---
title: 14 SAP Business Planning Best Practices [Checklist]
description: Learn and implement key Business Planning SAP Best Practices when deploying SAP BPC or SEM BPS using our simplified checklist go beyond budgeting.
image: https://www.sapbwconsulting.com/hs-fs/file-16543627-png/images/business_plan_400_clr_2760.png
---
# 14 SAP Business Planning Best Practices [Checklist]
Table of Contents
Are You Using These Business Planning Best Practices?
[SAP](https://www.sapbwconsulting.com/enterprise-reporting-strategy-development) has many [Business Planning solutions](https://www.sapbwconsulting.com/understanding-sap-bw-in-5-minutes), including [SAP BPC (Business Planning & Consolidation)](https://www.sapbwconsulting.com/request-sap-business-planning-and-consolidation-sap-bpc-consulting-support), SEM BPS ([Strategic Enterprise Management](https://www.sapbwconsulting.com/blog/unleashing-business-success-balanced-scorecard-strategy), [Business Planning & Simulation](https://www.sapbwconsulting.com/blog/how-to-build-a-sap-sem-bps-retail-industry-value-case)), [**Business Intelligence**](https://www.sapbwconsulting.com/enterprise-services/sap-industry-solutions/sap-business-intelligence-consulting/what-is-sap-business-warehouse), Integrated Planning, and as well, [Sales & Operations Planning (S&OP)](https://www.sapbwconsulting.com/blog/inbound-marketing/how-to-get-your-sales-roar-on).
Each [SAP Business Planning](https://www.sapbwconsulting.com/blog/how-to-understand-sap-modules-in-5-minutes) product provides different [performance planning capabilities](https://www.sapbwconsulting.com/blog/5-kpi-design-best-practice-guidelines) and most companies do not use all of them. However, there are some common [Business Planning Best Practices](https://www.sapbwconsulting.com/enterprise-services/it-services/your-5-year-it-strategic-plan-partners) you should be aware of when selecting and implementing any of these solutions or any of the [industry solutions](https://www.sapbwconsulting.com/blog/sap-hana-and-industry-solutions). [SAP Business Planning Consolidation](https://www.sapbwconsulting.com/blog/how-to-improve-sap-profitability-management-p2-the-ultimate-guide) works much better when you follow these.
[](https://cta-redirect.hubspot.com/cta/redirect/118735/158ac412-542c-4ab6-a5c6-feb466a2d868)
1. All [Budgets](https://www.sapbwconsulting.com/blog/how-to-use-a-project-charter-to-start-a-project) and [forecasts](https://www.sapbwconsulting.com/blog/inbound-marketing/how-can-hubspots-growth-suite-actually-help-you) are done at the **same aggregation level** (details of forecasts as well as actuals).
2. **Simulation of [Budget and forecasts](https://www.sapbwconsulting.com/blog/8-value-based-questions-for-real-estate-management-software-solutions)** can be **automatically produced or [results simulated](https://www.sapbwconsulting.com/blog/how-to-improve-sap-profitability-management-the-ultimate-guide)** using any of several key [business drivers](https://www.sapbwconsulting.com/blog/inbound-marketing/are-you-ready-to-think-grow-rich-mindmap) (e.g. [revenue growth](https://www.sapbwconsulting.com/solving-your-growth-and-revenue-problem) estimates).
This provides robust scenario [planning capabilities](https://www.sapbwconsulting.com/blog/10-steps-to-developing-a-successful-business-intelligence-strategy).
3. Budget and forecast simulations can be automatically produced or **results simulated**. [This capability is key](https://www.sapbwconsulting.com/blog/learn-what-makes-sap-dfps-solution-different) to the overall decision making assistance provided by the [SAP Enterprise Performance Management](https://www.sapbwconsulting.com/blog/12-warning-signs-your-epm-system-is-in-trouble) ([SAP EPM](https://www.sapbwconsulting.com/blog/9-epm-sap-strategy-management-how-to-best-practices-to-implement-now)) suite of products including within SAP Analytics Cloud. All of these [systems work](https://www.sapbwconsulting.com/blog/10-sap-bw-project-estimation-best-practices-to-roll-out-today) on top of the [SAP Netweaver Platform](https://www.sapbwconsulting.com/blog/cots-vs-custom-development-decision-tree-analysis) and as well, SAP HANA Analytics.
4. Budgeting and forecasting is a **[continuous loop process](https://www.sapbwconsulting.com/blog/how-to-understand-sap-supply-chain-management-and-bw) of planning**, **measuring** and **simulation** that relies on up-to-date insight from multiple functions and regions. Budgeting and forecasting [sales processes](https://www.sapbwconsulting.com/blog/inbound-marketing/the-shocking-truth-about-your-sap-sales-process) that **[take 9 months](https://www.sapbwconsulting.com/fully-loaded-cost-calculator)**, are, to quote one CEO, from the **1950s**.
5. Meet **top-down** [strategic objectives](https://www.sapbwconsulting.com/blog/inbound-marketing/strategic-growth-planning) and plan from the **bottom up**.
6. Move from an **accounting-based forecast** to a [**business driver-based forecast**](https://www.sapbwconsulting.com/enterprise-services/sap-industry-solutions/business-requirements-analysis) (use language the business understands).
