Corporate performance management (CPM) is a crucial component in effectively handling business intelligence to promote the interests of an organisation. It essentially involves working with data to analyse and manage business performance against key performance indicators with a view to improving results. CPM is traditionally something that falls to the finance department so it’s often here the that the benefits are most felt when it comes to improving efficiency and enabling the finance team to add more value.
The benefits of CPM:
Better data handling
A good CPM solution provides a simple, but effective, way to streamline the approach to data handling within the business. It will facilitate collection, aggregation and reporting of data from a wide range of different sources, making it simpler and faster to get results from that data.
More efficient resources
Spreadsheets have traditionally been the resource of choice for data handling but are not particularly efficient and can be cumbersome when it comes to analysis and reporting. Working with a CPM solution eliminates the need for spreadsheets, replacing them with a much more efficient infrastructure instead.
Providing actionable insights
Today, businesses are generating data all the time. However, this data is virtually useless if there is no solution in place to organise it. With the right CPM and clearly defined performance metrics, actionable insights can be produced to support better decision making.
More in-depth insights
The finance team may be used to creating forecasts for the business but have only limited understanding of the implications of those numbers. A CPM solution can help to add depth to what the finance team does. For example, it will be possible to create cost, revenue or resource modeling that provides more in-depth insight into what the forecasts that are being generated really mean for the business as a whole.
With a CPM solution financial data is more credible, which can make a big difference when it comes to managing operational risk within the business. Workflow becomes seamless and accountability is well established.
Data protection and security
Every business today has to prioritise security when it comes to matters that involve data handling. Spreadsheets and files can be very vulnerable but a CPM solution provides an obvious way to set higher data security standards and improve the quality of governance and operational accountability. This could be essential, not just in terms of avoiding data issues but with respect to compliance too.
Solving issues that hold many businesses back
For example, a CPM solution can align corporate strategy and the way operations are handled to improve cash flow. It will reduce the amount of time that has to be dedicated to manually collecting and processing data. Plus, there are benefits in terms of the way the data is organised, as well as when it comes to standardising data across an organisation.
These are just some of the benefits of CPM for your business. The positive impact of this type of solution goes beyond the finance team to the broader organisation too. Get in touch with CFM Systems for your requirements today.