Corporate Performance Management Market Size (2024 - 2029)

Corporate Performance Management Market Analysis

The Corporate Performance Management Market size is estimated at USD 6.70 billion in 2024, and is expected to reach USD 9.14 billion by 2029, growing at a CAGR of 6.40% during the forecast period (2024-2029).

This increase is attributed to the growing focus on adopting business performance-measuring tools. In addition, the software's cost savings and business effectiveness also boost global corporate performance management software industry market growth. 

• Furthermore, the advancements in artificial intelligence (AI) and business intelligence (BI) enable CFOs, and other business leaders to inspire organizational performance and manage strategies in a more controlled and evident manner, which is anticipated to be an advantage for the global corporate performance management software industry market.
• Corporate performance management software market trends contributing to the market growth is the artificial intelligence-enabled corporate performance management (CPM) software. AI and machine learning (ML) have the potential to make planning much more effective and efficient for organizations. These technologies can help to improve the results of planning and the planning process itself to achieve more meaningful results quickly and reduce the workload of planners. 
• Faster simulations, more accurate forecasts, and increased automation in corporate planning are now within reach of companies using AI, ML, and statistical methods. Many vendors in the market also offer AI-based CPM software. For instance, the Jedox EPM solution helps companies accelerate their planning, forecasting, and reporting. The solution incorporates AI and machine learning to help finance teams create better forecasting models. Such offerings will propel the corporate performance management software market growth.
• Further, Corporate performance management is a component of business intelligence, which monitors and manages an organization's implementation based on key performance indicators, such as return on investment, revenue, and overhead and operating costs. CPM solutions take useful and meaningful information and turn it into a structured performance metric to support the decision-making process in an organization. 
• A CPM solution will streamline data collection, aggregation, and reporting from multiple sources with consistency and improved accuracy, thereby providing faster results in a shorter duration. CPM enables confidence and trust in financial data, along with traceability of actions and seamless workflow capabilities. This, in turn, will push the CPM software market growth during the forecast period.
• Moreover the players in the market are partnering to provide better services to their customers. For instance, in 2022, Ernst & Young (EY) reports an extension of the alliance with Wolters Kluwer to have the CCH Tagetik corporate performance management tools and EY Advisory S.p., harnessing the strength of data to sustain and create opportunities for companies to drive performance and provide long-term benefit. The alliance has also been started in Belgium with additional global growth over time. The requirement for products to sustain financial and operational planning and financial and management consolidation is rising because of the increasing demand for finance process automation.
• One of the key challenges hampering the CPM software market growth is the need for comprehensive technical training. While evaluating CPM software, it is necessary to understand the technical expertise needed to create reports and dashboards or change existing ones. Many CPM software products are very complicated and require IT specialists to get involved anytime the organization needs to change. 
• This drives up the total cost of ownership (TCO). For the finance group, TCO can lead to frustrating delays and dependence on an outside department. Typically, building and maintaining the required competencies and skills and ensuring the availability of monetary and human resources are some of the most significant challenges in the market. These challenges may limit the CPM software market growth during the forecast period.

Corporate Performance Management Industry Segmentation

Corporate performance management (CPM) is software used by corporations and organizations to manage organizational strategies and goals via predefined standard methodologies, budgeting, forecasting, data analysis, processing, and reporting to monitor and control the performance of an organization. The CPM procedure is essential for businesses to save costs, improve operating methods, and improve financial planning. CPM enables enterprises to use proven and well-tested methods and processes to enhance and expand their firm's management. CPM is a collection of intellectual business tools to measure the performance of an organization.

The corporate performance management market is segmented by mode of deployment (on-premise and cloud), by the size of the organization (small and medium enterprises and large enterprises), by end-user industry (retail, BFSI, manufacturing, energy, and power, and other end-user industries) and by geography (North America, Europe, Asia Pacific, Latin America, Middle East, and Africa). The market sizes and forecasts are provided in terms of value in USD for all the above segments.