7. **Reduce the complexity of the budget** and allow users to supply additional detail where necessary.
8. **Standardized [planning models](https://www.sapbwconsulting.com/blog/inbound-marketing/how-important-is-data-governance-to-internet-marketing)**[ are](https://www.sapbwconsulting.com/blog/inbound-marketing/how-important-is-data-governance-to-internet-marketing) used throughout the organization ensuring consistency and comparability of submitted results.
9. The **annual budget** is tied back to the most **recent forecast**.
10. The company is using **rolling forecasts** as the basis for their budget.
11. The forecasting system allows users to **directly access standardized input** forms or [electronically distribute standardized templates](https://www.sapbwconsulting.com/blog/inbound-marketing/does-pci-dss-compliance-affect-you) at the beginning of the planning cycle.
12. The forecasting system **leads the user** through the forecasting process without any required additional [training](https://www.sapbwconsulting.com/sap-training-courses).
13. The forecasting system uses a [central server environment](https://www.sapbwconsulting.com/blog/inbound-marketing/12-sap-crm-content-management-system-requirements) to eliminate budget consolidations and manual [re-entry of data](https://www.sapbwconsulting.com/develop-a-data-governance-framework). All personnel responsible for budget inputs have **web based data entry forms**. This greatly improves [data quality](https://www.sapbwconsulting.com/blog/data-quality-best-practices-for-effective-sap-bw-reporting), consistency, and [repeatability](https://www.sapbwconsulting.com/blog/10-sap-data-migration-mistakes-to-avoid).
14. The planning and forecasting process is **collaborative**, allowing for supervisors to review and approve the status at any point in time while individuals work together on the creation of the plans/forecasts in a virtual team environment. That's why facilitating effective teamwork is essential to success for this process.
Business planning, budgeting and forecasting is a complex process. Today's business environment demands a simple, yet [sophisticated and powerful](https://www.sapbwconsulting.com/blog/inbound-marketing/10-shortcuts-to-mastering-multi-channel-marketing), [interactive tool](https://www.sapbwconsulting.com/sap-best-practices-greenfield-implementations) to support the process, so the process is more about thinking about the [business issues](https://www.sapbwconsulting.com/blog/sap-support-companies) versus wrestling with the tool. Creativity, discipline, numeracy, among many skillsets, are required of both SAP Consultants, [SAP Partners](https://www.sapbwconsulting.com/blog/inbound-marketing/how-to-nail-sap-partnership-management) and customers to design, build, deliver, and continuously improve the process to achieve the desired results.
## Go '**Beyond Budgeting**'
If you, like many [BPC consultants](https://www.sapbwconsulting.com/profile-principal-sap-bpc-consultant-472006), want a quick reference checklist of available [BPC planning](https://www.sapbwconsulting.com/blog/make-better-decisions-with-sap-profitability-and-cost-management) functions, you can get ours by clicking the button below.
[](https://cta-redirect.hubspot.com/cta/redirect/118735/5dd08cfd-6a79-463a-bf15-927c5bc507b2)
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Questions or Comments are Always Welcome!
Topics from this blog:
[Best Practices](https://www.sapbwconsulting.com/blog/topic/best-practices) [SEM BPS](https://www.sapbwconsulting.com/blog/topic/sem-bps) [Strategy Management](https://www.sapbwconsulting.com/blog/topic/strategy-management) [EPM](https://www.sapbwconsulting.com/blog/topic/epm) [Profitability Management](https://www.sapbwconsulting.com/blog/topic/profitability-management) [Throughput Accounting](https://www.sapbwconsulting.com/blog/topic/throughput-accounting) [BPC](https://www.sapbwconsulting.com/blog/topic/bpc)
### Download SAP BW Mindmap
Learn what SAP Business Warehouse is and what it does in under five minutes
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[mailto:someone@yoursite.com](mailto:someone@yoursite.com)
### Lonnie D. Ayers, PMP
About the Author: Lonnie Ayers is a Hubspot Certified Inbound Marketing consultant, with additional certifications in Hubspot Content Optimization, Hubspot Contextual Marketing, and is a Hubspot Certified Partner. Specialized in demand generation and sales execution, especially in the SAP, Oracle and Microsoft Partner space, he has unique insight into the tough challenges Service Providers face with generating leads and closing sales using the latest digital tools. With 15 years of SAP Program Management experience, and dozens of complex sales engagements under his belt, he helps partners develop and communicate their unique sales proposition. Frequently sought as a public speaker in various events, he is available for both inhouse engagements and ** remote coaching. **
He also recently released a book **"How to Dominate Any Market - Turbocharging Your Digital Marketing and Sales Results",** which is available on [ Amazon.](https://www.amazon.com/Dominate-Turbocharging-Digital-Marketing-Results/dp/1728357950/ref=sr_1_1?dchild=1&qid=1589182458&refinements=p_27%3ALonnie+D.+Ayers&s=books&sr=1-1&text=Lonnie+D.+Ayers)****
[View All Articles by Lonnie D. Ayers, PMP](https://www.sapbwconsulting.com/blog/author/lonnie-d-ayers-pmp)
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