Retail and business banking rolling forecast
for the budgeting process with what-if analysis scenario planning
“ What-if analysis lets my team help our business partners achieve their financial goals ”
Head of Retail Banking - Quote is paraphrased
Case Study
Industry
Banking
Company Size
10,000+ employees
Problem Space
Predictive Analytics
Insights
Automation
Data Science
Technology Used
Python
ScikitLearn
SAP
streamlit
Business Context
The budgeting process in the retail and business banking is time consuming, inaccurate. Different business units have varying ways of calculating different financial metrics, which results in inconsistencies that the central team has to fix. The financial models are not set up optimally for testing hypothesis, resulting in the team having to manually create many versions of Excel files that are prone to error.
Challenge
Finance managers budget inaccurately based on biased intuitions
The finance managers create inconsistent and poorly performed forecasts and budgets based on biased intuitions. The financial models are built in Excel and difficult to update, version experiments and collaborate.
Solution
Create rolling forecast and allow for flexible what-if scenario planning
The solution pulls and update the latest income statements and balance sheets, and calculate the rolling forecast with predictive analytics models. The what-if scenario planning tools allow the finance managers to test assumptions iteratively.
Predictive analytics & flexible scenario planning
The automated model allows finance managers to experiment iteratively
💰
More accurate budgeting process, improving business operations
🕑
Time saved for finance managers to consolidate many spreadsheets
🚀
Centralised and consistent financial modelling improved trust & collaboration between the BUs