The Intersection of AI and EPM: Leveraging New Trends in Business Performance

Arete EPM
Arete EPM is a boutique consulting firm specializing in Enterprise Performance Management (EPM) implementations. With onshore and offshore teams available, Arete EPM ensures around-the-clock care and dedicated focus on each project. This approach enables Arete EPM to provide expertise in implementing and optimizing EPM software platforms such as Anaplan, Jedox, and Oracle. By leveraging this expertise, Arete EPM helps businesses streamline financial planning, budgeting, forecasting, and reporting processes. With a focus on delivering tailored solutions, Arete EPM supports organizations in enhancing decision-making, increasing operational efficiency, and driving strategic growth. Implementation services include system design, implementation, training, and ongoing support to ensure the clients fully maximize the value of their EPM investments.

Enterprise Performance Management (EPM)
Enterprise Performance Management (EPM) is a set of processes and tools that help organizations plan, monitor, and analyze business performance across key areas such as financial planning and analysis (FP&A), supply chain, and workforce planning. It enables better decision-making by integrating data, automating workflows, and providing insights through forecasting, budgeting, and reporting. EPM solutions streamline complex processes, improve efficiency, and align business goals with measurable outcomes. With the integration of Artificial Intelligence (AI) into EPM systems this acceleration of innovation is helping create new opportunities for businesses in this data-driven world

The Growth of AI and EPM
Businesses are increasingly adopting EPM systems and AI to enhance efficiency and decision-making. AI automates routine tasks, allowing employees to focus on strategic activities, thereby boosting productivity. EPM systems, especially when integrated with AI, provide real-time insights into various business functions, facilitating better planning and resource allocation. The decreasing costs of AI implementation and the availability of more accessible tools have further accelerated this trend, making it feasible for a broader range of companies to leverage these technologies.

• Data Growth: Businesses are generating larger amounts of structured and unstructured data than ever before, with this trend likely to continue.
• Need for Agility: Companies require faster, more accurate insights to navigate volatile markets.
• Cloud Adoption: EPM platforms offer scalability, flexibility, and collaboration ideal for AI integration.  

Over the past few years AI has seen unprecedented growth and market analysis suggests the continuation of this for the foreseeable future.

According to recent reports, the global AI market is projected to reach $800 billion by 2030 from a current market of around $250 billion.

Similarly, the EPM market has seen steady growth over the past few years with market trends seeing this growth continue.

According to recent reports, the global EPM market is expected to grow to $6.8 billion by 2030 from a current market of around $5.5 billion.

How AI and EPM Intersect
AI elevates EPM systems by automating tasks, identifying patterns, and providing predictive insights. Key applications include:

• Predictive Forecasting: AI algorithms analyze historical data and external factors to deliver accurate forecasts. For example, Anaplan’s PlanIQ tool enhances this capability by leveraging machine learning models for even greater forecast precision and adaptability.
•  Scenario Planning and Simulations: Machine learning models simulate diverse scenarios, enabling decision-makers to evaluate potential outcomes and impacts on overall financial health.
• Anomaly Detection: AI-driven detection flags data inconsistencies, reducing errors and enhancing the reliability of the model’s performance. Intelligent Performance Management (IPM) insights embedded in the EPM software can continuously monitor plans, forecasts, and variances, alerting users to anomalies and providing actionable insights to improve financial outcomes.
• Natural Language Processing (NLP) Interfaces: NLP simplifies data querying and analysis within EPM systems, making it more accessible to non-technical users. For example, Oracle’s EPM Digital Assistant is a conversational AI tool that allows users to interact with EPM applications using natural language, streamlining tasks such as model planning, account reconciliation and financial consolidation.
• Real-Time Insights: AI processes streaming data, delivering real-time insights for proactive decision making. For example, Jedox AIssisted Planning tool integrates AI to support data preparation, forecasting ,and performance management, enabling finance teams to make smarter, data-driven decisions.

Moving Forward
The integration of AI into EPM is revolutionizing business performance by enabling more accurate forecasting, streamlined decision-making, and real-time insights. As data volumes surge and the demand for agility grows, AIdriven EPM solutions are becoming essential for organizations seeking to optimize operations and maintain a competitive edge. By integrating AI-powered tools such as predictive forecasting, anomaly detection, and natural language processing into EPM platforms like Anaplan, Jedox, and Oracle, Arete EPM ensures that businesses can fully harness the power of AI to drive efficiency and strategic growth. As the AI and EPM markets continue their rapid expansion, Arete EPM stands ready to lead the charge in delivering quality, long-term solutions that empower organizations to navigate the evolving digital landscape with confidence.