I was invited to do a guest blog post and serve as an Advisor for Funding Profiles, a Santa Clara-based company offering a powerful suite of financial analytic tools that “integrates with existing business applications to continuously translate traditional financial metrics into the language of business strategy”. For companies with thousands of products, infrastructure, and processes spanning the globe, the ability to ‘drill down’, examine ‘what-ifs’, and assess how and if global LOBs meet KPIs and support the strategic plan, is a powerful planning tool.
But markets and technology are moving quickly, consumer power is increasing, and external global factors will impact all global businesses which creates risk and uncertainty. In fact, one study shows macro-environment, competitive and corporate positioning factors account for about 80 percent of ROA variation among LOBs. So optimizing the company’s internal resources, processes, and KPI’s really addresses only 20 percent of the planning challenge based on these findings.
My blog post describes some of today’s traditional strategy and market analysis tools and how powerful emerging analytics are reshaping today’s corporate planning strategy planning process. The starting point- developing the ‘big data’ analytic framework with powerful visualization and analysis tools and that is what Funding Profiles has achieved. Integrating the analytic framework with new analytics capable of analyzing both external structured data and unstructured text is where we are heading. And I do expect major global competitors to embrace these new capabilities, recognizing that these new tools can provide a competitive edge, creating what Tom Davenport (Author- Competing on Analytics: The New Science of Winning) defines as “analytic competitors”. You can read my entire post at http://www.fundingprofiles.com/blog/index.html
Paul B. Silverman
July 21, 2014