Petrovax has updated the budgeting system for the new budget cycle

2025: Creating a Model for the Budget Cycle

The Odyssey Care support team helped the biopharmaceutical company Petrovax create a model for the 2025 budget cycle and finalize the budgeting system. Odyssey announced this on February 5, 2025.

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Фото: Odyssey

Management finance at a biopharmaceutical company requires high accuracy and flexibility, making the budgeting and forecasting system a key tool for delivering sustainable growth.

Maintenance IT-Systems is an additional burden for a company that is focused on R&D and manufacturing. The support and development of the budget system is an important but non-core task that the specialists of Odyssey Consulting Group have taken on and have been carrying out for 5 years.

In 2024, the following results were achieved:

• Working Capital module has been introduced in addition to MDD and MDD
• current
• The budget campaign has created a model for a new budget cycle, which the client uses all year. At the time of transition, data is transferred from last year's model to a new one. After that, 11 forecasts are created that allow you to refine the planned periods (1 + 11, 2 + 10, etc.)

In the context of intensive development, support for the budgeting system helps Petrovax not only to control costs, but also to quickly adapt to changes. At the same time, the company retains its focus on its main activities - the development, production and availability of innovative products that improve the quality of life of millions of people.

The company has a system introduced 5 years ago. The following is required annually:

• ongoing on-demand support and refinements
• at the end of the year - creating a model for a new budget cycle

The budget system initially consisted of two modules:

• PL/MDD
• Cash Flow/BDDS

The first module - the budget of income and expenses - allows you to assess the level of development of the enterprise, give a forecast for growth or decrease in income. The second - the cash flow budget - is needed to fix the company's financial flows.

Among the improvements is the introduction of the third module "Working Capital" and Indirect BDDS. The diagram below shows the top-level architecture of integration with systems from the client's IT infrastructure

Support is provided during the contract period, within which the Odyssey team takes over the solution of non-core client tasks. The minimum package includes the agreed number of hours of current support (updates, access rights and roles, additions and calculation of new articles, etc.). These works are carried out promptly.

According to a separate agreement, medium and large modifications are carried out, which take longer:

• large (weeks long): for example, the new Working Capital module
• Average (days): for example, improvements in MDD, in particular the introduction of cross-sections of activities (main - production, other - development) and cross-sections of sales types, indirect MDD, EBIDTA bridge, accounting for currency in the cost of sales and budget, various data uploads.

On the customer side, depending on the request, the team changes and can include employees of Financial Planning, Reporting and Analysis, Finance, Accounting, Purchasing, and 1C.

From Odyssey Care, a manager and two technicians are involved on an ongoing basis.

In 2025, support for the budgeting, business analysis and business planning system continues.