Aleksandar Stojanović, MSc.’s Post

If you have to analyse a holding with many companies with diferent Accounting structures and business rules how would you consolidate a financial report? This is a major need for many FP&A managers and analysts that have a lot of data to handle. Going for a digital transformation solution can be simpler than most think, but to keep it simple you need to organize your data first and understand businesse needs that will scale well. I like to say that we need to build a magnifying glass for each client under a single fountain of truth (meaning data set). A big problem is when you build many and many data sets and they eventually don't conciliate. Know answer me honestly how are we taking care of our fountain of truth? do you have one excel spreadsheet for each month? For me the best approach is to have a Business model and data viz on top a good and big fountain to drink from... #FP&A #Finance #datadriven

As an FP&A analyst, it's crucial to analyze fixed costs and SG&A items that do not align proportionately with sales. By incorporating these values into the variable costs calculated as a percentage of sales, a more accurate financial picture can be achieved. One effective approach is to test how closely SG&A tracks with net sales values over time using common-size values, providing valuable insights for strategic decision-making. #FinancialAnalysis #FP&A #StrategicDecisionMaking #morningthoughts #corporatefinance

Something I have become better at with a long way to go is creating better processes. The process improvements have both positive and negative impacts. One way simple way to improve things with minimal change since we do so much repetition in finance reports is to use a macro. I have seen over and over-processes that people do week in and out that are entering the same things. The data might be slightly different but they are manually. When a simple macro could take a 60 min process to a minute or two. Another and more advanced process is learning how to develop dashboards to limit our lifting. With the ability to engage multiple real-time data sources, we can analyze variances faster, easier, and more accurately than prior. From my experience with these dashboards, both financial and non-financial people can understand and work together to better manage and direct their part of the business. As a result of all this, we can do the same work with fewer people. That is the potential negative depending on what you do with resources. It frees up resources to work on other projects and initiatives, your other option is to maintain fewer resources to allocate them for other things that could mean other people. #efficency #costsaving #finance #worksmarter

CFO might not stand for chief data officer, but Finance needs to lead the corporate data model. #Finance is charged with organizing and producing insights from corporate results. Missing or corrupted data makes this challenging at best. Own the model. Own the data. Take accountability. It should feel natural to your inner accountant. 😉

Finance Managers and FP&A analysts have to make and update financial models on a daily basis. In a Model, forecasting revenue is one of the most critical yet complex tasks we handle. This becomes trickier considering in real-world businesses are affected by seasonality. So how do you make a seasonality forecast for your business: 1. Analyze Historical Data Begin by gathering several years of monthly revenue data. I consolidate three years (or as many as available) and calculate the "Total of All Years" as a baseline, offering an averaged view of seasonal trends. 2.Build the Seasonality Curve Each month's total is divided by the grand total to create a "Seasonality Curve." This curve provides a weighted average, helping us predict seasonal revenue changes with a solid historical basis. 3. Forecasting Revenue Link the total revenue growth rate to the seasonality curve for a clear, data-driven forecast. This setup automatically calculates the expected revenue by month, and any changes in the curve reflect directly on the forecast. 4. Double-Check for Accuracy. Always validate the seasonality curve totals 100% to avoid misalignments. P.S -You can always add a separate column for seasonality curve (Input data there) and then link that to the overall forecasted revenue. This allows the senior management to change the percentage if they feel like it. -It's always a good practice to add a Model check table for general checks. (Sum of this should always equal to zero).

End to End Financial Analysis:- End-to-end financial analysis refers to a comprehensive and integrated approach to analyzing a company's financial performance, starting from the initial data collection to the final recommendations and decisions. The following steps outline the end-to-end financial analysis process: 1. *Data Collection*: Gather financial data from various sources, such as financial statements, databases, and market research. 2. *Data Cleaning and Processing*: Ensure data accuracy, completeness, and consistency. Perform data transformations and calculations as needed. 3. *Financial Statement Analysis*: Analyze income statements, balance sheets, and cash flow statements to understand financial performance, position, and cash flows. 4. *Ratio Analysis*: Calculate financial ratios (e.g., profitability, efficiency, liquidity, solvency) to identify trends, strengths, and weaknesses. 5. *Trend Analysis*: Analyze financial performance over time to identify patterns and trends. 6. *Industry Comparison*: Compare financial performance to industry averages and benchmarks. 7. *Financial Modeling*: Build financial models to forecast future performance and evaluate different scenarios. 8. *Valuation*: Estimate the company's value using various valuation methods (e.g., DCF, multiples). 9. *Risk Analysis*: Identify and assess potential risks and opportunities. 10. *Recommendations and Decisions*: Based on the analysis, provide recommendations for strategic and financial decisions. 11. *Reporting and Visualization*: Present findings and insights through reports, dashboards, and visualizations. End-to-end financial analysis provides a comprehensive understanding of a company's financial situation, enabling informed decisions and strategic actions. #Finance,Accounting

