Today’s forecast is tomorrow’s accounting report. That’s why it’s up to the CFO to work closely with business unit leaders to create a forecast that’s not only accurate, but can actually influence business decisions.
An accurate financial forecast ensures your business units have the resources needed to deliver on what the business needs. But while almost every organisation creates a quarterly forecast, new customers, lost clients, an aggressive competitor or an outside event like a major weather event can all significantly impact quarterly forecast accuracy.
As a result, more agile companies are incorporating rolling forecasts to make planning an ongoing process instead of a quarterly event. These companies are able to be more responsive in a fast-moving market while avoiding the surprises of their quarterly-focused brethren.
A static forecasting process that relies on manually-managed spreadsheets makes forecasting demand and expenses difficult.
With static planning, finance teams suffer from:
An active planning process supports accurate, efficient forecasting.
Active planning benefits include:
With the ability to integrate driver-based scenarios in real time, Workday Adaptive Planning makes it a snap to conduct a rolling forecast process. As a result, your forecasts are more likely to reflect reality and give your team the resources they need to succeed. Here are just a few of the benefits of moving your forecasting and modelling processes to an active planning process with Workday Adaptive Planning:
Connect your financial and non-financial systems together to automatically collect all of your data and KPIs in one place. When everyone has access to the same data set, financial forecasting and re-forecasting become faster, more accurate processes.
Invest your time performing sophisticated forecasting analysis and working through what-if scenarios instead of managing a manual planning and forecasting process. An active planning process enables rolling forecasts with integrated driver-based scenarios that you can edit.