Financial reporting is one of the 10 most important areas of responsibility for CFOs.
Reporting accuracy is one of the ten most important KPIs for financial reporting teams.
Here are 6 ways for CFOs to improve reporting accuracy ๐งต.
Reporting accuracy is one of the ten most important KPIs for financial reporting teams.
Here are 6 ways for CFOs to improve reporting accuracy ๐งต.
First an overview of the six ways to improve reporting accuracy.
1. Data governance
2. Streamline processes
3. Clear documentation
4. Dedicated resources
5. Reporting standards
6. Strong controls
1. Data governance
2. Streamline processes
3. Clear documentation
4. Dedicated resources
5. Reporting standards
6. Strong controls
1/6 Data governance
Implement data validation and verification processes to ensure accurate and reliable financial data by conducting regular data audits and reconciliations.
Implement data validation and verification processes to ensure accurate and reliable financial data by conducting regular data audits and reconciliations.
2/6 Streamline processes
Develop standardized templates, guidelines, and workflows for financial reporting to promote consistency and minimize errors in data compilation and presentation.
Develop standardized templates, guidelines, and workflows for financial reporting to promote consistency and minimize errors in data compilation and presentation.
3/6 Clear documentation
Maintain comprehensive documentation of accounting policies, procedures, and assumptions used in financial reporting, ensuring transparency and providing a clear audit trail for the reported numbers.
Maintain comprehensive documentation of accounting policies, procedures, and assumptions used in financial reporting, ensuring transparency and providing a clear audit trail for the reported numbers.
4/6 Dedicated resources
Engage external auditors or consultants to perform independent reviews of financial reports, providing an unbiased assessment and validating the accuracy and compliance of the reporting process.
Engage external auditors or consultants to perform independent reviews of financial reports, providing an unbiased assessment and validating the accuracy and compliance of the reporting process.
5/6 Reporting standards
Stay informed about the latest accounting and reporting standards, regulations, and industry best practices to ensure compliance and incorporate any relevant changes into the reporting process.
Stay informed about the latest accounting and reporting standards, regulations, and industry best practices to ensure compliance and incorporate any relevant changes into the reporting process.
6/6 Strong controls
Establish robust internal control systems, including segregation of duties, approval processes, and periodic reviews, to minimize the risk of errors and fraudulent activities.
Establish robust internal control systems, including segregation of duties, approval processes, and periodic reviews, to minimize the risk of errors and fraudulent activities.
What other tips would you add to improve reporting accuracy?
And anything you'd add to the 6 six ways suggested here?
And anything you'd add to the 6 six ways suggested here?
That's a wrap!
If you enjoyed this thread:
1. Follow me @LiuLindberg for more of these
2. RT this tweet to help CFOs improve financial reporting accuracy.
If you enjoyed this thread:
1. Follow me @LiuLindberg for more of these
2. RT this tweet to help CFOs improve financial reporting accuracy.
Check out how we help finance teams elevate the influence they have in their company at bpidk.org.
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