Planning and comparing.
WHAT THEY SUPPORT
Budgets prepared by department Consolidation into an organisational plan Comparison of actual against budget Forecasting Scenario modelling
WHY SPREADSHEETS PERSIST HERE
They are flexible, and planning is inherently exploratory.
WHAT THEY COST AT SCALE
Version confusion Broken links No audit trail Consolidation done manually
WHAT DEDICATED SYSTEMS PROVIDE
Structure, workflow and a single version.
WHAT VARIANCE ANALYSIS REQUIRES
Budget at the same level of detail as actuals.
WHY
Otherwise comparison is impossible.
WHAT TO ESTABLISH
The chart of accounts supporting both.
WHAT ROLLING FORECASTS PROVIDE
A continuously updated view, rather than an annual plan that becomes obsolete.
WHAT CASH FORECASTING REQUIRES
Expected receipts and payments, with timing.
WHY IT MATTERS MORE THAN PROFIT FORECASTING
Businesses fail from lack of cash, not lack of profit.
WHAT TO MODEL LOCALLY
Exchange rate movement, which materially affects costs Delayed receivables, which are common
WHAT TO PRODUCE
A range, not a single figure.
WHAT TO REVIEW
Forecast against actual, to improve the method.
