Is the static, annual budgeting or forecasting process wasteful? Only if you believe that spending a time-intensive period each year toiling away to develop a plan that will only provide you part of the picture in a few months’ time, that you will have to spend additional time revising in order to retain the budgets relevance, and that decreases in value as it ages—all before you have to start the process over again.
The Trouble with Annual Forecasting
Annual forecasting was once the only way to work, as technology limitations forced businesses to steer their organization with little more than reasonable expectations, not factoring in any unexpected turbulence that appear throughout the year.
Changes or problems that affect the business aren’t captured timely enough to be relevant, and in a volatile business environment can lead to poor decision making.
The Solution: Rolling Forecasts
Because of the ineffectiveness of annual budgeting and forecasting, there has been a growing push from leaders to implement the best practice of Rolling Forecasts. Rolling forecasts offer an organization more flexibility and visibility in less time each year. Emphasizing key business drivers, the rolling forecast allows you to adapt to changes as needed as opposed to the predict-and-pray method of old.
We’d like to share this trend and this best practice with you.
Questions To Ask Yourself
- You spend too much time and energy preparing annual budgets?
- Your line managers are reluctant to participate in the budget?
- You struggle to get buy-in and commitment for your planned numbers?
- You have a business strategy that is not appropriately reflected in the budget?
- You tie executive and employee compensation directly to budget performance?
If you answered “Yes” to any of these questions, then please join us and learn more about rolling forecasts and how they can take your business into a future of better and more strategic decision making.
Join Us for Lunch, Learn Best Practices in Rolling Forecasts
This complimentary in-person event will be held at Old Ebbitt Grill, 675 15th St NW, Washington, DC 20005, on Tuesday September 27, 2016 at 11:30 ET. Registration is extremely limited, so it pays to sign up in advance at the following link: http://www.eventbrite.com/e/best-practices-in-rolling-forecasts-tickets-26955606946?aff=brittenford