INSIGHT believes that the main goal of risk management should be the preservation of a company’s margins. One of the main problems with most risk management applications is their inability to show, on a real-time basis, how risk is threatening those margins. For this reason, the heart of ChancesR© is a real-time budgeting system from where the company’s goals and objectives will be measured.
This application provides a point of reference to quantify cost and risk management performance. After all of the budget prices, volumes and drivers information has been entered into the system, the user can obtain real-time looking forward budget estimates by linking rates to market prices or manually changing forward production (cost drivers); generate budget variance reports in Word, Excel, pdf and other formats, showing variances due to changes in price, production or resource usage efficiency; or just hedge its exposures to price risk by placing orders directly to commodities’ brokers.