What is an EPM solution?
An EPM solution is a software platform that brings together a set of analytical applications designed to facilitate decision-making and improve the company’s operational efficiency. (For more information about its technical features, please see our dedicated article.)
Thanks to this platform, the tedious production and processing of data from multiple spreadsheets such as MS Excel or Google Sheet is eliminated in favor of analyzing the information produced. Its added value therefore lies in optimizing business processes and securing strategic information. Above all, it saves a considerable amount of time while eliminating human errors!
Indeed, according to APQC and Forrest Research studies, it has been demonstrated that an EPM solution can reduce the time required to prepare budgets and forecasts by more than 40%, and closing times by 30 to 50%!
Who uses this type of solution?
EPM tools are primarily integrated:
- within a finance department to prepare the budget and forecasts, but also to manage the results of the entire company.
- within other support and operational functions seeking to optimize their operational management: HR, CSR, IT, Supply Chain, sales and operations (S&OP), Marketing, etc.
Generally speaking, any organization that processes and produces data for business management would benefit from adopting this type of solution. This is particularly true where there is significant complexity: several subsidiaries or legal entities, multiple departments and cost centers, numerous points of sale, products, resources, projects, etc.
What are the main benefits of a new-generation EPM tool?
1- Integrating data from multiple sources into a "single" multidimensional database
An EPM tool can collect your company’s data from different sources such as ERPs, accounting software, HRIS software, CRM systems, social networks, etc. It includes modules with integrated transformation capabilities for multidimensional reporting and use.
Thanks to this solution, data is centralized on a single business intelligence platform to provide "one version of the truth".
2- The ability to connect finance, operations and human resources
EPM technology includes features for creating multidimensional Finance, Operations and HR models that can easily interface and "communicate" within the single business intelligence platform. For example, financial forecasts can be enriched with HR, sales and operations data and vice versa. This is why we refer to "connected planning".
3- Automation and real-time calculation
Data collection and consolidation processes are automated, with performance indicators, analyses and simulations calculated in real time across large volumes of data.
4- Collaborative planning
Budget, forecast and business plan preparation processes are automated with an EPM. Geographically dispersed contributors collaborate by entering data in online forms directly integrated into the EPM database. Their entries then go through a submission and approval process from their manager up to the group level.
5- Simulation and modeling capabilities
An EPM tool enables the simulation of multiple scenarios ("what if?"). All business use cases can be modeled thanks to the powerful calculation engine, which enables the creation of configurable and easily adaptable business rules across large volumes of data.
6- Simplified ad hoc analysis
The ability to navigate from the most consolidated level of a result down to the transactional level with a simple double-click is one of the most appreciated features of EPM tools. You can perform analyses by dragging and dropping dimensions without needing to create pivot tables or complicated SQL scripts.
7- Predictive capabilities
The availability of predictive analytics functions in certain EPM solutions makes it possible to work on complex scenarios based on historical or entered data.
8- Simplified reporting through a user-friendly interface
Your results and analyses are presented in attractive dashboards, accessible in real time online and on mobile devices by all company stakeholders.
9- Data protection
In an EPM tool, access is secured by login and password. Audit trail features and functions for recording changes by user are extremely valuable for knowing who did what and when.
10- Cloud flexibility
The technology is securely available in the cloud from most vendors. There is no longer any need to purchase, install or technically maintain servers within the company.
11- Maintainability by non-experts and the power of No Code
Users do not need any programming or SQL knowledge to perform their analyses. EPM applications can be maintained by business users accustomed to handling data, without technical expertise.
12- Integration with artificial intelligence
These features should also be complemented by the recent and gradual integration of artificial intelligence, which can, among other things, assist users with their analyses. Through prompts and access to the tool’s database, AI can generate reports and even add KPIs and configure an analysis without the assistance of an expert.How can you find the solution that meets your needs?
The first step for a company without an EPM tool is to identify all business processes that involve processing numerical data, then determine which ones are priorities. It is often advisable to think big but start with "quick wins" by identifying processes that can be easily modeled, in order to subsequently encourage other, more significant projects. For example, budget and forecast preparation processes are often excellent starting points and are particularly well suited to EPM tools. The second step is to benchmark the existing solutions. There are more than thirty reliable and recognized EPM vendor solutions on the market. To find the solution suited to your needs and your company, it is recommended that you work with experts who can advise you on the advantages and disadvantages of each vendor solution, as well as on launching your project.With more than 20 years of experience in EPM, Pilotia’s experts have developed a comprehensive EPM Scan® Pro offering to support you in selecting a solution.
Discover EPM Scan Pro and obtain a diagnosis and recommendation of tools suited to your needs in just a few minutes. Once you have completed the assessment, you will have a clear view of the next steps and the budget required for your project.
Please also feel free to contact us.
