Many business professionals have discovered the growing popularity of integrated business planning. In order to properly execute integrated business planning, professionals must understand what it entails.
Integrated business planning is defined as a comprehensive plan that connects strategic plans with operational, sales, and financial planning initiatives with consideration of both financial objectives and resources available.
Integrated business planning offers organizations various significant benefits. Increased accountability and alignment are often referenced as a top benefit of successful integrated business planning.
Organizations often dedicate a massive amount of employee time and labor costs debating which plans are worth undertaking. Alternatively, integrated business planning allows team members to agree upon a plan as well as clearly comprehend their role within it.
When everyone involved in integrated business planning is working together, not against one another, the entire organization benefits. The employee time and labor costs that would have otherwise been wasted on debating can be redirected towards integrated business planning initiatives.
Another noteworthy benefit of successful integrated business planning is increased visibility. Increased visibility is accomplished through the incorporation of insights from supply chain projections, strategic planning initiatives, operations planning initiatives, and financial operational projects.
Information from demand planning and supply planning should be evaluated to increase both forecast accuracy and planning initiatives. Customer experience and employee experience feedback may also be incorporated.
The larger the number of insights incorporated, the more well informed decision making capabilities are. Well informed decision making capabilities directly translate into more comprehensive action steps formulated.
Ultimately, better decision making is likely to contribute towards business goal achievements. Tips and best practices for integrated business planning include-
Great integrated business planning requires strong leadership. As such, a qualified executive must be assigned to the role of overseeing the planning systems in place.
The leader of integrated business planning will be in charge of a variety of tasks including real time consulting duties as well as efforts towards aligning stakeholders. The integrated business planning leader is also responsible for creating a work environment that allows team members to work together effectively towards sales operations optimization.
Of course, the leader of integrated business planning may request help from human resources and other business management professionals. Ultimately, the leader is responsible for integrated business planning running effectively.
Defining a clear mission is crucial for integrated business planning success. Well defined objectives are also important for establishing what integrated business planning hopes to accomplish.
Alternatively, a lack of well defined objectives will likely result in wasted available resources.
The real time effort that the integrated business planning team puts towards organizing pays off in the long run. Best practices assert that processes must be both cross functional and well designed.
When the entire team is aligned and motivated to achieve a common objective, less time is wasted on unnecessary process maintenance.
A great integrated business planning team should be comprised of individuals that possess a wide range of knowledge, expertise, and skills. Two skills necessary for integrated business planning are strategic planning and supply chain planning.
Excellent financial planning skills are also desirable for optimal integrated business planning success. As a result of successfully identifying team members with these skillsets, integrated business planning implementation will likely be much easier.
The increased digital transformation of outdated business processes has supplied businesses with more real time advanced analytics accesible than ever before. However, an organization must know how to utilize real time advanced analytics properly.
Real time advanced analytics supply integrated business planning team members with scenario planning capabilities. Another benefit that real time analytics supports is improved decision making capabilities.
Overall business performance and financial planning are also improved through the information that real time advanced analytics supplies. Advanced analytics could help business professionals with everything from operational plans to long term performance management processes.
Instead of a business being more reactive, proactivity is encouraged through real time data analytics accessibility. The potential for proactivity that real time advanced analytics supplies affords businesses the opportunity to gain and maintain a competitive advantage.
Too often businesses expect outstanding results without utilizing the proper tools. Similar to real time advanced analytics, artificial intelligence tools are not useful if they are not properly understood.
Due to the fact that integrated business planning is a cross functional initiative, artificial intelligence tools are necessary to suitably support it. The best tools will offer users agility, flexibility, and cross functional collaboration capabilities.
Especially for teams that are remote or otherwise not in the same geographical location, cloud based artificial intelligence tools are essential. Overall, successful integrated business planning initiatives require cross functional collaborative tools.
Successful integrated business planning execution is much more likely to occur with best practices adherence.
Best practices and tips for successful integrated business planning execution include proper delegation and utilization of cross functional collaborative tools.