The Hidden Benefits of CPM: Beyond Financial Reports

General benefits of corporate performance management

Corporate performance management involves the metrics, methodologies, systems and processes that are used to monitor and manage a company’s financial health. In this regard, it consists of a strategic side that involves future planning, and an operational one concerned with KPIs to keep track of business performance. Although the best-known CPM benefits are associated with processes such as reporting, budgeting, forecasting, or consolidation and close, these are not the only advantages. 

CPM benefits: improving communication and decision-making

CPM tools can be used for communication purposes so that everyone is clearly aware of what is expected. Thus, real-time tracking of progress to make any adjustments that may be required ensures that all efforts support the company’s goals. Some of the benefits of CPM in this regard are thanks to the following functions:

• Automatic notifications to users and reminders of deadlines.
• Process scheduling.
• Imported data approval requests.
• Report distribution via email.
• Provision of predefined templates for users to enter data.

Moreover, the streamlining of workflows improves interdepartmental collaboration, which results in faster decision-making and, in turn, greater productivity.

Benefits of CPM and performance analysis

The possibility of performing comprehensive data analysis and continuous tracking of KPIs is another of the benefits of CPM. Hence, the level of detail that can be achieved improves insights, making it easy to communicate the value of financial data across the company, as well as to stakeholders, so that everyone is on the same page. Besides, it allows you to examine historical data to avoid past mistakes or take prompt remedial action. 

Benefits of corporate performance management for goal alignment

Another of the CPM benefits that should be noted is its role in achieving a perfect alignment of goals across the entire company, ultimately leading to sustainable business success. How can it help?

• It makes strategic planning easier.
• It ensures consistency in financial projection.
• It provides a holistic, real-time view of business performance that encompasses all areas, allowing a full understanding of the company’s financial health.

Software to make the most of CPM benefits

Choosing financial software that meets your company’s needs is essential to make the most of the benefits of CPM. In any case, the basic features of your solution should cover the following:

• Budgeting and forecasting.
• Financial reporting and consolidation.
• Performance monitoring, measuring and analytics.
• Strategic planning.
• Risk management.

In short, knowing about the additional benefits of CPM can help you capitalize on your solution. In this regard, choosing modern CPM software such as Talentia’s will give you a competitive advantage, promoting your company’s growth and ensuring business success.