See how far consolidation tools have come
Have you been working with the Oracle | Hyperion applications for years or are you new to these consolidation tools? In Part One of our series, let’s take a look at each of these solutions, see how they compare and learn how they have advanced over the years.
Evolution of Close and Consolidation Tools
The first windows-based consolidation tool to hit the market was Hyperion Enterprise, a simple and easy to use application that accountants were able to manage without the help of IT. While Hyperion Enterprise was an effective solution for basic legal and statutory reporting it did not meet the growing list of increased reporting and analysis requirements.
Hyperion Financial Management (HFM) was the next generation financial consolidation and reporting tool to penetrate the field. This tool garnered popularity from finance professionals because of its expansive functionality including more detailed analysis, comprehensive audit trails, electronic certification of results and more. HFM provided global collection, consolidation, reporting and analysis in a single, web-based application. At the time it arrived, HFM was unique in that it used the most advanced technology, integrated easily with Hyperion tools and could be owned and maintained by the finance team with minimal IT intervention. As solutions have moved to the cloud, so have Oracle’s consolidation tools.
Oracle’s EPM Cloud Financial Close and Consolidation Suite (FCC) module is an out-of-the-box cloud solution for consolidation and close process tasks. FCC has a user-friendly interface and built-in functionality to accomplish reporting and consolidation tasks without the need for hardware and requires minimal IT support. This newest consolidation tool provides all of the same functionality that is available in HFM but has the addition of pre-built content including dimensions, forms and rules. Also included with the subscription are the cloud versions of Financial Close Manager (FCM) and Financial Data Quality Management, Enterprise Edition (FDMEE). Both products have a separate fee for the on-premise versions. It is important to note that with the Cloud Suite, companies no longer have to manage the software and servers as Oracle manages both.
Hyperion Enterprise vs HFM vs FCC
As the consolidation and close tools have evolved its left many wondering how these three products compare. Whether you are using one of these tools or considering a move to a different tool, it is important to understand some high-level differences.
Hyperion Enterprise is no longer available and has not been supported for many years as it runs on an unsupported Microsoft operating system. If this is your current close and consolidation tool, you should definitely be moving to a supported tool. But where to go? Do you stay on-premise with HFM or move to the cloud with FCC? Let’s compare these two options on a high level.
HFM is an on-premise tool that allows for maximum flexibility when configuring the application. If you are not already using HFM and determine that this on-premise application is best for your needs, version 11.2 should be your choice as it is the latest release and only version with support. It is also important to consider that this support will end in 2030 and because this is an on-premise tool, your team will need to manage the servers and any and all patching requirements.
FCC is the best-in-class cloud consolidation tool. This scalable and easy to use application has no hardware requirements and Oracle addresses all patching needs as they arise. Because of this, you will save time and money while ensuring that your software is up to date with new features and functionality. This module of the Oracle EPM Cloud Suite also easily integrates with the other modules included in the suite such as Planning and Budgeting, Account Reconciliations and Narrative Reporting. These additional modules are included with your Enterprise Cloud Subscription. If you choose to stay on-premise, you will need to purchase each of the modules separately.
Stay tuned for the next part of our series when we take a deep dive into the functionality of each application – Hyperion Enterprise, HFM and FCC – to see how they compare.
