Konica Minolta Business Solutions (Konica Minolta) is a leader in advanced imaging and networking technologies for the desktop to the print shop. In addition, they offer advanced software solutions, wide-format printers, microform digital imaging systems and scanning systems for specialised applications. Headquartered in Ramsey, NJ, Konica Minolta delivers expert professional services and client support through an extensive network of direct sales offices, authorised dealers, resellers and distribution partners in the United States, Canada, Mexico, Central America and South America.
For Konica Minolta's existing budget process, the finance team relied on a fifteen tab spreadsheet that was distributed to department heads due to security challenges. As a result, the budget process had insufficient participation across stakeholders and there was no way to track progress on the budget by individual. In addition, because it was impossible to upload certain types of data into their ERP system, they could not produce reports that included disparate information sources such as individual capital expenditures, human resource, and payroll data. Finally, the finance team wanted to eliminate the user errors that were frequent in the current process, including overwritten formulas, errors in assumptions, and version control problems.
"Managers were unable to view their budget data 'rolled up,' until it was loaded to the ERP system, and that only contained account balance data, not support schedule information like personnel or capital expenditures," recalls Reale. "The spreadsheet based process did not allow any budget collaboration, as there was only one owner per file, and this really limited our ability to refine the information and come up with the best plan."
After selecting Adaptive Planning, part of the Adaptive Suite, in the summer, Konica Minolta rolled out the application to 127 users for their annual budget process. They used one hour webbased training sessions to showcase how to use the application. During the planning process, they augmented the training with helpful daily tips of the day and posted a user manual on the shared collaboration tab of the Adaptive Planning application. As a result of moving beyond the limited spreadsheet-based approach to this new on-demand application, the number of people contributing to the budget process increased substantially.
Customer Success Story
"After selecting Adaptive Planning in the summer, we were able to quickly get up and running on the application, roll out the solution to budget contributors, and develop an annual budget to submit to our parent company in Japan before the end of the year," states Reale.
Adaptive provided Konica Minolta with a web-based tool that would allow more people to participate in the budget process. It also tightened control over the process by delivering a model with assumptions and key data already defined within the application. Errors have been reduced substantially and the finance team spends more time evaluating the budget from a strategic and operational standpoint, rather than spending their time on manual consolidation and error correction. The reports available within Adaptive Planning offer a sophisticated view of their business and once a template is created are available instantaneously. The duration of the budget process decreased significantly—by over 33%. In addition, they reduced 1.5 people within the Financial Analysis team due to the implementation of the system, so the ROI was immediate.
"The biggest benefit of using Adaptive has been the ability to produce reports," recalls Reale. "It is much easier to create key management reports now because Adaptive Planning is the only place in the organisation that houses data across all platforms, including headcount reporting, unit sales, and service revenues based on the number of machines in the field. Now, managers can view data in a roll up format and create their own reports, as well as collaborate across the organisation."
The introduction of Adaptive Planning was the first major change in the budgeting and reporting process in six years and enabled Konica Minolta to address participant concerns and business needs that had been voiced over that period. It created buzz and excitement for the planning process. It also allowed a broader scope of users to have access to the budget and participate in the financial planning process, which created a greater sense of buy-in.
"Adaptive Planning is easier to use than spreadsheets and more accurate," states Reale. "We achieved an immediate ROI through the reduction in staff and time spent on the process. Adaptive Planning's what-if scenario modeling capabilities are far superior to Excel and we now have a greater degree of visibility into budget items and the details behind those items throughout the organisation."