financial planning and analysis (FP&A)

Financial planning and analysis, often abbreviated FP&A, is the process of compiling and analyzing an organization's long-term financial strategy.

Financial planning and analysis (FP&A) is the process of compiling and analyzing an organization's long-term financial strategy. 

In addition to creating an organization's extended financial plan, FP&A departments also generate management reports, analyze financial trends, calculate the monetary effects of potential business decisions and advise company leaders.

FP&A departments use a variety of tools to do their jobs. These include corporate performance management software, budgeting, planning and forecasting software, core financial management systems and ERP platforms. FP&A employees usually report to the chief financial officer.

This was first published in June 2014

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