An Aberdeen study found that 64% of business managers have seen their decision-making time shrink over the last year. In fact, this timeframe has shrunk so much, that 28% of business managers said they needed data to make decisions within an hour of a business event; another 42% needed information within a day.
As the window shrinks, decision-making is also becoming more and more data-intensive and reliant on information. Traditionally, this would be an oxymoron, but thanks to todays modern financial environment, getting better information faster is a reality—for those who know how to get there.
3 Approaches to Making Smarter Decisions Faster
So how do you get there? Our friends at Sage Intacct and Proformative asked this very question, finding that in today’s competitive financial environment, some approaches work better than others. Their guide, 3 New Approaches for the Data-Driven CFO, explored the current financial environment, as well as some of the opportunities for succeeding in this know-now world.
The Faster Close
The faster close has long been an objective of many finance functions. A fast close is one that minimizes the time to release monthly or quarterly financials after the period ending date. However, leading organizations have realized that many of the techniques used for achieving the fast close actually enable even more frequent levels of reporting.
Broadening Your Sources
Today, leading financial systems address many of the shortcomings of the traditional approach to ad hoc reporting. Taking in more information from more sources may sound like a challenge, but with proper integrations, you can start making more informed decisions using the entire business—rather than making siloed decisions or improper ones.
Love the Dashboards
Executive dashboards are to businesses what cockpit control panels are to pilots. It’s the business equivalent of dials and meters, all designed to provide a user with a snapshot of the status of the business using KPIs. The KPIs should be a mix of financial and non-financial indicators, which means that data from outside of the financial system is leveraged with financial data to provide a more insightful perspective of performance.
Learn More: Get the Guide
The entire guide, 3 New Approaches for the Data Driven CFO, explores these three opportunities to succeed in the modern business arena in much more detail, exploring how to make them work for your organization. We welcome you to download the guide here.