Manufacturer of carbon-based products
Andrey Kopytin, CFO of ENERGOPROM Group—a leading Russian manufacturer of electrode, cathode, and other graphite- and carbon-based products—discusses how finance is able to guide the business through “what-if” scenario planning using the Anaplan platform.
Our primary goal was to deploy Anaplan for short-term and long-term strategic planning.
Previously, [calculating] an annual scenario plan required seven to ten days to produce just one version of the financials. Currently, we can produce a full set of variances from the base scenario in three days.
One of the biggest problems we had is setting our annual goals. The most uncertainty was on the market side. The majority of the question was “what if”? What if we sell more of these products instead of that product? What if the prices go up in this region or down that region?
And the reaction of [a] traditional budgeting system was absolutely insufficient because to get the answer to any of the changes of “what if,” it required probably a couple of days of recalculations.
But now with Anaplan, it’s really, “Click, done. Click, done.”
Most of the products that Energoprom has produced have long cycles—up to four months, with another three to six months for delivery and cash collections.
With Anaplan, we now see clear pictures, see the clear rolling period from the day we purchased the raw materials until the day we get cash from the customers.
What we see now, as one of the big results of [our] Anaplan deployment, is we see the picture for the longer period. That helps us to create more precise requirements to suppliers.
Our business is very dependent on lots of external parameters, like [the] exchange rate from U.S. dollars to rubles, to the oil prices that are reflected in prices for raw materials.
So if we see any fluctuation in price, we can easily put them in the system and see how much [it will affect] the Energoprom financials.
Our first goal was to have the financials, but you cannot have financials without employing all other people who are dealing with the business.
We [expect to continue growing the] population of Anaplan community within the company.