What steps can you take to ensure timely financial reporting?

In addition to what is said above, Standard Operation Procedures (SOPs) should be developed with clear responsible persons and no overlapping roles. Also, choosing the most efficient software will contribute in quick planning, quick analysis and quick reporting.

To ensure timely financial reporting, organizations can implement a series of steps that aim to streamline the reporting process and meet reporting deadlines. organizations can enhance their financial reporting processes, resulting in accurate and timely reports by following : 1- Simplify and prioritize critical information: Identify the essential documents and data required for decision-making and prioritize them accordingly. 2- Set up a calendar of events: Establish a schedule of activities and tasks with a calendar of events ensuring that everyone is aware of their responsibilities and deadlines. 3- Customize financial statements to meet the specific needs of your company and industry. That provides relevant benchmarks and KPIs.

Planning ahead will help out from a financial standpoint, but tracking it along the project lifecycle matters the most. Being able to meet those forecasts as well as take care of discrepancies will make a better Agile Project Manager stand out.

Planning ahead is critical when it comes to finances, be it personal or professional. Forecasting is an important exercise that helps to plan ahead of time. Financial Reports of a Program are used across different Forums - Hence, scoping, types of reports to be published, the reporting time and frequency, stakeholders involved should be assessed already. Next step, is to be clear on what we want to capture, publish and the final metric/conclusion that we are deriving from this. When the context, scoping and purpose of the Financial Reporting is clear for the Leader, then next, the team needs to be apprised of the importance and criticality of this exercise, so that they can contribute effectively wherever required.

Define and document a clear finance reporting process with specific timelines. Having a structured approach helps in planning and executing each step efficiently. Use a reliable accounting software to automate routine tasks, streamline data entry, and generate reports quickly. This reduces the risk of errors and accelerates the reporting process. Also, follow a monthly or quarterly routine to ensure financial reports are generated promptly at the end of each reporting period, facilitating timely decision-making.

Setting up a standard process is extremely important, as that helps to enable streamline the activities. People and technology may change, but with a consistent process in place, teams and stakeholders know the tasks and actions that are lined up. Automation and Usage of standard tools can increase the collection and processing of the Reporting process, and minimize human errors, which may arise while working with numbers, stats and any manual calculations, forecasting.

Automation is essential but ensure tooling sustainability and maintainability. You don't want your aggregation world to come crashing down when the author moves on!

Implementing a strategic approach to enhance financial reporting involves carefully selecting robust financial software that meets org needs and supports automation and standardization.Once the software is in place, establish clear and standardized procedures for reporting to ensure consistency across different periods. Integrate systems for automated data entry, reducing errors and expediting the reporting process. Develop report templates for a consistent format and implement scheduled reporting for timely distribution. Set up data validation rules for accuracy during automation. Workflow automation streamlines the approval process, and real-time monitoring identifies issues promptly, enabling timely resolution before reporting deadlines.

Automate and Standardize: Financial Systems: Implement financial reporting software that automates routine tasks, reduces manual errors, and streamlines the overall reporting process. Standardized Templates: Develop standardized templates for financial reports. This ensures consistency across reports and makes it easier for teams to understand and adhere to reporting requirements. Data Integration: Integrate financial systems to enable seamless data flow between different departments and systems, reducing the need for manual data entry and reconciliation.

In my PM role, I adopt a CEO approach, focusing on accountability for financial accuracy and crucial program decisions. I've delegated detailed tasks to Proj Controls, my DPM, and FA. They understand their roles well, including when to escalate issues to me based on predefined thresholds and programmatic decision points. This setup keeps me well-informed for high-level decision-making, while maintaining efficient communication and oversight in financial reporting. This approach removes me from the daily minutiae and focus on the higher level program integration activities.

ollaborate and Delegate: Team Collaboration: Foster a collaborative environment within the finance team and with other departments involved in the reporting process. Delegation of Responsibilities: Clearly define roles and responsibilities, and delegate tasks according to individual strengths and expertise. Empower team members to take ownership of specific components of the reporting process.

Recommend building in (auto) reconciliation especially if some manual activity is involved. i.e. calculate the essential y Mgt Info Summary totals/KPI in two different ways to ensure your formulae or aggregation system is not compromised (especially if you have made assumptions about the data!) Add in alert flags/checks if the volumes of data are scary as there is no way you can sustain a consistent high level of checking and especially if faced with last minute refreshes!

Validation is the key to this important component of the project! That means understanding the tools and procedures used for validation, which needs to avoid misinterpretation by different stakeholders.

Review and Validate: Internal Review Processes: Establish a robust internal review process to catch errors or inconsistencies before reports are finalized. This may involve peer reviews, cross-functional checks, or automated validation tools. Documentation: Maintain detailed documentation of the reporting process, assumptions, and methodologies used. This documentation not only aids in internal review but also supports external audits.

Learn and Improve: Post-Reporting Evaluation: Conduct a post-reporting evaluation to identify areas for improvement. Analyze the efficiency of the reporting process, and gather feedback from team members and stakeholders. Continuous Training: Invest in ongoing training for finance teams to keep them updated on changes in reporting requirements, software updates, and best practices.

In my view, appending key takeaways to reports facilitates quicker decision-making. Summarize crucial findings, trends, or recommendations at the end, providing stakeholders with concise insights. This practice enhances the report's impact, enabling decision-makers to swiftly grasp essential information and make informed decisions.

Timely financial reports are required to reduce the costs and improve margins. In addition to setting up calendar events, we need to ensure real data is available for reporting, reconciliation practice is available throughout the month instead of pulling it on 11th hour, right tools available to give output as per company needs or format.

Learning from challenges, course correction, taking timely corrective measures and acting swiftly. Regular feedback and incorporate the best input on time.

Coming from a Construction Management background the “Work-in-Progress” or WIP report is crucial for accurate and timely financial reporting and forecasting. This is also required by the Bonding company or Surety and the Banks on a monthly basis. Train and educate the accounting/finance team on how to generate accurate WIP reports. The actual work performed may reside with Finance and work to complete is with the Project execution team so intricate coordination is necessary with the Project Controls team, the field staff, and other stakeholders like the owners representatives.

From my experience with State funded projects - link payments/invoice processing to financial reporting when working with subcontractors or consultants. Make submission of the financial reports a deliverable that triggers payment. It gets done and submitted on time almost every time.