Have you noticed a shift in how FP&A (Financial Planning and Analysis) software is being delivered these days? The industry has observed a clear trend. Instead of tailoring every solution from scratch based on each client’s unique process, many providers now offer out-of-the-box, pre-built applications. On the surface, this shift makes perfect sense—lower implementation costs and faster deployments are appealing to both vendors and clients alike. However, this streamlined approach isn’t without its trade-offs.
The Allure of Pre-Built Solutions
Pre-configured software can dramatically reduce costs and accelerate time-to-value. Clients benefit from predictable expenses and quicker rollouts, which means less downtime and faster realisation of potential benefits. For software companies, it’s an efficient model that can potentially reduce the high costs associated with system integrators. But as we peel back the layers, the story becomes more intricate.
The Flexibility Factor
Every business operates differently. While a pre-built solution provides a solid foundation, it often lacks the nuance required to adapt to complex, real-world scenarios. For instance, clients may need to forecast costs and revenues using diverse, industry-specific algorithms. They might also have to accommodate exceptional purchasing or delivery processes. When dealing with a multimillion-dollar customer, saying “no” to customisation can be risky.
Here lies the core challenge: standardisation simplifies, but it can also limit flexibility. It’s not a matter of black or white.
The Advisor Role of the System Integrator
This is where the software integrator—or as I prefer to call them, the trusted advisor—comes back into play. Instead of being viewed as an inconvenient step, integrators can become strategic partners in the implementation process. Finding the perfect balance between standardisation and customisation isn’t a factory assembly line; it’s an art form. And it takes someone who knows the ropes to pull it off.
A robust implementation strategy might start with an accelerator or preconfigured shell, which can then be customised based on a thorough, upfront analysis. Identifying which exceptions should be built into the model early on not only ensures that the solution remains flexible but also helps in managing overall project costs.
It’s All About the Process
But it’s not just about the software—it’s about how you roll it out. A structured, battle-tested implementation methodology can make or break the project. Combine that with strong project management to ensure a smooth implementation. Think simple templates, a predefined calendar, and crystal-clear responsibilities. These aren’t just buzzwords—they’re the tools that keep everyone on the same page, boost efficiency, and shave time off the process. The result? More value for clients, delivered faster and at a lower cost.
Building Long-Term Value Through Collaboration
The best FP&A software companies understand that implementation isn’t just a one-off project—it’s a long-term partnership. By integrating consultancies as strategic assets, they can build enduring relationships with clients. While the software folks focus on what they do best (building killer applications), advisors handle the messy stuff—implementation, customisation, and keeping clients happy—ensuring their needs are met and their businesses thrive.
Final Thoughts
The trend towards out-of-the-box FP&A software offers undeniable benefits in cost and speed. Yet, it’s essential not to lose sight of the need for flexibility. Team up with a good advisor, tap into their expertise, and turn your implementation from a headache into a competitive edge.
What do you think about this shift? Have you wrestled with the standardisation-customisation tug-of-war in your own FP&A journey? Share your experiences in the comments below—I’d love to hear how you’ve tackled this balance!
