Imperfect Dashboards Are Better Than Waiting
By TED ROSE, ROSE FINANCIAL SOLUTIONS
In today’s fast-paced business environment, waiting for fully reconciled numbers at month-end can be a costly delay. Growing businesses need timely insights to drive decisions, and waiting for perfection can often mean missing critical opportunities to make an important decision earlier. This is where dashboards with imperfect—but actionable—data become an essential tool for business owners, finance teams, and decision-makers.
The Reality of Real-Time Decision Making
Business leaders don’t operate in a vacuum. They need information constantly to make informed decisions about hiring, resource allocation, customer engagement, and cash flow. If you rely solely on month-end reconciliations, you might be making decisions based on outdated data.
Instead, embracing real-time dashboards that may include estimated, yet directionally accurate, data allows businesses to adjust strategies on the fly. Even if the numbers aren’t perfect, they provide a critical pulse check on the company.
The Truth About Management Estimates
Business finance has never been solely about exact numbers—real-world financial management relies on management estimates. These estimates help businesses anticipate expenses, revenue trends, and cash flow needs before the hard numbers are in. Key examples include:
- Accrual-based revenue recognition estimates
- Forecasted expenses based on historical or or cost estimate
- Expected customer payments and receivables
- Projected tax liabilities
These estimates are not only acceptable but necessary for maintaining operational agility. A dashboard reflecting these figures—even with some margin of error—provides valuable insights that businesses can act on immediately.
Why Imperfect Data Beats No Data
Waiting for fully reconciled numbers before taking action is like driving a car while only looking in the rearview mirror. The landscape of your business is constantly shifting, and historical data alone won’t provide the foresight needed for proactive decision-making.
Benefits of Dashboards with Imperfect Data:
- Faster Decision-Making – Imperfect data allows businesses to adjust pricing, staffing, and cash flow strategies in near real-time.
- Early Trend Identification – Even with estimates, dashboards can reveal patterns that require attention before they escalate. It can take 6-7 repetitions of data for most people to see patterns.
- Increased Value – Dashboards can be structured to provide proactive insights and data relationship rather than reactive reports.
- Operational Agility – Business conditions change quickly; having real-time information allows for more accurate predictions...
Read more in the ROSE Community.
Want to read the full article?
📢 Join ROSE Business Forum & Events to gain exclusive access to industry insights, discussions, and networking opportunities tailored for GovCons, Nonprofits, and Growing Businesses.
Ted Rose
In 1994 Ted Rose founded Rose Financial Solutions (ROSE), the Premier U.S. Based Finance and Accounting Outsourcing Firm. In 2010, the Blackbook of Outsourcing named ROSE the #1 FAO firm in the world based on client satisfaction. As the president and CEO of ROSE, he provides executives with financial clarity. Ted has also acted as the CFO for a number of growth companies and assisted with various rounds of financing and M&A transactions.
Share this article:
Visit Us On:
