5 Best FP&A Software Solutions and Tools in 2024: A Comparison

Recently, Financial Planning and Analysis (FP&A) providers have experienced a surge in AI software solutions. AI for FP&A solutions is becoming increasingly important due to its ability to enhance the efficiency and accuracy of financial analysis. The top AI financial planning tools allow organizations to swiftly examine large volumes of financial data, detect trends, and generate valuable insights.

AI helps streamline routine tasks, allowing Finance professionals to concentrate on the more critical aspects of the financial planning process. Overall, integrating AI in FP&A leads to resource optimization, increased efficiency, agility, and improved decision-making.

In this blog post, we explore the top 5 AI software solutions for FP&A in 2024, based on our assessment of their features and offerings. We only include software that meets the following essential qualifications:

• Earned at least 4.5/5 stars on Gartner Peer Reviews – Financial Planning Software
• Listed in the Budgeting Section on Capterra
• Offers a wider EPM offering

What Is FP&A Software?

AI software for FP&A enables Finance teams to move beyond historical reporting and embrace machine learning (ML)-backed predictive analytics. By analyzing historical data patterns, AI algorithms can more accurately forecast future trends. Those trends then help organizations make more informed financial decisions. For example, AI can analyze customer behavior, purchase history and market trends to predict the ideal price point for each product or service. This personalized approach maximizes both revenue and customer satisfaction, paving the way for sustainable growth.

As FP&A teams continue to embrace AI, adopting a sensible approach to ML – one that balances automation with transparency and human insight – has become increasingly important. After all, effective planning is critical for businesses to remain competitive and adapt to changing market conditions.

H3: Common Features Across AI Software Solutions For FP&A

• Easy-to-access interactive dashboards that FP&A teams can use to discern financial trends.
• Enhanced forecast accuracy by generating more precise analysis using business intuition or external factors within forecasts.
• Easily visualized impact of planning decisions on profitability and margins with "What-if" driver-based planning.
• Reduced forecast bias within scenarios, compare against human forecasting to drive better dialogue and collaboration.

By leveraging these features and others, organizations can transform the FP&A function, plan with confidence, gain insights and forecast more accurately.

This comparative analysis explores the features and functionalities of 5 leading AI software solutions for FP&A: OneStream, Planful, Board, Workday Adaptive and Wolters Kluwer CCH Tagetik.

Learn more about financial reporting software.

The 5 Best FP&A Software Tools For 2024

1. OneStream

OneStream is how finance teams can stop wrangling data and start making more of an impact on the business. It's the only enterprise finance platform that unifies all your financial and operational data, embeds AI for better decisions and productivity and lets you keep adding capabilities without adding technical debt.

Pros

• Enables users to create thousands of highly accurate daily and/or weekly ML forecasts across products and locations via the unique "Model Arena" concept where models compete to win the most accurate forecast for each individual team.
• Allows the capture of business intuition such as promotions, events and other external factors within ML forecasts.
• Fully unifies and aligns demand forecasts with driver-based sales, material costs, inventory and labor plans across financial statements including the P&L, Balance Sheet and Cash Flow.

Cons

• Tailored implementation process potentially requiring additional configuration time to meet customers' unique business requirements.
• Potentially prohibitive pricing, especially for smaller businesses.
• Smaller but growing market presence compared to other alternatives – despite growing popularity and having 1,300+ customers across the globe.

2. Planful

Founded in 2001, Planful is a private company supported by private equity firm Vector Capital. The Planful platform aims to streamline diverse business processes, such as planning, budgeting, consolidations, reporting and analytics. Used globally, this platform acts as a tool for Finance, Accounting, and Business users to improve their planning, reporting and closing processes. Planful's ultimate stated aim with its AI software for FP&A tool is to accelerate process cycles, boost productivity and enhance overall accuracy.

Pros

• Offers very user-friendly, adaptable interface (i.e., functions in both web and Excel interfaces) that requires little IT help and has syntax similar to Excel.
• Allows customers to only buy what they need since Planful is sold as modules.
• Receives very highly rated customer service within public reviews.

Cons

• Difficult-to-detect seasonality due to the lowest granularity being monthly.
• Inability to allow capture of business intuition such as promotions, events and other external factors within predictive forecasts.
• Limited scale as users are constrained to running only 10 models at one time.
• Data integration delivered using a third-party solution – not developed by Planful.

