JCB Develops TM1 Model for Flexi Compras, Enhancing Budgeting Capabilities.
Company Background
Flexi Compras has grown from a single store that sold computers with Microsoft office for the Hispanic community to the second largest rent-to-own electronics store in the state of Texas. Flexi Compras offers consumers multiple purchase options and gives them a wide selection of consumer electronics from the highest level brands. In the past 3 years Flexi Compras has rapidly expanded from a company of 6 stores in the Dallas area to a company of 85 stores with more plans for expansion in Texas and to neighboring states.
Business Challenge
Flexi Compras needed a reliable and efficient process to report, budget, and forecast financial data across multiple stores. Also required was the ability to report on Inventory and Sales/Rental information. Budgeting and planning had been largely a top down exercise involving a cumbersome Excel based model. Reporting was done through a series of steps that took data from Flexi Compras’s current ERP system to a SQL Server, then queried through Microsoft Access and then exported to Microsoft Excel. Flexi Compras required a system be developed that would create an easier reporting process and a more streamed line budgeting process.
The Solution
JCB partnered with Flexi Compras developed an TM1 model that supported their daily reporting needs along with their yearly and quarterly budgeting needs. JCB implemented a solution on time and in budget that leveraged IBM Cognos TM1. The system included 4 reporting cubes that reported on the General Ledger, Balanace on Rent, Inventory Statistics, and Sales Statistics. The system also included 2 budgeting and forecasting cubes. Additionally, basic Microsoft Excel reports were created for the Flexi Compras monthly reports and the yearly budget to enhance existing financial reporting capabilities.
The reporting and budgeting system dramatically increased the accuracy and efficiency of the planning cycle highlighted by the fact that the monthly reporting cycle was finished in days instead of weeks. In addition, managers have the ability to quickly adjust the model as needed and analyze results at various organizational levels. Positive feedback was received from all levels
within the organization.
The Result
The project was designed and implemented over a fourteen week period. It was delivered on time and within budget. Flexi Compras Executives were extremely pleased with the project. Mark Brown (VP of Finance)
stated, “‘I am excited about implementing this tool and the significant amount of time it will save in our reporting and budgeting processes.’”
