Pirelli is driving a new financial era with an agile, integrated model ready to scale

A financial process required by the complexity of the business

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In the competitive tire market, financial planning requires precision, speed and a clear reading of large volumes of information. Pirelli Brazil faced precisely this challenge: a complex operating environment, multiple plants, a diverse portfolio and fluctuating demand that required robust and easy-to-update financial models.

However, the previous process was underpinned by a heterogeneous combination of tools and spreadsheets, creating extensive manual tasks and increasing risks in data consolidation. The projection of costs, revenues and expenses depended on models that could not scale at the speed of the business and that required significant time to maintain consistency across versions, areas and hierarchical levels. Manual validations, the difficulty in standardizing criteria and the impossibility of easily integrating data from internal systems increased the operational burden of the equipment and slowed down decision-making.

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The need for a unified model to project with precision

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To sustain its growth rate and improve its analytical capacity, Pirelli needed to transform its financial planning and analysis process. The objective was clear: to replace the fragmentation of tools with a single model, capable of automating the import of data, improving the quality of the projections and offering an agile and coherent visualization both at the local and corporate levels.

The company was looking for a solution that would project variable costs and fixed expenses with granularity —by SKU, sales channels or cost centers—and that would integrate labor cost planning into a single environment, considering plants, shifts and working conditions. In addition, it was essential to have financial statements projected in real time, dynamically linked to income and cost models, allowing us to evaluate scenarios clearly and respond quickly to the requirements of its parent company in Milan.

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An integrated financial model that increased agility and precision

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With Pyplan, Pirelli implemented a comprehensive solution for FP&A composed of three key modules: projection of variable costs and fixed expenses, projection of labor costs and projection of financial statements. This model made it possible to centralize all financial logic in a single flexible, scalable platform capable of instantly reflecting the impact of any premise or operational change.

The PxQ module made it possible to project variable costs with a level of detail impossible to sustain in spreadsheets, while the parameterization of loads made it easier to plan fixed expenses per cost center. Labor cost planning, based on multidimensional cubes, enabled analysis by employee, plant, shift and wage condition, increasing accuracy and reducing rework.

The integration of these models with the automatic projection of financial statements transformed the way of visualizing the future of the business: revenues, costs, margins and results were immediately updated in the event of any modification, reducing time and increasing the reliability of the process.

Thanks to this architecture, Pirelli achieved direct benefits: significant reduction in budgeting time, greater clarity and speed of visualization, ability to generate multiple scenarios and a faster and more consistent monthly forecast cycle. All of this strengthened financial governance and raised the quality of decision-making at all levels of the organization.

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Discover how Pyplan can modernize your financial planning from end to end. Connect with our team and transform your processes:
https://pyplan.com/es/entre-en-contacto/

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