MFMatthias Frey

Case Study

FP&A & TM1 Performance Management Rollout

Implementation of a central FP&A and performance management platform based on TM1 to harmonize planning, forecasting, management reporting and KPI steering across multiple countries and entities.

Project Scope

  • Scope: 12 countries / regions: DE, AT, CH, FR, IT, UK, TR, DK, SE, FI, NO and ZA
  • Structure: 18 legal entities
  • Volume: approx. USD 500 million revenue volume
  • Initial structure: decentralized controlling, reporting and planning structures with different local logics, Excel-based processes and heterogeneous data sources
  • Target structure: central FP&A and performance management platform based on TM1 with integration into Oracle ERP, data warehouse structures and operational data sources
  • Focus: FP&A, budgeting, forecasting, management reporting, actuals, scenarios, KPI steering, operational performance indicators, data warehouse integration and central controlling governance

Initial Situation

The European entities operated with different planning, reporting and controlling structures. Forecasts, budgets, management reports and operational KPIs were only comparable to a limited extent, as local data sources, reporting formats and planning logics had grown historically.

In parallel with the implementation of a Global Chart of Accounts and new accounting structures, TM1 was rolled out as a central platform for planning, forecasting and reporting. Actual data was provided from Oracle ERP, while planning and forecast data was transferred into TM1 via standardized templates and made centrally available.

At the same time, key controlling and FP&A functions were centralized into the UK parent company. Local entities continued to provide relevant business input, while group-wide steering, planning consolidation and management views were increasingly centralized.

Complexity

The core challenge was to introduce TM1 not as an isolated reporting tool, but as an integrated FP&A and performance management platform for an international group structure.

Particularly complex were:

  • parallel rollout alongside new accounting, posting and reporting logic
  • harmonization of different local planning, forecasting and reporting processes
  • centralization of key FP&A and controlling functions into the UK parent company
  • integration of Oracle actuals, Excel-based planning templates, data warehouse structures and operational data sources
  • development of consistent dimensions, data models, versions and scenarios for actuals, budget, forecast and management adjustments
  • consideration of local planning views while also enabling group-level management initiatives and overlays
  • connection of finance data with operational KPIs from sales, call center structures and other business functions
  • permission and access concepts for local entities, regional responsibility levels and senior management
  • ensuring data quality, mapping, comparability and adoption during live planning and reporting cycles

A key focus was not only to process financial data from accounting, but to integrate operational drivers into the steering logic. This included sales and pipeline data, call center KPIs such as calls per hour or average handling time, as well as cost and salary data to derive more reliable productivity, efficiency and profitability KPIs.

Implementation

The project was implemented as an international FP&A and performance management rollout. The objective was not only to introduce a new software solution, but to build a consistent steering architecture for planning, forecasting, reporting and management decision-making.

Implementation was structured across several workstreams:

FP&A Operating Model
Centralization of key controlling and FP&A processes into the UK parent company. Definition of new roles, responsibilities, input processes and alignment structures between local entities, regional steering and group function.

TM1 Platform Rollout
Development of a TM1-based platform for actuals, budget, forecast, reforecast, scenarios and management views. Standardized templates enabled structured transfer of planning and forecast data into the central system.

Data & Systems Integration
Integration of Oracle ERP for actual data as well as data warehouse structures and operational data sources. This enabled finance data to be connected with information from sales, call center structures and other systems.

Planning & Forecast Governance
Definition of harmonized planning cycles, forecast versions, data statuses, permissions, local input processes and group-level management overlays. This allowed local planning to be combined with central initiatives and management assumptions.

Performance Management & KPI Logic
Development of KPI logic combining classic financial metrics with operational performance data. This enabled not only P&L information, but also operational drivers such as productivity, pipeline, cost structure and performance to be included in management steering.

Role & Contribution

My focus was on the functional, commercial and organizational steering of the rollout in coordination with local entities, central FP&A, accounting, IT and management.

This included:

  • contributing to the steering of the TM1 rollout for the responsible countries and entities
  • defining functional requirements for planning, forecasting, management reporting and KPI steering
  • aligning local requirements with central reporting and steering standards
  • supporting the centralization of key FP&A and controlling functions into the UK parent company
  • ensuring the connection between accounting data, planning data and operational performance indicators
  • structuring forecast templates, planning logic, scenarios and management views
  • integrating sales, call center and other operational data to derive reliable finance KPIs
  • contributing to permission, access and reporting logic for local and group-level steering
  • supporting change management, alignment with local entities and stabilization of the new processes

Result & Impact

The project created the foundation for a significantly more standardized, data-driven and group-wide comparable FP&A and reporting structure.

Key effects included:

  • implementation of a central TM1-based FP&A and performance management platform
  • harmonization of budgeting, forecasting and reporting processes across 18 legal entities
  • improved comparability of actuals, budgets, forecasts and management reports
  • reduced dependency on decentralized Excel-based processes and isolated local solutions
  • stronger connection between Oracle actuals, planning data and operational data sources
  • ability to drill down from group level to countries, entities, cost centers and operational drivers
  • development of reliable KPI structures for management, controlling and operational steering
  • improved transparency over productivity, cost structures, pipeline, profitability and performance drivers
  • stronger foundation for scenario analysis, management adjustments and group-level initiatives
  • centralization and professionalization of key FP&A processes in the UK parent company

The impact was therefore not limited to the introduction of a new system. The project structurally improved management steering by transforming heterogeneous local planning and reporting processes into a central platform that connects financial data, operational drivers and management assumptions within one consistent steering logic.

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