In today´s economic climate, the expectations for businesses to perform better are higher. However, one of the lingering problems for several organizations lies in its struggle to do effective financial reporting.
Several organizations struggle with multiple reporting requirements or reports containing information from various sources or the lack of credibility of the resulting figures or a combination of several of these issues.
Several employees scramble in trying to get the reporting done by manually consolidating data and manually formatting spreadsheets. Now while these techniques work, the integrity of the reports are always to be doubted. There is no guarantee as well that the report relays the right message across to the executive team, to different departments, investors or stakeholders.
Luckily, there are several mushrooming reporting software in the market that claims more or less the same thing – the ability to create reports and to do so with just a single version of the truth.
For those of you who are still searching for a suitable solution, we have listed below the top 3 characteristics of a good financial reporting software that you should know about.
The reporting software you choose should increase the transparency of the financial parts of your business. This means that all your financial statements should be presented in such a way that it makes sense and that it is easily understandable.
In addition, with the tool achieving transparency, the integrity problem can also be addressed. This means that the tool will easily show you errors or where the numbers come from. A good reporting tool will ensure that there is a high degree of reliability on the numbers you show by answering questions clearly before they are even asked by any consumer of the report.
Regardless of which software you choose, one thing that you must be keen on looking at is the coherence of the tool. Do all of the components of that reporting software work together logically?
The main goal should be to achieve consistency in financial reporting across companies and periods. Additionally, the information must always be comparable to the financial information presented for other periods so that you as a user can identify trends in performance and financial position of the reporting entity.
A financial reporting software should be able to capture all types of activities and transactions that will have financial effects. The reporting software you choose must be able to fuse plans, reports, and analyses together in a single view for a more comprehensive insight.
If you are still searching for a robust reporting software, Performance Canvas offers you the ability to create and share financial statements, scorecards, dashboards, and variance reports. In addition to its reporting ability, Performance Canvas also offers you the ability to do Budgeting, Planning, Consolidating, and Profitability Analysis.
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