A
Integrated FP&A
People and Culture
People and Culture
Process
Process
Technology
Technology

Please register to receive the latest FP&A news, updates and tips.

info@fpa-trends.com​

              

Foot menu

  • FP&A Insights
  • FP&A Board
  • FP&A Videos

Footer countries

  • Amsterdam
  • Austin
  • Boston
  • Brisbane
  • Brussels
  • Chicago
  • Copenhagen
  • Dubai
  • Frankfurt
  • Geneva
  • Helsinki
  • Hong Kong
  • Houston
  • Kuala Lumpur
  • London Board
  • London (Circle)
  • Melbourne
  • Miami
  • Milan
  • Munich
  • New York
  • Paris
  • Perth
  • Riyadh
  • San Francisco
  • Seattle
  • Shanghai
  • Singapore
  • Stockholm
  • Sydney
  • Tokyo
  • Toronto
  • Washington D.C.
  • Zurich

Copyright © 2025 fpa-trends.com. All rights reserved.

0