3. Board

Board was founded in 1994 in Chiasso, Switzerland, and has headquarters in both Boston and London. While the overall product is marketed as integrated business intelligence reporting and analytics with enterprise scalability, Board markets its planning solution as Intelligent Planning for FP&A teams. Board is a private company with customers worldwide, the highest percentage in Europe.

Pros

• Employs a model competition concept where models compete to win the most accurate forecast for each individual line item – enabling users to create thousands of highly accurate daily and/or weekly ML forecasts across products and locations.
• Provides prebuilt integrators with ERPs and over 270 APIs to multiple source systems that import GL and transactional information.
• Offers visually appealing UI with tight connection between the presentation layer and back-end.

Cons

• Ongoing maintenance required as everything must be built, meaning little pre-built functionality exists.
• No ability to allow capture of business intuition such as promotions, events and other external factors within predictive forecasts.
• Limited accuracy improvements due to only statistical models vs. machine learning models being available.
• No health monitoring of models and auto-rebuilds to maintain accuracy of models.

4. Workday Adaptive

Workday is a leading provider of enterprise cloud applications for Finance and Human Resources. Founded in 2005, Workday delivers financial management, human capital management and analytics applications. Workday Adaptive Planning originates from the acquisition of Adaptive Insights in 2018. Marketed as enterprise planning software, the Workday solution helps Finance create budgets and forecasts with more speed, flexibility, collaboration and accuracy.

Pros

• Provides Finance-focused planning solution with strong market awareness, especially in the US.
• Uses automation and connectivity to Excel through Office connect, ensuring ease of use.
• Offers outlier reporting and anomaly detection, allowing for quick analysis and plan comparison.

Cons

• Limited accuracy improvements due to a single model applied across all line items or product-location combinations vs. a specific model application for each line item, which can be achieved through a Model Arena.
• No ability to allow capture of business intuition such as promotions, events and other external factors within predictive forecasts.
• No health monitoring of models and auto-rebuilds to maintain accuracy of models.

5. Wolters Kluwer CCH Tagetik

Wolters Kluwer is a global entity specializing in professional data, application solutions and services. The company targets sectors such as healthcare; taxation and accounting; corporate and financial compliance; legal and regulation; and corporate performance and ESG. Originally developed in 2005 to deliver trusted, comprehensive and scalable CPM solutions globally, CCH Tagetik was acquired by Wolters Kluwer in 2017.

Pros

• Surfaces drivers impacting the business.
• Shows accuracy uplift with forecast comparison of statistical predictive vs. baseline forecasts.
• Offers unified platform approach that differs from multi-solution approaches (e.g., SAP and Oracle).

Cons

• Separate ML product requiring integration, administration and, therefore, unification and transparency.
• Limited accuracy improvements due to a single model applied across all line items or product-location combinations vs. a specific model application for each line item.
• Limited accuracy improvements due to only statistical models vs. machine learning models being available.

How to Choose the Best FP&A Platform in 10 Steps

Choosing the best FP&A platform involves evaluating several key factors to ensure it meets your organization’s specific needs and enhances your financial planning and analysis processes. Here’s a 10-step guide to help you make an informed decision:

1. Assess Your Needs: Determine the specific requirements of your financial planning and analysis, including budgeting, forecasting, and reporting needs.
2. Evaluate Integration Capabilities: Ensure the platform integrates seamlessly with your existing financial systems and data sources for a unified view.
3. Check for Advanced Analytics: Look for features that offer robust data analysis, scenario planning, and forecasting capabilities to support strategic decision-making.
4. Consider User-Friendliness: Choose an FP&A platform with an intuitive interface and easy navigation to enhance user adoption and efficiency.
5. Review Customization Options: Ensure the platform allows for customization to fit your unique financial processes and reporting requirements.
6. Examine Reporting and Visualization Tools: Select a platform with powerful reporting and visualization features to help present financial data clearly and effectively.
7. Assess Scalability: Choose a FP&A solution that can scale with your organization’s growth and evolving needs.
8. Evaluate Security Features: Ensure the platform has strong security measures to protect sensitive financial data.
9. Consider Vendor Support and Training: Look for providers that offer comprehensive support and training to help your team effectively utilize the platform.
10. Review Cost and ROI: Assess the total cost of ownership and compare it with the potential return on investment to ensure it aligns with your budget and delivers value.

What Are the Benefits of FP&A Software?

