Improve decision making with automated scenario planning
What is the impact of an increasing inflow of students on the profit and loss statement? How much does turnover change if the drop-out rate decreases in the first year? These kind of questions are easy to answer with the Higher Education Planning solution of cpmview using SAP Analytics Cloud.
Since the impact of decisions can be simulated using this plug & play application, it offers you the possibility to make earlier and better founded decisions.
Based on internal business drivers, the application first calculates the entire student population and the number of employees needed per faculty. Based on these numbers, the income from the students and the costs linked to the employees are calculated.
Next to student-related drivers, CAPEX investments can be entered on a project base to plan capital expenditures and cash movements linked to these investments.
The institution’s market share can be determined on the basis of the calculated student population. Together with the rates per student of the Ministry of Education, Culture and Science (OCW), the relevant governmental contribution is calculated. This contribution is then allocated to the various faculties based on the number of students per faculty.
As a result, all calculations are included in the income statement and balance sheet for each scenario before the cash flow statement is calculated. Those parts of the financial statements that are not calculated using drivers, such as fixed costs, are filled using the average of a number of years. In addition, it is always possible to make manual adjustments per scenario.
The results of the planning can be analyzed and compared per scenario using various visualizations and analysis options.
Directly calculate and compare different what-if scenarios. Since the impact of decisions are immediately visible within the application, it is possible to make faster and better substantiated decisions.
Cpmview has experience in building and implementing Planning solutions for Higher Education institutions. As a result, we understand what these organizations need in the field of Operational- and Financial planning.
Our application is a modern and simple solution based on the SAP Analytics Cloud platform. At the start of the planning, the application generates a complete base-scenario that calculates the results for the desired number of future years.
After adjusting a driver within, for example, the positive and negative scenario, the impact on the financial statements can be analyzed immediately.
