One Source of Truth in Reporting and Forecasting for World...
Transcript of One Source of Truth in Reporting and Forecasting for World...
One Source of Truth in Reporting and Forecasting for World’s Foremost Outfitter
Whoarewe...
Cabela’sCLUBVisa® Background§ Cabela’sCLUBVisastartedastheBankCard divisionofNationalBankofCommerce(NBC)in1969indowntownLincoln.InFebruaryof2000,WellsFargopurchasedNBC.
§ Cabela’sInc.purchasedpartoftheformerNBCBankCard portfoliofromWellsFargoandcharteredanewbank,World’sForemostBank,onMarch24,2001.
§ World’sForemostBank(WFB)isaspecialpurposebanklocatedinLincoln,NE.WecanonlyissueconsumercreditcardsandlargedepositCDs
§ WFBisawhollyownedsubsidiaryofCabela’sInc.
§ WFBretainstheonlygrandfatheredportfoliothatcanbewhollyownedbyaretailchain.
Cabela’sCLUBVisaPrograms• CLUBVisaBlack:218,982accounts(7.9%)
• 5%onCabela’spurchases• Annualspendof$25,000ormore• 46.4%oftotalpurchases
• CLUBVisaSilver:365,668accounts(13.1%)• Earn3%onCabela’spurchases• Annualspendof$10,000- $24,999• 28.2%oftotalpurchases
• CLUBVisaClassic:2,200,177accounts(79%)• Earn2%onCabela’spurchases• 25.4%oftotalpurchases
Cabela’sCLUBOtherPrograms
RequirementsandSelection• OperatingonanoutdatedSRCsystemandaLegacyAS400accountingsystem
• Toolforindividualandconsolidatedfinancialreportingacrossnumerousentities
• Scalability&Flexibility• Onesourceoftruth• Forecasting,budgetingandstrategicplanning
• Options• IBMTM1• SAP• Oracle
Founded in 2001Performance management consulting firmOver 200 performance management customerseCapital Advisors employees:
• Dedicated to Business Analytics and helping client better understand business drivers
• Proven record and high customer satisfaction
• Highly experienced project team
• Experienced data warehousing experts
• Over 100 Cognos technical certifications
eCapital Advisors Overview
Complete Range of Business Analytics and Performance Management Services• Strategic assessments & technology roadmaps
• Project Managers with extensive implementation experience and a proven methodology
• Business consultants with planning, financial reporting & consolidation delivery experience
• Technical consultants with DW skills & proven delivery best practice experience
• Customer enablement services (Certified IBM Cognos training instructors)
• Software reseller – provide software quotes and license configurations, renewals
eCapital Advisors Overview
ClientChallenges• Complicatedbusinessmodel• ForecastscompleteddailyandmonthlyusingExcel
• Workbookinstability• Tediouscompilingofdepartmentaldataintosinglereports
• Notraceabilityofinput• Multipleversionsfloatingthroughvariouscomputerdrives
• Complicatedforecastingcalculationswithbrokenexcelformulas
• Inconsistentamongdepartments• Notraceabilitytomanualadjustmentswithexplanations
• Longfrustratinghoursconsolidatingresultsandpresentingfinalreportingpackages
KeyRequirements• FinancialGLconsolidationforreportingActuals
• Driverbasedreportingandforecasting• Newaccount• Activeaccounts• Revolvingrate• Recoveries• Purchases• Returns• Delinquentaccounts• Applications• Fees
• Traceability
• SpecializedExpenseEstimation• Retaillabor• Driverbasedlabor• TT&E• VisaBill• FDBill
• EaseinConsolidation• AdditionalUserAccess• EnterpriseIntegratedInputs
• GLInformation• SalaryInformation• CapitalInformation
ClientApproach
• NeedactualGLdatareporting• Provideanentrypointfordepartmentleads• Onesourceoftruthratherthanmultipleworkbooks• Speedandaccuracyofdataload• Needabilitytopushdatabacktocorporateretailforecast
Solution• Detailedcubestructuretoensurecontinuityandaccuracy.
• Driverbasedcalculationsforexpenses
• “Triggered”eventstodriveconsistentexpensetomultipledepartments
Solution– continued• Planningonadaily,weekly,monthly,annualand5-yeartimeline
• GlobalAssumptionsusedtoplanvariousincomeandexpenses
• Complexrulebasedcalculationsincludingvariableamortizations
• MarketingCubes
Solution– continued
• WebAccessforallusersbasedonreportinghierarchy• Commentsinallreportsthataremovedbetweenmodels• RobustCDMreportingpackages• Easeofuse• Speedofchangesandreporting• Customizationandflexibility• Automationthroughprocesses
Impact
• Implementationmeetingallexpectations• Nomanualefforttoconsolidateactualfinancialsformonthlyreporting• Traceabilityofentry• What-ifanalysistodrivewhereeffortsshouldbespent
• Consistentandaccurate• Accesstoinformationismoreefficientandwidespread• FinancedepartmentcananalyzeandadjustspecificdriverstodeterminehowitwouldeffectoverallP&L
• Ratherthantediousexcelworkanalystsanddepartmentleadsareabletopushexpense,revenue,CapitalExpenditure,corporatesalary,dailyaccountactivity,marketingandretaillaborprojectionsintofinancialstatementswithinsecondsratherthandays.
IBMisaworld-classallyforthisjourney
Valu
e
Maturity
Today’s challenge
Realize performancepotential
Drive analyticinnovation
Forecasting success
Elevate with predictive
Better outcomes
Analytic agility
• Spreadsheets for reporting and analysis
• Enterprise resource planning budgeting
• Isolated applications
• Disparate data
• Financial and operational performance management
• Rolling forecasts
• Key performance indicators (KPIs) and scorecards
• Statistical algorithms to improve information under uncertainty
• Predictive intelligence
• Driver-based planning and forecasting
• Near-real-time analysis
• Scenario analytics
• Narrative reporting
• Dashboards and management reports
Span the enterprise
First steps
Status quo Integrate and accelerate
Automate and model
• New analytic modeling and enhancement
• Product and customer profitability analysis
• Continual alignment of resources with opportunity
Cabela’sTM1ImplementationWorkStreams
• CorporatePhase1• FinancialReporting• BudgetingandForecasting
• ClubBudgeting,ForecastingandReporting• CorporatePhase2
• RetailSalesandLaborplanning• DistributionCenterLaborPlanning
Corporate Phase One
CorporatePhaseOne
• WebApplicationforuserstocontributetoForecastsandBudgets• DistributedFinancialReportsviaTM1Web• AbilityforCanadateamtocontributeintheirlocalchartofaccountsandcurrency
• SynchronizedlevelofdetailbetweenBudgetingandForecasting• CreatedanautomatedCashFlow
RetailSalesandLabor
RetailSalesandLabor
• AutomatedanexhaustivemanualExcelprocess• Allocatedsalesdetailbyproductcategorybasedonhistorytoinitiateplanning
• Builtintheabilitytoadjustcalculatedvaluesateverylevelofdetail• IntegrationoffinalRetailSalesvaluesstraightintothecorporatebudgetmodel
DCLaborPlanning
DCLaborPlanning
• Replacementofexistinghomebuiltsystem,lessthantwoyearsold
• Wantedtobringallbudgetingprocessesintoonesystem• Streamlinedplanningprocessthroughintegrationoflaborvaluesautomaticallyintothecorporateincomestatementmodule
• Enhancedexistingfunctionalitywherepossible
NextSteps
• CLUBInitiatives• LiquidityModels• Charge-offsModels• ReserveReportingandForecasting• Monthendcloseaccrualworkpapers