With many of you faced with your fiscal year-end, and the attention about to turn to how you are performing against your 2018 budgets and the re-forecasting of those plans, I found an article from TaxConnections that might be helpful. “Budgeting and forecasting are two of the most important financial exercises performed by businesses, regardless of their size. Unfortunately, they are also two exercises that many businesses fail to perform accurately or efficiently.” TaxConnections provides 3 steps to help you improve your company’s budgeting and forecasting processes. They are:
- Build flexibility into your budgeting and forecasting
- Create rolling forecasts and budgets
- Budget to your plan, instead of planning to your budget
I particularly liked hearing about step #3 because it can help best align your financial plans to the visions and operations of your organization. I hope you find this as valuable as I did. If you have any questions, please feel free to ask! Read the full article here.