Is Enterprise Performance Management Integral to Effective...

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Is Enterprise Performance Management Integral to Effective Financial Management?

By CFO Tech Outlook | Wednesday, February 17, 2021

Enterprise performance management provides the structure and scale necessary to effectively connect performance and strategy.

FREMONT, CA: Enterprise performance management (EPM) is an integrated management method that directly links strategic goals to the operational and financial tasks needed to reach those goals. EPM aligns the processes, systems, and metrics required to measure and manage an organization's performance. Such analytics can increase the pace of identifying business problems and drivers and develop better change-agility. Here is what EPM is and how it can help the organization enhance its operational functions.

Enterprise performance management aims to enhance a range of business operations—including planning, reporting, and analysis—by making sure that the data used in these operations is both accurate and consistent. EPM software connects the day-to-day operations and performance to the company's business objectives. But it's not just a connective tissue within the business. Enterprise performance management is tailored to manage better outcomes from everyday activities, all in service of its financial and strategic objectives—while laying a foundation for the future.

Financial reporting, planning, and modeling are all critical financial tasks enabled or supported by enterprise performance management, but the software's potentials to integrate with other business solutions enable its functionality to benefit all departments across the firm. The platform management provided by modern EPM solutions alleviates IT demands; their resource management potentials support project management, production, and other business processes; and their analytics and real-time data can be used by sales, marketing, customer service, and virtually every other department within the firm.

A comprehensive EPM solution will offer collaboration tools as a built-in component of its platform. This enables financial planning and other activities to incorporate modern workflow solutions that coordinate tasks and exchange communications and data seamlessly and instantly. When utilized widely in the company, the EPM will enhance the efficiency and productivity of projects spanning departments, generating faster results and better ROI for the business.

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