A Healthier Approach to CPM With OneStream XF
Herbalife Nutrition is a global nutrition company that develops, markets and sells nutrition, weight management, sports nutrition, and personal care products to and through a network of independent members.
Searching for Better Performance
Herbalife Nutrition was running an aging Oracle Hyperion environment that included Planning, Financial Management, and Essbase. The company was faced with a need to upgrade or migrate to Oracle EPM Cloud. Before making a decision, the company decided to evaluate other solutions in the marketplace.
One of Herbalife Nutrition’s goals was to solve problems impacting performance and usability with its current processes, including metadata shared between different products, moving data back and forth between applications, limited flexibility with the user interface, and the overall user experience.
Combined with the need for a better foundational solution set, the features and functionality offered by modern corporate performance management (CPM) solutions – such as interactive dashboards and guided workflows – were of high interest.
After a rigorous technology selection process, Herbalife Nutrition selected OneStream as the strategic vendor to meet its financial transformation objectives.
A Unified CPM Platform
We implemented OneStream XF for financial consolidations, budgeting and forecasting, financial reporting, and transfer profit analysis.
Reporting needs vary between corporate and various lines of buisness. A single CPM platform allows for multiple reporting hierarchies to address the needs of the different audiences, including external and internal management reporting, as well as extensive project-level details not previously available.
Guided workflows provide visibility across all entities during the close process. Phased submission of data and multiple workflow channels lock down certain processes based on close calendar day. Custom elimination supports the complex transactions of Herbalife Nutrition’s distribution network. Direct integration to the general ledger supports multiple calendar years with seamless integration to the consolidated cube.
Herbalife Nutrition has more than 300 users who leverage planning and forecasting tools across more than 90 countries and 30 currencies. Each country leverages the various tools to build a bottom-up labor and expense plan. Direct integration to the HR system allows for a more timely and robust labor planning model. Intuitive forms track and manage expense plans with clear visibility into changes that have occurred via audit trail.
Plans are based on targets defined by top-level stakeholders. A well-defined workflow process allows for submission by individual country, review by regional FP&A, followed by sign-off by corporate FP&A. “What if” analysis provides capabilities to model various scenarios based on economic drivers.
Transfer Profit Analysis
Herbalife Nutrition manufactures, packages, and sells its products around the world. As a result, the company has a high volume of intercompany sales activity, which results in multiple levels of transfer profit on the books that needs to be tracked and eliminated. OneStream Transfer Profit Analysis utilizes Thing Planning, leveraging the relational blending methodology to calculate FX rate impacts across the supply chain at SKU level.
OneStream has simplified a complex calculation, summarizing the data to support the financial analysis and modeling required for the monthly financial close process.
Perficient was an incredible partner throughout the selection, implementation, and deployment process of OneStream. They provided best practices and thought leadership, worked within our corporate framework, and exceeded our expectations.Director, Financial Systems FP&A
Transformed and Modernized CPM Processes
With OneStream XF, Herbalife Nutrition has not only met, but exceeded its goals, including:
- Improved ability to perform “what if” modeling to support various versions of the planning period; the business can accommodate changes to plan rapidly
- Better data quality; one application reduces risk with manual data movement
- Analytics with extensible dimensionality support both corporate and business unit requirements at a more granular level
- Workflow to help drive and secure CPM business processes
- Better metadata management between Consolidation, Budgeting & Forecasting and Transfer Profit functions