One of the important lessons company executives should have learned over the past 15 years is that it’s dangerous not to do contingency planning, a subject that I’ve written about before. By this I mean real, think-outside-the-box contingency planning (not just extrapolating), which is especially important when doing long-range planning. The past decade or so has been punctuated by periods of elevated volatility in financial and product markets, and there’s a good probability it will occur again in predictable yet improbable ways. The dot-com boom and its resulting bust as well as the real estate bubble and collapse were in part liquidity-driven events. Many people recognized the artificiality of the rise in values during both of those boom times. There were naysayers questioning the longevity of the upturns, but as they continued unchecked and proved the skeptics wrong, most investors, analysts and advisors grew complacent and unwilling to consider truly unfavorable scenarios. By not planning for a bust, companies and individuals were not in position to react as swiftly and intelligently as they could have.
Topics: Planning, forecasting, Reporting, Budgeting, contingency, currency, driver-based, Business Analytics, Business Performance Management (BPM), Financial Performance Management (FPM), Financial Performance Management, Integrated Business Planning, interest rate, spreadsheet
Increasingly, global financial markets compete on speed, so much so that high-speed trading capabilities have become a performance differentiator for the largest financial services firms and some investment funds. Transmitting messages with quotes, prices and trade data is a core capability for currency dealers. Informatica recently introduced Ultra Messaging, which is designed to offer global currency traders an efficient, high-throughput, lower-latency (that is, faster) and more secure method of linking their worldwide operations.