👉A Typical day in the life of a financial analyst. 1.Team collaboration #collaboration with the finance team is essential . Discuss latest market trends review #financial modal #strategy. 2. Making presentation .These presentation provide clear summaries of #financial #data critical insight. 3. #Reviewing data with financial software Main #responsibility includes reviewing and analyzing financial data,such as #trading activity market movement and financial news to prepare for strategy. 4. #Building financial model. Another key aspect of the role is building #financial model to analyze various scenarios and support decision making. 5. #Analyzing financial result and making projections. An essential part of the role involve #analyzing #historical financial data including #profit margin, growth rates and return equity. 6. Preparing report Preparing detailed financial reports is a routine task. This reports includes earning forecast , #budget Analysis and financial performance review. #finance #company #analysis #comment #share

🗣️ Overheard on a prospect call: “𝐌𝐲 𝐭𝐞𝐚𝐦 𝐢𝐬 𝐬𝐩𝐞𝐧𝐝𝐢𝐧𝐠 𝐭𝐨𝐨 𝐦𝐮𝐜𝐡 𝐭𝐢𝐦𝐞 𝐞𝐧𝐭𝐞𝐫𝐢𝐧𝐠 𝐛𝐚𝐬𝐢𝐜 𝐭𝐫𝐚𝐧𝐬𝐚𝐜𝐭𝐢𝐨𝐧 𝐝𝐚𝐭𝐚. 𝐓𝐡𝐢𝐬 𝐬𝐡𝐨𝐮𝐥𝐝 𝐛𝐞 𝐚𝐮𝐭𝐨𝐦𝐚𝐭𝐞𝐝 𝐬𝐨 𝐭𝐡𝐚𝐭 𝐦𝐲 𝐭𝐞𝐚𝐦 𝐜𝐚𝐧 𝐟𝐨𝐜𝐮𝐬 𝐨𝐧 𝐰𝐡𝐚𝐭 𝐰𝐞 𝐝𝐨 𝐛𝐞𝐬𝐭: 𝐫𝐞𝐯𝐞𝐧𝐮𝐞 𝐚𝐧𝐚𝐥𝐲𝐬𝐢𝐬. 𝐖𝐞 𝐧𝐞𝐞𝐝 𝐭𝐨 𝐟𝐨𝐜𝐮𝐬 𝐨𝐮𝐫 𝐞𝐟𝐟𝐨𝐫𝐭𝐬 𝐨𝐧 𝐭𝐡𝐞 𝐡𝐢𝐠𝐡𝐞𝐬𝐭-𝐫𝐢𝐬𝐤 𝐚𝐫𝐞𝐚𝐬 𝐫𝐚𝐭𝐡𝐞𝐫 𝐭𝐡𝐚𝐧 𝐝𝐚𝐭𝐚 𝐞𝐧𝐭𝐫𝐲.” It's clear that businesses are recognizing the need to streamline processes and optimize resources. Manual data entry is not only time-consuming but also drains valuable talent. Automating tasks like revenue recognition liberates teams to concentrate on strategic analysis and decision-making. RightRev can help. #Accounting #Finance #FinancialReporting #GAAP #CFO

Dive into the world of precise financial reporting with Now Consultant. Visit us - https://nowconsultant.com/ . . #nowconsultant #financialreporting #financialdata #financialanalysis #business #financialreporting #finance #data

💡 100+ ideas for #finance teams on how to use data to increase #savings. We spent 160+ hours and finally created a Notion database of savings hypotheses for the CFO team that could be automated in the #BusinessIntelligence system. Key elements of our Red Flag Ideas database: ✅ Outcomes — Each idea contains a clear definition of Outcome, like + Cost savings + Prevention of unnecessary spending + Improving capital efficiency + Reducing risks + Others It also contains the Outcome Metric Formula with an example of measuring the impact. ✅ Actions — Each idea contains lists of possible Action Options and Decision Options. ✅ Prevention — Each Idea contains Timing suggestions for taking action in due time. ✅ Data — Each idea contains examples of Data Sources, Data Fields, and Decision Support Attributes. ✅ Implementation — Each Idea could be implemented in the Dashboard / Report / Alert to automate the generation of actionable savings opportunities. It contains: 1️⃣ The Object to be flagged for review (Purchase Order, Invoice, Vendor Contract, Supplier, Payment, Cost Center, Category, Bank Account, etc.). 2️⃣ An example of the Business Rule to flag this object. 3️⃣ Probability and Impact Scoring Formulas — to focus on the most promising savings opportunities with the highest possible impact. 📍 Subfunctions: + Finance Planning & Analysis + Treasury + Revenue Assurance + Procurement and Supply Chain + Cost Management and Optimization + Capital Management + Controllership + And other We use these ideas as a starting point for thinking during backlog-generating workshops (with BI/Data and Finance teams) for the clients of redflags.ai -- If you are interested → leave any comment and send me a connection request → I'll send you the link in DM.