Nowadays, organisations are facing increasing pressures to provide higher quality and more transparent information faster. With finance now playing a larger and more integral role in supporting wider business and strategic decision making, their scope of responsibilities have expanded beyond the traditional realms of reporting. Finance must be able to not only provide the data, but also interpret the data to deliver valuable insights that will drive company-wide decision making. In light of these new responsibilities, finance are leveraging real time financial reporting to help guide their day-to-day decision making through forward-looking, and predictive insights. Using inefficient and generic financial reporting inhibits decision making from becoming streamlined. Due to their lack of visibility, unclear ownership, and their standard capabilities, generic financial reporting tools increase the risk of errors, obscure transparency, and causes decisions to be based on inaccurate information.
According to the Aberdeen Group, using real time financial data positively impacts upon an organisations’ bottom-line performance, as the accurate information gathered will lead to more informed decisions. Their research highlighted that those who use real time data can deliver information in time for decision making 86% of the time, by providing 82% of their stakeholders with access to the appropriate data. Having access to this insightful data will help to reduce the amount of time it takes to make decisions and aid in streamlining the decision-making process.
Benefits and Features of Real Time Financial Reporting
Real time financial reporting will allow decision makers to take advantage of interactive dashboards, detailed visual analytics and automation tools, giving them a higher level of visibility and a deeper understanding of their organisations performance. Dashboards alleviate the need to rely on outdated financial snapshots when reporting, instead Finance can have access to updated information 24/7. Monitoring, reporting and analysing is made simple by having all their data on a single screen; providing them with the information they need to make more informed decisions, comply with regulatory reporting requirements, and drive future performance.
This real time data enables significantly more accurate financial forecasts, and with this information organisations can make better informed decisions that impact financial metrics like risk exposure or short-term investments. This increase in accuracy frees up decision makers time to focus on reporting, rather than addressing errors within the data. When comparing organisations that use real time financial reporting to those without it reveals that those who do utilise it can provide more accurate data to more stakeholders in the time needed for decision making.
Having all the organisations financial data stored in a centralised and singular repository, guarantees that decision makers no longer need to spend time gathering the data they require to make actionable insights as they have an overview of all financial business activity at their fingertips. Real time reporting allows users to drill down into individual business units, or products for a deeper analysis.
Enterprise-Wide Collaboration and Sharing
Real time data can be shared with relevant stakeholders to share task management across departments and to ensure the data is accurate across the board. This ensures decisions are not made in isolation and that every department is working off the same data. Ensuring information is accessible on multiple devices will bring real financial intelligence to users wherever and whenever. This will ensure that decision makers can view dashboards or analytics as they require.
Above all, real time financial reporting makes decision making far more streamlined, through gaining accurate insights at a faster speed, and simplifying reporting processes; making decision makers better equipped to respond to emerging risks, remain compliant and provide relevant insight to stakeholders. To learn more about the benefits of real time financial reporting, we recommend to read our whitepaper below today.
Transforming Financial Reporting; How to Address the Specific Needs of the Finance Function
This whitepaper explores how moving to a real time financial reporting solution will help your organisation take your data to the next level through leveraging its insights to make more informed decisions based on accurate and relevant data.