Functional Integration

Is a fully integrated system always the best choice?

The minimum requirement for corporate planning is to deliver consistent data, i.e. a consistent overall plan.

In operational systems consistency is enforced automatically, e.g. by booking through into depending modules. An increase in FTEs will result in higher personnel expenses with the next payment run, a decrease in sales volumes will result in reduced revenues.

In planning it looks different. One needs to establish dependencies between functional modules first. Otherwise functional departments can plan independently and potentially also in a conflicting way. On the other hand, reflecting all dependencies in planning is very difficult and causes a lot of effort:

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A maximum degree of Integration might therefore not necessarily be the best choice for all companies. How does your company approach this topic?