Data presentation myths Finance Leaders STILL believe in

It is no secret that in today’s world, data is the pulse of decision-making for finance leaders. Data drives insights, determines strategies, and influences long-term planning.

Yet, amidst all the advancements in data analytics and visualization, certain myths about data presentation linger stubbornly. These myths hinder finance leaders from making the most informed decisions or communicating effectively with stakeholders.

I debunk six pervasive myths and explore how finance leaders can elevate their data storytelling game.

Myth 1: The more data, the better

Fact: Clarity trumps volume

Many finance leaders believe that if they showcase more data, their analysis will automatically be more credible. This myth often leads to dense reports packed with tables, numbers, and charts that overwhelm the audience.

However, the truth is that clarity, not volume, ought be the focus. Overloading a presentation with data can confuse stakeholders, diverting attention from the key takeaways. Imagine a presentation where every slide is crammed with figures—no one will remember any of them. The art lies in selecting the data points that matter the most and presenting them in a way that tells a story.

Consider this: a CFO presenting to the Board doesn’t need to showcase every single financial metric the company has tracked over the past quarter. Instead, a well-chosen set of KPIs, explained in the context of business goals and market trends, will have a much stronger impact.

Myth 2: Charts and graphs speak for themselves

Fact: Context Is King, Queen, Prince, Princess and whole bloody royal family

Charts, graphs, and visual aids are powerful tools, but they don’t automatically convey meaning. Yet, I have seen so many finance leaders pepper their presentations with charts, their reasoning that that presenting a chart is enough for stakeholders to draw the correct conclusions. The face is that without the right context, these visuals can be misinterpreted or misunderstood.

For example, presenting a bar chart showing a decline in revenue may seem straightforward, but without explaining the underlying reasons—seasonal factors, macroeconomic conditions, or a one-time event—the audience might misread the data. Similarly, a pie chart showing market share might look impressive, but without context, stakeholders won’t understand how those numbers translate into competitive positioning.

The solution is to pair visuals with a narrative that provides context. Tell the story behind the numbers. If revenue dipped, explain why. If profits surged, highlight the strategic decisions that drove the change. Context transforms a mere chart into a compelling story, ensuring that stakeholders not only see the data but understand its implications.

Myth 3: Dashboards are the ultimate answer

Fact: Dashboards are only as good as their design

Dashboards have become the darling of data presentation in recent years. They’re interactive, visually appealing, and can aggregate vast amounts of data. Many finance leaders believe that a comprehensive dashboard will automatically lead to better decision-making. But here’s the catch: dashboards are only as effective as their design and the way they’re used.

A cluttered dashboard with too many metrics can become a nightmare for decision-makers. It’s like walking into a control room with hundreds of blinking lights—you don’t know which one to focus on. The key is to design dashboards that are simple, focused, and aligned with specific decision-making needs. Instead of cramming every possible metric, choosing the ones that align with strategic priorities goes a long way in clear and concise communication.

Take the example of a dashboard for cash flow management. It should highlight key indicators like cash inflows, outflows, liquidity ratios, and forecasted cash balances, rather than overwhelming the user with a dozen other metrics that don’t directly impact cash management decisions. A well-designed dashboard allows finance leaders to quickly grasp the financial pulse and make decisions with confidence.

Myth 4: Financial metrics are all that matter

Fact: Qualitative data adds depth

Finance leaders are typically numbers people. It’s easy to fall into the trap of thinking that only quantitative data matters. Revenue, EBITDA, ROE—these are the bread and butter of financial presentations. But in a world that values a more holistic approach to business, qualitative data is just as critical.

Ignoring qualitative aspects like customer satisfaction, employee engagement, or brand perception can be a costly mistake. These factors often provide early signals about potential issues that quantitative data might miss. For instance, if customer satisfaction scores are dipping, it may indicate future revenue challenges, even if current sales figures look robust.

When presenting data, it pays to blend quantitative metrics with qualitative insights to create a more rounded picture. A presentation that shows strong revenue growth alongside rising customer complaints provides a more accurate and actionable story than one that shows revenue growth alone. This holistic approach allows finance leaders to anticipate risks and make more balanced decisions.

