When the pressure to make flash decisions is on, the CCH Tagetik Smart NOW Capital Expenses Planning app helps you make calculated decisions that benefit your organization both today and in the long run.
Whether your organization is contemplating buying a new building, containing expenses during a market shift , or simply managing monthly fixed costs, our app’s best practice templates automatically populate with your CAPEX data. From there, you can lay out the entire financial lifespan of the asset month-over-month, year-over-year — including its depreciation pattern, the accounts it impacts, and its useful life.
Our solution projects capital expenditures onto your financial plans so you can view the impact immediately. With this pre-packaged, ready-to-go solution, you’ll have all the tools you need to ensure capital expenses meet your short-term needs and future growth objectives.
Key capabilities you will gain with Capital Expenses Planning by CCH Tagetik
Each pre-packaged function in this app is based on over ten years of customer insight. Powered by our high-performance data engine and housed in the cloud, you can create plans, models, and projections anytime and from anywhere.
- Plan, add and classify assets in unlimited categories
- Use pre-packaged or custom depreciation calculations
- Multi-year planning, currency conversion, reporting templates
- What-if scenario planning, modeling, and simulations
- Integration with projected P&L, balance sheet, and cash flow
Key benefits you will gain with CCH Tagetik Capital Expenses Planning
Built to get you up-and-running fast, this app was designed with a user-friendly front-end that Finance can easily navigate. Extend it, custom it, scale it up: Finance can do it all easily and without IT involvement.
- Determine depreciation pattern, accounts impacted, and useful life
- Model capital projects with detailed drivers
- Display capital spending KPIs on dashboards
- See the impacts of potential decisions in real-time
- Speed up approvals using collaborative workflows
What is capital planning?
Capital planning help you in answer these questions: can we afford to buy that new product? Replace that machine? Invest in that new technology? Capital planning is the budget created to match a company’s long term plans and investments. As a budget for major expenditures, often the capital plan indicates whether these plans are viable.
While all are not considered equal, formal capital planning methods include: net present value, modified/internal rate of return, accounting rate of return, payback period, profitability index, equivalent annuity and real options analysis.