Understanding Rolling Forecasts

A Rolling Forecast process gives the necessary flexibility and reduces the time spend on budgeting and forecasting, leaves more time for analysis and understanding.

An analysis concludes: “Best-in-Class companies clearly outperform the rest when it comes to Re-forecasting, What-if Analysis, and Driver-based planning”.

Another survey finds that Agility is the Top Priority for Best-in-Class companies.

Today’s economic uncertainty is making it difficult to set clear goals and objectives and sustain a financial plan which supports them. Besides that, the competition is tough and margins are under pressure. Therefore companies must become more agile in order to contend with a volatile environment. Successful forecasting capabilities are a high priority helping to get more agile and adapt – even faster than today – to changing conditions in the market.

Rolling Forecasts

The traditional 12 month budget based on the fiscal year does not bring sufficient value to companies. It is a task performed yearly which is both a time-consuming and protracted process where the whole organisation is set under pressure. Often the outcome is a budget which does not give a contemporary picture as the cycle time has been too long from first draft to final version of the budget.

The solution is to approach processes differently by using better management tools to create value adding activities.

Join our webinar on the 27th of January at 2pm where will discuss and demonstrate how Rolling Forecasts can be achieved in IBM Planning Analytics.