Myth 5: Excel is the only tool I need

Fact: Visualization Tools Enhance Storytelling

Excel is a fantastic tool—versatile, familiar, and powerful. Many finance leaders have used it for years, and it remains a staple for financial modeling and analysis. But relying solely on Excel for data presentation can be limiting. Today, there are a host of data visualization tools that can transform complex datasets into interactive, visually appealing presentations.

While Excel is undeniably powerful, it often lacks the dynamic, interactive features that modern visualization tools offer.

Imagine presenting a static Excel chart versus an interactive dashboard where stakeholders can click through data layers, filter by time periods, or view trends in real time. The latter not only captures attention but also facilitates deeper understanding and exploration of the data.

Myth 6: Data presentation is just about the data

Fact: Storytelling makes the data memorable

Numbers tell a part of the story, but without a narrative, they often fail to resonate. Finance leaders sometimes believe that their role is simply to present the data and let the numbers do the talking. This myth overlooks the power of storytelling in making data meaningful and memorable.

Storytelling isn’t just for marketing or sales teams—it’s a crucial skill for finance leaders as well. A well-crafted story around financial data can make it relatable and actionable. For instance, instead of saying, “Our operational costs have increased by 10%,” a finance leader could narrate, “Our operational costs have increased by 10%, largely due to the unexpected rise in raw material prices following last quarter's supply chain disruptions. This challenges us to explore new suppliers or renegotiate terms with existing ones.”

By creating a narrative around data, finance leaders can make their presentations more engaging, ensure their audience understands the key points, and inspire action. Stories are remembered long after spreadsheets are forgotten.

Turning myths into best practices: Practical steps for finance leaders

With these myths debunked, how can finance leaders ensure that their data presentation skills are up to the mark? Here are a few practical tips:

1. Focus on the Big picture: Start with the key message you want your audience to remember. Build your presentation around this message, and filter out any data that doesn’t directly support it.
2. Leverage Tools: Invest time in learning tools that are designed to make data storytelling easier, allowing you to present data in a more engaging and insightful way.
3. Create a narrative: Think of each presentation as a story with a beginning, middle, and end. Frame your data in a way that takes your audience on a journey—what’s the problem, what do the numbers say, and what should be done next?
4. Simplify your visuals: Aim for simplicity in charts and graphs. A clean, well-designed visual is more effective than a complex one. Make sure that the visual aids support, rather than obscure, your message.
5. Incorporate qualitative insights: Don’t shy away from including anecdotes, customer feedback, or employee experiences in your presentation. They add depth and context, making your analysis more comprehensive.
6. Practice active listening: Often, finance leaders focus solely on presenting their data, forgetting that data presentation is a two-way street. Be prepared to listen to feedback and questions from stakeholders, and use them to refine your analysis and presentations over time.

Sum and substance

Data presentation is not just a technical skill; it’s an art that can make or break the impact of your insights. As a finance leader, breaking free from these myths is key to mastering this art. It’s about moving beyond the numbers, embracing storytelling, and using the right tools to communicate clearly and effectively.

Gone are the days when financial presentations were just about spreadsheets and figures. Today’s CFOs and finance professionals are expected to be storytellers, translators of data, and architects of clarity. By doing so, they not only ensure their insights are understood but also inspire action, drive better decisions, and ultimately, shape the future of their organizations.

And that, after all, is what being a modern finance leader is all about.

And that, after all, is what YOU are about.

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I am Sri Ram.

I head the Marketing and Alliances function at FinAlyzer.

FinAlyzer is an emerging global leader in the Enterprise Performance Management space and we are working towards one purpose....empowering CFOs drive sustainable growth and financial resilience through Automation of their Financial Operations around Financial Close, Consolidation, MIS and Budgeting and Reporting (Statutory and Management).

In addition to working towards this purpose, I read, I write, I watch movies.

I do all of this happily.

But I am at my happiest when I walk my dog and going by the way she looks at me when we are out strolling, I am sure so is she.

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