FP&A software offers a range of benefits that significantly enhance financial planning and analysis processes. 10 key advantages include:

1. Improved Accuracy: Automates data collection and calculations, reducing the risk of errors and providing more precise financial forecasts.
2. Enhanced Efficiency: Streamlines budgeting, forecasting, and reporting processes, saving time and allowing finance teams to focus on strategic tasks.
3. Real-Time Insights: Provides up-to-date financial data and analytics, enabling faster and more informed decision-making.
4. Advanced Analytics: Offers robust tools for data analysis, scenario planning, and trend identification, supporting better financial strategies and planning.
5. Centralized Data Management: Integrates data from various sources into a single platform, ensuring consistency and accessibility for all users.
6. Improved Collaboration: Facilitates better communication and collaboration among team members through shared access to financial data and reports.
7. Enhanced Forecasting: Utilizes historical data and predictive analytics to generate more accurate and reliable forecasts.
8. Customizable Reporting: Allows for tailored reports and dashboards to meet specific business needs and provide insights into key performance indicators.
9. Scalability: Adapts to growing business needs, supporting increased data volumes and more complex financial scenarios.
10. Regulatory Compliance: Helps ensure adherence to financial regulations and standards through automated reporting and audit trails.

Unify Your Financial Operations With OneStream FP&A Tools

Selecting the right AI software for FP&A is crucial for businesses aiming to transition from unreliable or insufficient EPM applications and spreadsheets to advanced, AI-driven EPM solutions.

Each of the Top 5 solutions highlighted in this blog post presents distinct features and advantages, addressing the varied needs of organizations across different industries. However, if your goal is to streamline essential finance processes and greatly enhance confidence in your reporting, OneStream stands out as the top AI FP&A software, capable of managing even the most complex requirements.

Learn More About FP&A Software

To discover how organizations are leveraging AI to navigate the complexities of financial planning and analysis, read our whitepaper titled "Revolutionize Your Planning with Sensible ML." If you're ready to transition from spreadsheets or outdated EPM solutions and embark on your Finance Transformation with OneStream, let’s connect!

Did you know OneStream also offers a weekly live demo webinar every Friday for 1 hour on a specific topic? Check out our resources library.

FAQs About FP&A Software

What Is Financial Planning and Analysis (FP&A)?

Financial Planning and Analysis (FP&A) is a crucial function within an organization that involves budgeting, forecasting, and analyzing financial performance to support strategic decision-making. FP&A helps businesses plan for future financial scenarios, track performance against budgets, and derive actionable insights from financial data. By providing a clear view of financial trends and potential outcomes, FP&A enables organizations to make informed decisions, optimize resource allocation, and achieve their financial goals.

What Is Financial Planning Software?

Financial planning software is a tool designed to help individuals and organizations manage their financial goals and strategies effectively. It enables users to create detailed budgets, forecast future financial scenarios, track expenses and investments, and analyze financial data to make informed decisions. By automating and streamlining financial planning tasks, this software enhances accuracy, efficiency, and strategic insight.

What Is FP&A Reporting?

FP&A reporting refers to the process of generating and analyzing financial reports related to Financial Planning and Analysis. It involves producing detailed insights on budgeting, forecasting, and financial performance, helping organizations monitor progress, evaluate variances, and make data-driven decisions. FP&A reporting provides a comprehensive view of financial health and supports strategic planning by highlighting key trends and areas for improvement.

Who Uses FP&A Software?

FP&A software is primarily used by finance professionals, including financial analysts, controllers, and CFOs, to enhance financial planning, analysis, and reporting processes. It is also utilized by budget managers, accountants, and executives who need accurate financial forecasts and insights to make informed strategic decisions. Additionally, the software benefits departments involved in budgeting and financial strategy, as well as organizations seeking to streamline their financial operations and improve overall performance.

What Should You Look For in FP&A Software?

When selecting FP&A software, you should look for features that enhance accuracy, such as robust data integration and advanced analytics capabilities. The software should offer user-friendly interfaces and customizable reporting to meet your specific financial planning needs. Additionally, ensure it provides real-time insights, scalable solutions, and strong security measures to protect sensitive data. Seamless integration with existing systems and comprehensive support and training from the vendor are also important factors to consider.

What Is the Difference Between FP&A and EPM?

FP&A focuses on budgeting, forecasting, and analyzing financial performance to support strategic decision-making and enhance financial planning processes.

In contrast, EPM (Enterprise Performance Management) is a broader framework that includes FP&A but also encompasses other aspects such as strategic planning, performance measurement, and operational management across the entire organization.

EPM integrates various business processes to align financial and operational goals with overall corporate strategy, providing a more comprehensive view of enterprise performance.