What is TM1?

The OLAP database TM1 was developed from the need to perform “spreadsheet” analysis on large volumes of multidimensional data. This is done by applying database security and governance to overcome the data volume and complexity limitations of the spreadsheet.

In TM1, data is stored as multidimensional arrays (or “cubes”) that can be easily manipulated and analyzed in real-time. TM1 can be deployed in the cloud or on-premises.

Cell orientation is a key aspect of TM1. Data is stored and processed at the level of individual cells, rather than in predefined structures like tables or columns. This method allows for a high degree of flexibility in modeling and analyzing data, as cells can be easily manipulated and combined to create new views and analyses.

Also, because cells can be easily linked to other cells or data sources, cell-oriented databases are highly dynamic and can be updated in real-time as new information becomes available.

Manny Perez invented Table Manager 1 (TM1) in 1983 to solve complex, forward-looking business modeling problems associated with budgeting, forecasting and financial reporting. He founded the Sinper Corporation to market TM1 commercially.

In 1996, Applix purchased Sinper Corporation. Cognos bought Applix in 2007, which was soon after acquired by IBM, branding it as IBM Cognos® TM1®.

In 2016, IBM rebranded the product name to Planning Analytics, reflecting its expanded capabilities beyond traditional business planning and analytics. These new capabilities into business intelligence were achieved by introducing the web interface—a highly visual, self-service data exploration and dashboarding tool. Currently, TM1 is still used to define IBM Planning Analytics core component, the TM1 Server.

TM1 provides the flexibility, interactivity and modeling power of spreadsheets, but retains the control, security and scalability of a database. Cubes, dimensions, hierarchies and rules are essential components of TM1. They provide a powerful framework for organizing and analyzing enterprise planning data and can help businesses gain valuable insights into their operations, performance and trends.

Cubes are the central building blocks of TM1. They are multidimensional arrays of data that allow users to analyze and explore data from different perspectives. For example, a company might want to summarize financial data by product, time period and city to compare actual and budget expenses.

Dimensions are the categories or attributes by which data is organized within a cube. Dimensions provide context and meaning to the data and allow users to slice and dice data along different axes. Typical dimensions a cube might contain are time, versions, regions, products, departments and metrics.

Hierarchies are the logical organization of dimension members into a parent-child relationship. They provide a structure or organization to a dimension, allowing users to navigate and analyze KPIs at different levels of granularity or detail. For example, a time dimension hierarchy might include levels like year, quarter, month and day.

Rules are statements or instructions that govern the behavior of the database. Rules define how the database processes and calculates data and how it responds to user queries and requests. Rules can be used to calculate purchase costs, exchange rates, inventory levels, inventory depletion and final production costs.

The storage of real-time data is in computer memory instead of on disk or other external storage devices. This type of storage allows for faster access to the data, which is useful for processing large amounts of data quickly.

It also enables real-time data analysis and reporting. By storing data in-memory, TM1 can perform calculations and generate reports faster than traditional databases.

Write-back capability, a feature of cell-oriented databases, enables users to update and save changes made directly to cells in the database, rather than exporting and importing data for editing.

In a cell-oriented database, data is stored and processed at the level of individual cells, rather than in predefined structures such as tables or columns.

TM1 optimizes calculations by performing them only on data that has actual values or changes, instead of recalculating everything in the cube. It saves time by reducing the amount of data processed during calculations and identifying only the cells that need to be recalculated based on updated or modified data.

This software platform is designed to help businesses with data-driven decision-making based on real-time data. It allows organizations to collaborate seamlessly with multiple stakeholders and forecast future outcomes by using advanced statistical and predictive algorithms, without the need for IT.

• Flexibility and scalability: TM1 allows for a high degree of flexibility in data modeling and analysis, making it easier to accommodate changes in business requirements and adapt to evolving business needs. It can scale through business process automation to handle large volumes of data, making it suitable for large enterprises and complex business environments.
• Speed and performance: TM1 is designed for high-speed, real-time data analysis and modeling, making it ideal for large, complex datasets. The in-memory database architecture allows for rapid data retrieval and processing, enabling users to analyze data quickly, make informed decisions and improve enterprise performance management systems.
• Data integration: Using TurboIntegrator, TM1 can integrate data from various data sources, including spreadsheets, leading EPM (for example, Oracle, SAP) and other data management systems. This integration makes it easy to combine data analytics from different sources for analysis and report authoring.
• Real-time collaboration: TM1 provides a platform for collaborative planning, budgeting and forecasting, enabling multiple stakeholders to contribute to the workflows and share insights and feedback in real-time.
• Granular security: TM1 provides granular security capabilities, allowing for data access to be restricted to specific users or user groups. This security ensures that sensitive data is only accessible by authorized users, leading to increased trust and confidence in the data.
• Prospective analytics: TM1 can perform prospective analytics by using predictive modeling and forecasting techniques to analyze historical data, identify trends and patterns, perform what-if scenario analysis, and make predictions about future outcomes.

TM1 is a versatile solution that is available to both large and small businesses for budgeting, planning, forecasting, management reporting, analysis and consolidations on demand. The solution is as flexible as a spreadsheet, but with better performance, detailed security and no broken links.

Transcend the limits of manual planning with simplified, integrated financial planning and analysis (FP&A). Achieve consensus between income statements, balance sheets and cash flow. Use artificial intelligence (AI) in FP&A for advanced forecasting and decision-making.

Blend hierarchy advanced analytics and an unlimited sandbox of “what-if” scenario planning into your supply chain processes and supply chain management. With the foresight to pivot quickly, you can turn disruptions into opportunities through supply chain analytics and workflow automation.

Use TM1 for sustainability planning, simulation and optimization at any granularity level. You can even calculate the Product Carbon Footprint (PCF).

Track and analyze sales rep performance and sales capacity data in real-time. Use the power of AI to optimize effective sales processes, enhance productivity and reach revenue targets. Automate resource allocation and territory planning through business performance management to get a competitive advantage and increase market share.

Automate and streamline HR management processes—employment, salary, bonuses, headcounts and benefits planning—all in one platform. Develop accurate AI-guided workforce plans and forecasts based on changes in staffing, location, return to work, payment, retention, churn rates and more.

Use AI-infused marketing analytics solutions to improve digital marketing ROI. Gain a deeper understanding of your target markets’ needs before they even know it. Deliver a seamless personalized experience while reaching your marketing objectives.

IBM Planning Analytics is an integrated business planning platform that unifies and synergizes organizational business data in a single platform that allows enterprise-wide collaboration and transparency. All users have access to real-time data to create more accurate, consistent and timely plans, budgets and forecasts without requiring a data scientist.

Its intuitive front ends—the web interface, IBM Planning Analytics Workspace and native Microsoft Excel add-in called Planning Analytics for Excel (PAX)—make IBM Planning Analytics for Excel incredibly user-friendly, ensuring a seamless adoption process.