When a mad scientist makes his first bone chilling concoction, there is a special feeling of empowerment, achievement and pure excitement that cannot be expressed with calculations and formulations alone. As a leader of a high performing organization, imagine feeling that way about your ERP system as it empowers the entire organization and drives high performance.
Unfortunately, most leaders experience an altogether different feeling once they realize the abundance of hidden taxes they're paying for broken processes and outmoded applications that add to costly mistakes. Mistakes that are directly contributing to big business losses. As time keeps moving, errors continue to come alive while the main enterprise deteriorates overnight.
The horror of hidden taxes
Up to 90% of business performance is lost to hidden taxes. One more time:
"Up to 90% of business performance is lost to hidden taxes."
Yes, that statement bears repeating.
Companies who do not realize the aggregation for hidden taxes, die more and more each day. The overall financial picture becomes masked in cobwebs and collects dust as the dates roll by. Broken processes, budgeting chaos, inflexible and cumbersome planning tools all result in extra manpower, increased payroll, drawn out financial reconciliations and data integrity issues.
- Productivity tax: insecure methods of data management and data dumps result in productivity taxes.
- Technology tax: the IT department is almost always involved and tasked with answering a plethora of questions.
- Confidence tax: because the analysts receive a subset of information that is not real-time, it's predictable that leadership loses trust in the validity of data collection.
- Responsiveness tax: inflexible systems, lost opportunities, late nights reentering data all add up to lost opportunity and added costs.
The scary truth
Here are some astonishing statistics about the fundamental challenges to driving high performance:
- 50% of finance functions have reporting processes that rely on manual spreadsheet manipulation
- 88% of spreadsheets have errors
- It takes on average 103 days to complete the annual budget process
- 17% of companies have a self-service reporting capability
- Less than 10% of firms have a mature Balanced Scorecard
- 72% of finance functions don’t have a single database to satisfy reporting requirements
- Only 18% of firms have a performance improvement team
- Only 45% of finance teams believe their forecasts are accurate
- Only 6% of finance leaders are comfortable with the state of the current finance technology
The silver bullet
Eliminating hidden taxes and conquering the fundamental challenges is a simple one: purchase a business performance management system that integrates with your ERP so that reporting, planning, and analysis all happens in real-time. A system that can do this can drive high performance.
As the leader of a high performance organization, there are critical numbers that you want to know and responsiveness you wish to trust. It's time to revive your team.
If you use JD Edwards or Oracle E-Business Suite, we believe Hubble is the quickest way to fight back against hidden taxes.
Check out our purpose-built solution for reporting, analytics, and planning »