With accuracy at the source point, CFOs have a burden to ensure that there are efficient and effective systems that will process the data. The conversation going on the world over is on big data, but we cannot underestimate the value of small data. Organizations need to invest in data infrastructure, analytics tools, personnel and dashboards. A strategic plan would be great in ensuring measurable steps towards quality and informed decision making processes.
For an organization achieve sustainability in the market, they have to keep on refining their future goals and aligning their present state to their desired future. A data driven organization is better placed to predict the future with some level of accuracy based on the real time current data. Financial projections, market dynamics and other factors affecting the future of the organization can be easily predicted.
With predictive analytics, the CFO is able to prepare early enough on projects that are anticipated for the future. There is the business benefit of being the first to enter into a market, this advantage can be exploited by the first to hit the market. Aligning finances to operations and the strategic plan can now be realized with predictive analytics.
It is not enough to have a strategic plan. Data driven organization are able to implement their strategic plan including the monitoring and evaluation due to the real time data management in the organization. The insights must also extend across all regions and geographies, as well as the many departments and divisions within the business in order to provide a truly “strategic” view.
Communication in the organization is much more efficient and effective for data driven organization. The management can easily communicate reliable data to the respective departments for implementation. The management is also able to carry out strategic decisions with immediate effect, do monitoring and evaluation of all key sectors in the organization.
Most Business Intelligence and real time management systems have been improved to relay data in the most simplified manner. This ensures all stake holders understand the implication of every bit of information derived from the system. With this simplification in the communication process, workers are better placed to understand the vision and strategy of the organization and do their honest part in fulfilling their duties.
How are you addressing your systems to track your financial investments? Is this managed by the finance or IT organization? Which leader(s) are in control of these investments and directions? Contact our team at RAY ALLEN today to understand where our solutions and services can align to help you drive efficiencies for informed decisions and strategic direction.