Why it is the right time to cross the bridge to replace Oracle Hyperion Financial Management (HFM) with CCH Tagetik for consolidation and reporting?

For many years, there has been an ongoing discussion about the development of the CFO Office to become the strategic advisor and business partner for the CEO and operations. At the same time, the burden of more regulation is growing, with new regulations for banks and insurers, new IFRS rules like IFRS 9, 15, 16 and 17, new IASC rules and new formats like XBRL. Moreover, tax authorities are demanding more transparency about corporate tax and country-by-country reporting.

Fortunately, automation and standardization in accounting, consolidation & reporting, disclosures, financial planning and analysis (FP&A) are supported through innovation from some visionary software vendors. To be ready, not only for today’s challenges, but also for tomorrow’s challenges -with artificial intelligence, robotics, machine learning and predictive analytics.

Having implemented both Hyperion and CCH Tagetik solutions for consolidation and reporting, in this post, I would like to talk about the immediate benefits that can be gained by modernizing finance (to learn more about the modernization of finance – read my previous posts) and how Hyperion users can improve their consolidation process, be compliant and lower their TCO, by moving to CCH Tagetik for consolidation, reporting and disclosures. For this, I’m looking at various areas like simplification of administration, ease of use, innovation & simplification of technology and lower total cost of ownership.

Simplification of administration

A lot of current HFM customers have complex consolidation, reporting, and disclosure requirements, and need more sophisticated software solutions, like CCH Tagetik.

My customers that have migrated to CCH Tagetik, have conveyed to me, that CCH Tagetik software can manage change more quickly than HFM, and is much easier to maintain. This is because CCH Tagetik’ is based on one platform with much more built-in functionality for consolidation, reporting and disclosure. This extended built-in functionality requires no programing or having to maintain Visual Basic Scripts and includes functionality for the acquisition register, IASC rules for particular regulation, currency translation, intercompany matching, automatic reconciliations, direct cash flow calculation and time-dependent hierarchies in more dimensions.

Here are some other ways in which CCH Tagetik simplifies processes, making it easier for finance to maintain:

  • CCH Tagetik data entry forms and reports are created via the Excel add-in and are readily available in your web browser.
  • Extended master data management (MDM) with life-cycle management is included in the same product, vs having separate products in HFM.
  • In HFM consolidation, calculation rules are a black box for the end user, as these are programmed in Visual Basic script, whereas with CCH Tagetik, calculation rules are configurable and maintained by finance.
  • CCH Tagetik provides a unique double entry logic, which means all consolidation and calculation rules automatically create journal entries with an audit trail that references the calculations applied, with even drill down possibilities. This way, it is completely clear how outcomes are automatically produced and where they originated from.
  • Unlike Oracle Enterprise Performance Management System, (whose solution consists of multiple products and technologies), CCH Tagetik is one product for Consolidation, Budgeting, Forecasting and Profitability analysis and therefore no copying or restructuring of meta data is needed to keep your data in sync in order to perform budget and variance analysis.
  • CCH Tagetik provides the same solution for on premise and cloud. So, no rebuild or migration of an application is needed when moving from on premise to the cloud, which is required if you want to move to Oracle FCCS solution in the cloud.
  • CCH Tagetik provides prepackaged applications for financial services (i.e. Solvency II, FINREP, COREP), that is XBRL maintained by CCH Tagetik when changes to regulation occur. Also, starter kits are provided for IFRS 9, 16 and 17 to speed up implementation. With HFM, to address regulatory and IFRS requirements you need to purchase additional products with costly integration requirements.

Ease of use

CCH Tagetik modern consolidation and reporting solution provides finance better tools that enhance value, provide transparency and enable collaboration.

Better Tools to Provide Added Value

More and more millennials are working in the CFO Office. They use sophisticated apps in their daily lives and are demanding better tools that helps them provide added value, instead of having to focus on the mechanics of software, collecting and validating data or improving the quality of data. Of course, this counts for all users. A modern HTML 5 user interface, like CCH Tagetik’s, that is available on any device meets today’s demands of finance talents. Since HFM is in “maintenance mode”, no innovations are expected, and therefore HFM cannot keep up with today’s requirements.

A Single solution that provides Unified Workflow and Transparency

CCH Tagetik not only meets all the 5 pillars of Financial Close (Reconciliation, Data loading, Consolidation, Reporting and Adjustments, Disclosure) in one single solution, but also addresses FP&A needs for finance and operations in one single application. Process control with graphical workflows guides the user through the process with comprehensive audit trails via a single and modern user interface. Users can create their own reports and analysis in Excel, Word and PowerPoint much easier and with a direct integration, so data is always up-to-date everywhere in CCH Tagetik. CCH Tagetik is easier to learn and to use, this results in a faster adoption of a new application. Also, widely appreciated functionality from HFM like a ‘Retrieve’ function in Excel is created in CCH Tagetik’s Excel add-in to do exactly the same. Moreover, users can maintain mapping tables and run data integrations from various sources through CCH Tagetik’s data integration capabilities.

More time for Collaboration and What-if Analysis

Running what-if scenarios for simulations and variance analysis is a complex task in HFM, as it requires copying data from one scenario to another and then having to run a consolidation. CCH Tagetik provides calculations on-the-fly where no copying of data is required and it even takes into account the right consolidation and currency translation rules. This provides more empowerment for the end users, as the outcomes of these scenarios can be stored in snapshots to do variance analysis. With CCH Tagetik, time spent on capturing and validating the data is reduced considerably with automatic reconciliations, giving end users 80% more time for analysis and collaboration.

Innovation and simplification of technology

To meet the increasing demands of the CFO office to drive actionable insights faster, enable the business for sustainable value creation and improve productivity, more automation is required. The CFO office is also under pressure to provide better forward-looking information and therefore needs to be ready to use new technology like artificial intelligence, machine learning and predictive analytics.

As the pace of change is increasing, the technology gap can increase, especially for products that are in maintenance mode like HFM. From the other side, CCH Tagetik is technology agnostic and supports multiple technologies like Microsoft, Oracle, and SAP. Notably, CCH Tagetik is the first software vendor to provide a complete unified CPM solution on SAP HANA, leveraging innovation and integration with SAP. Again, available on premise and cloud (AWS and Microsoft Azure). CCH Tagetik always seamlessly integrates without disruption in any current IT-infrastructure and application landscape. At the same time also reducing the infrastructure required compared to HFM and Oracle’s Enterprise Performance Management system.

Lower total cost of ownership

With CCH Tagetik, there is no need to migrate and invest again in software and services when moving to the cloud, unlike what’s required to move from HFM to Oracle FCCS for consolidation and reporting. When a new investment needs to be done anyways, it is worthwhile to evaluate CCH Tagetik, to reach a sustainable lower total cost of ownership and make your admin and end-users happy.

As the demand for information and value-added activities from the CFO Office is growing, more automation and standardization is required to keep pace and adapt to change. If all activities, software and systems are taken into account to meet these demands, it’s evident that an innovative unified platform, like CCH Tagetik, reduces maintenance and infrastructure costs. This leads to a lower total cost of ownership, while at the same time, ensures that you are ready for further innovation from an organizational and technology perspective.


During my experience I have met many companies moving from Hyperion to CCH Tagetik. It’s a matter of deciding in which side of the Finance ecosystem you want to play: traditional bean counter or business partner?

If you are interesting in learning more about moving from Oracle HFM to CCH Tagetik you can check the landing page “Beyond Historical Financial Management”.