Uncertainty around financial projections can come in many forms – changes in vendors, market conditions, and new competitors just scratch the surface.
Top of mind for most right now is the far-reaching effect of the Coronavirus, and for good reason. But if we are honest, the life of a business leader is one rife with uncertainty on even the best days.
We truly try to grapple with some elements of uncertainty – usually those with a tangible effect on the bottom line. Others we get used to over time because they're "just a part of doing business". The rest, honestly, tend to get ignored altogether. We assume they are just too arcane to measure, or we rely on gut feelings and percentage-based buffers to catch related expenses.
How do you handle uncertainty?
Diving into a web of spreadsheets, and delayed contact with your outsourced finance personnel is often less than reassuring.
A silver lining in the midst of most uncertainty is you are rarely the first to experience it. Relying on tried and true methods may seem too basic for your complicated issues, but they are often the best place to start.
So before you succumb to the uncertainty, give these three steps a shot:
- Collect and unify your data
- Review from all attainable perspectives
- Make informed decisions based on the best projections available
Unify Your Data
Stay with me! Data can be daunting but if you are already managing Accounting in software like Xero or Quickbooks Online and operating your Sales pipeline in Salesforce – you have an incredible head start!
The real trick is unifying all this data within a dynamic and automatically updated environment.
PlaceCPM syncs your accounting data into Salesforce via pre-built integrations with Xero and QBO (with more on the way).
Review All Perspectives
For this step, you need to DELETE the countless variations of company and department budgets that are floating around with different numbers and competing influences. A single source of truth that is collaborative and always up to date is key.
What you DON’T need to do is get rid of all the input from your departments and stakeholders. A 360° view of all business inputs is essential to a well-formed forecast.
Your company is living and dynamic, and so is the market. So naturally, your budgets and projections will suffer when they are subject to static, closed environments.
There aren’t many options out there that deliver a seamless, collaborative and up to date environment, but PlaceCPM has you covered.
Make Informed Decisions
PlaceCPM takes this wealth of data and delivers easily discernable P&L and cash forecasts plus time-saving reports and dashboards so you can quickly reclaim confidence in your business decisions.
No projections are going to be perfect, but you’ll be able to easily monitor the variance between projections and actuals, making changes as needed.
Start Your Free Trial
It’s difficult to convey the sense of empowerment that comes with this newfound visibility, which is why we recommend you take advantage of a risk-free trial to forecast with your data.
To learn more about PlaceCPM, head over to the product features and pricing page.
Here’s to forecasting a with confidence, even in the face of uncertainty.