Anaplan Demo – How to FP&AI 008: LRP Like a Boss

LRP Like a Boss

Executive LRP meetings are massively tech-constrained considering those in the room (CXO’s and BU Leads ) and the subject of their discussion (the literal future of the company ).

Those meetings are held back by
static decks,
analog whiteboarding, and
the fundamental inability to immediately perceive the impacts of the ideas being proposed.

But what if you – humble FP&A leader – had enabling technology that could facilitate that discussion in real-time?

In this video, we’ll show you how FP&AI gives you the power to intelligently facilitate long range planning using the phenomenal power of Anaplan’s breakback functionality.

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Series: How to FP&AI
Ep. 8: LRP Like a Boss
#fpanda #lrp

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I’m an FP&A Tech expert at Constellaition
100+ successful solutions for 40+ customers over 12+ years
Our FP&AI solution is a best-practice budgeting and forecasting application built on the Anaplan platform.
Combine your business data with our Anaplan/FP&A experience for a flexible and future-proof foundation – without reinventing the wheel or breaking the bank.
Interested in learning more? Reach out today!

Constellaition’s FP&AI solution is an enterprise budgeting and forecasting application built on the Anaplan platform.  Leverage your business data combined with our Anaplan / FP&A experience for a flexible and future-proof foundation – without having to break the bank or reinvent the wheel.  Click the link below to find out more.

Timestamp Captions 00:00 – 00:04 Hi there. I’m Zaf Kamar and I’m back with another episode 00:04 – 00:08 of our series How to FP&AI. In today’s video, we’ll go 00:08 – 00:11 through the LRP and target setting process and demonstrate 00:11 – 00:14 how this comes to life in FP&AI and how it’s directly 00:14 – 00:18 integrated into the annual operating plan process. With 00:18 – 00:21 this immensely powerful functionality, FP&A is empowered to 00:21 – 00:25 facilitate impactful business strategy sessions with 00:25 – 00:28 executives and in communicating those strategy outcomes to 00:28 – 00:31 the field. Let’s get started. 00:31 – 00:33 Now, I’ve already done a video on why you should set 00:33 – 00:36 targets linked to. That video will be down in the comments. 00:36 – 00:38 That was tell. Now let’s show. 00:38 – 00:41 At some point in the back half of the year, your executives 00:41 – 00:44 will get together to do some long range planning or target 00:44 – 00:47 setting with the first year of that plan turning into the 00:47 – 00:50 starting point or the benchmark for your annual operating 00:50 – 00:53 plan when you’ll open up your plan for budgeters. 00:53 – 00:56 Now we’ll go into our target settings, screen A2. 00:56 – 00:58 This screen will present my current year, budget and 00:58 – 01:00 forecast. 01:00 – 01:03 And we’ll give me the ability to plan five years of a long 01:03 – 01:06 range plan or a target, the first year of which is going to 01:06 – 01:10 be cascaded and be the target for my annual operating plan. 01:10 – 01:13 Now there are multiple grids on this board that are gonna 01:13 – 01:16 allow me to plan across account categories or business 01:16 – 01:19 units or departments or even down to the account level if I 01:19 – 01:23 need to. Now let’s go ahead and do some long range planning. 01:23 – 01:26 First thing, you’ll see this little purple triangle on the 01:26 – 01:29 top left of each cell. That’s Anaplan telling me that break 01:29 – 01:32 back is enabled for these cells. Break break back is a 01:32 – 01:35 powerful piece of functionality that lets me do 01:35 – 01:38 bidirectional input. First example of this, let’s say I 01:38 – 01:41 wanted to set profit targets for each year. 01:41 – 01:44 As I input at the top level here and this is going to be at 01:44 – 01:46 the total company level. 01:46 – 01:49 Keep an eye on the chart of accounts below to see that they 01:49 – 01:52 will prorate their amounts properly according to the 01:52 – 01:54 percentage of total. 01:54 – 01:58 So we’ll get go ahead and do some inputs here. 02:08 – 02:11 Now what you’ll see is happened is that the amounts have 02:11 – 02:14 been prorated accordingly, and as I scanned down to the 02:14 – 02:17 other grids here, you’ll see that Anaplan has executed this 02:17 – 02:19 break back across multiple dimensions. Millions of 02:19 – 02:22 intelligent cell changes all at once, and neither Excel nor 02:22 – 02:26 any other major planning platform can do this at scale. 02:26 – 02:29 Next we’ll demonstrate break backs, ability to hold values 02:29 – 02:32 constant as I highlight my operating profits and right 02:32 – 02:33 click. 02:33 – 02:36 We’ll see a menu that pops up that allows me to hold these 02:36 – 02:38 values. 02:38 – 02:40 Now I’m going to turn my attention to planning my top line 02:40 – 02:43 revenue with the hold enabled. Let’s see the behavior of 02:43 – 02:46 this functionality. 03:03 – 03:06 Here we can see break Back has helped my profit consonant 03:06 – 03:09 and has adjusted COGS and OpEx to meet those profit targets. 03:09 – 03:13 Scanning down again, we can see this change has made its 03:13 – 03:16 way through millions of sales to finish this out. 03:16 – 03:18 Let’s see how this is integrated throughout our application. 03:18 – 03:21 This looks great, but it would be a shame if this were a 03:21 – 03:23 one off exercise that didn’t tie into our operating plan 03:23 – 03:26 process for the next year. Now as I change over to my next 03:26 – 03:28 year budget planning dashboard. 03:28 – 03:31 Can I scan down? 03:31 – 03:34 What I’ll be able to see here is that the amounts in the 03:34 – 03:37 variance analysis P&L are reflective of the target setting 03:37 – 03:39 changes that we’ve made. 03:39 – 03:41 This video is ultimately about closing the strategy 03:41 – 03:45 execution gap. On the strategy side, this functionality is 03:45 – 03:48 one that is skilled VP or Director of FP and A could use in 03:48 – 03:51 an LRP executive meeting to build the long range plan on 03:51 – 03:54 the fly during the meeting. This app could practically pay 03:54 – 03:57 for itself in that one meeting alone considering the time 03:57 – 04:00 value of the executives in the room on the execution side, 04:00 – 04:03 being able to convey those targets seamlessly to the annual 04:03 – 04:06 planning process, we’ll save you huge amounts of time as 04:06 – 04:11 well. That’s all for today. I’ll see you in the next video.