Optimized budget planning and 5-year forecast: increasing efficiency for a global SaaS company

Customer's situation

A world-leading software company in the area of ​​infrastructure planning was faced with the task of fundamentally optimizing its budgeting process. The initial situation was characterized by a high level of complexity:

Change processes: A new COO had initiated comprehensive transformations in the product range as well as in the areas of sales and customer success.

Inefficient budget process: The previous budgeting and planning processes were time-consuming and manual, requiring significant effort from management and the finance team.

Insufficient regional integration: Regional perspectives and knowledge were only given limited consideration in the budget process.

Capital market pressure: The company's growth did not meet expectations, which required detailed budget planning and realistic objectives.

Macroeconomic uncertainty: Rising key interest rates and their potential impact on demand made extensive scenario planning necessary.

Responsibility for the project lay directly with C-level management and strategy management, which meant that high expectations were placed on the results.

Novemcore's work

Novemcore used a systematic and pragmatic approach to develop a solution that met the customer's requirements. The most important steps in the project:

Analysis of the previous process: Detailed examination of the existing budget process in order to identify optimization potential and weak points.

Development of an integrated model: Creation of an Excel tool for one-year budget planning and 5-year forecasts.

Seamless connection of the two models for easy transition and analysis.

Granular segmentation by geography, pricing models (subscription, license), customer groups and functions.

Comprehensive interviews and data analysis: Expert interviews with industry experts to derive essential assumptions.

Internal interviews with regional managers and department heads to ensure that the planning is realistic.

Analysis of the entire product portfolio (>700 software solutions) to calculate contribution margins and sales forecasts.

Best practices and training: Creation of a best practice manual for the finance team to make future budget cycles efficient.

Organizing workshops to train and engage relevant stakeholders.

Presentation and workshops: Presentation of the results to C-level management.

Coordination of workshops for discussion and final coordination of budget planning.

Result for the customer

Working with Novemcore brought clear and measurable benefits:

Increased efficiency: The budgeting process was shortened from 12 to 6 weeks.

Optimized decision-making basis: Concrete KPIs and goals for all departments, especially sales.

Transparency about growth and cost drivers (products, geographies).

Flexible Planning Model: An Excel tool that facilitates future budget cycles and 5-year forecasts.

Integration of scenario planning to address uncertainties in market developments.

Cost efficiency: More efficient allocation of the marketing budget and targeted management of employee development.

Improved collaboration: Regional and functional teams were more closely integrated into the planning process.

Conclusion

Novemcore helped the customer take their budget and financial planning to a new level. With a practical approach, in-depth analysis and sustainable tools, the company was not only able to save time and costs, but also create strategic transparency. This case study shows how Novemcore supports companies in making their financial processes more efficient and future-proof.

Please contact us for a free initial consultation and find out how your company can benefit from our expertise!