FP&A Budget Allocation Best Practice
Wanted to make sure I am thinking about the infrastructure of our Anaplan build correctly.
We are going to build driver models which are going to contain the line item detail and dimensions which will be summarized into our spoke models which then in turn will be further summarized in a consolidation model.
This works I think because we are dimensionalizing the data and details when it's necessary and then dropping the detail and or dimensions when it's not relevant.
This is all great until we need to then take what is in the consolidation or spoke models and allocate to a very granular level of detail required for annual planning (which is entirely different than a forecast even though finance likes to conflate the two).
The best way that I could see is to have an allocation model which takes the consolidation model and then allocated the high level results down to a level of grain which is required.
Has anyone else done this? Is there a best practice here?