July 7, 2006
Do Companies experience real performance gains from CPM?
Like most professionals involved in this industry (Business Intelligence, Corporate Performance Management, Financial Applications, Decision Support, etc.) I am constantly exposed to marketing messages from the various vendors in the space. All the vendors really have the same message: Our technology helps your organization perform better by improving the usefulness of the information you use to make decisions.
Is this true? Is it possible to actually measure a difference between those firms who use CPM enabling technologies and those who don’t?
The Aberdeen Group thinks it is.
In a new report, Aberdeen sees some substantial differences between those firms that have adopted CPM and those who have not.
Probably the most compelling factoid is the following:
More than 70% of companies who adopted some sort of CPM program generated high-impact improvements in key performance metrics, and these results were consistent across industry segments and company size:
- Average Improvement from CPM Initiative:
- 5.0 percentage points gain in return on assets (ROA)
- 4.9 percentage points gain in Percent Gross Margin
Regardless of how much faith you put into industry analysts opinions, this is pretty compelling stuff.
Filed under: Uncategorized, CPM Process Improvement, CPM Theory, CPM Results
Leave a Reply
You must be logged in to post a comment.
