Transform Enterprise Finance Functions based on Lean-Agile budgeting ModelsPranay Chanda
schedule 1 year agoSold Out!
We find that as enterprises drive business agility using lean agile methods, it faces friction and quickly hits against wall of rigid traditional budgeting methods and project based cost accounting.
Traditional cost accounting believes in long horizon planning, it values plan accuracy with frequent variance analysis against original estimates rather than accept uncertainty, respond quickly to market trends. We notice frequent delays on re-approvals of changing budgets; a big WASTE. How can we transform finance functions to enable lean agile software and systems development?
We can address this conflict with new Lean-Agile budgeting models that cater to the need of both the worlds: allowing empowered lean agile development programs for rapid decision making that are responsive to market, align with professional accountable management of dollar spends.
Traditional cost center based investment planning is based on deliverables, but the content of such deliverables are changing rapidly that require flexible resourcing across projects.
We all agree that agile portfolios need to execute and deliver value within an approved operating budget which is an outcome of strategic planning process at enterprise level. This paper describes the nuts and bolts around how to establish, administer and govern agile portfolio budgets.