The international standards for financial reporting demand a substantial increase in the amount and type of information reported. Therefore, CFOs and their finance teams are challenged to comply with the ever-evolving standards while making sure their financial reports are streamlined, simplified, and relevant.
We have entered the social media era – an era that mandates for all information to be readily available, easily accessible, and easily understandable.
The role of the finance departments when it comes to financial reporting is to make sure that simplifying financial reports do not compromise the quality and comprehensiveness of the information it offers.
This is perhaps one of the many reasons why business reporting software or business analytics software are in demand because striking a balance between maintaining transparency in reports versus reporting too much information is a difficult one to maintain not to mention producing financial reports the traditional way is tedious and time-consuming.
Many companies are hoping technology can come to the rescue through its best practices and modern approaches to recurring issues.
When talking about the future of financial reporting technology, many CFOs have voiced out their two top priorities:
- The New Financial Reporting Technology must be Easy to Use
Many companies have invested in financial reporting solutions over the last decade. If there is one thing many of these companies have learned – it is that no matter how many cool features your new reporting software has if your team has a hard time understanding how to use it, it’ll be nothing more than one of those tools a company has but nobody ever uses, or it’ll be one of those tools that constantly drain money due to the need of many consulting hours to get things done.
Ease of use is a priority for many CFOs when looking for new technology, whether in accounting or not. A business reporting software must be easy to learn and use for the finance teams to lessen the amount of disruption in financial operations.
Further, the easier the new software is to use, the lesser the resistance within the finance department and the higher the chances of adoption.
- The New Technology Must Make Financial Reports Easy to Digest
One of the new challenges of finance teams these days is that they need to think about the consumers of their financial reports constantly.
Most often, finance departments produce reports that only people within the finance department can only figure out. These reports will need constant explaining, which wastes everyone´s time.
To sum it all up, their reports not only should be short but it should also be easy to understand.
Reporting solutions then must offer its users the ability to generate the three most often used financial statements – profit & loss, balance sheet, and cash flow in an instant. Also, these reporting solutions must also offer an interactive dashboard that gives an overview of the key metrics that can be used to shed light on important figures or issues.
Financial reporting solutions are not created equal. Some are just simply better than others, and what defines “better” depends on a specific company´s needs and wants.
If your company needs to get access to accurate, relevant, concise, and decision-driving financial reports, check out Performance Canvas Financials by visiting www.performancecanvas.com and see if this financial reporting and budgeting software can address your needs.
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