How to practically combine your company's key operational KPIs with core financial metrics
The internet is full of data-driven management theory, but practical solutions for SMEs are scarce.
Unlike theoretical articles, this blog covers
- SME challenges in internal KPI calculation and reporting
- how you can solve the problem in your company in practice
Business can be managed and guided not only by intuition but by data consisting of KPIs essential to company finances and operational business.
Business KPIs are typically divided into external and internal KPIs (KPIs essential for operational business).
External KPIs are calculated directly from financial management/accounting software data. Internal KPIs essential for managing and monitoring operational business can consist entirely of data outside financial management, such as
- number of new customers
- machine hours driven
or from KPIs combining data imported from financial systems and data outside financial management, such as
- Customer Acquisition Cost / new customers CAC
- Average Revenue Per Account ARPA
- Customer Lifetime Value LTV
- EBITDA / machine hours driven
The data-driven management challenge in SME daily life
In most SMEs, internal accounting KPIs are still calculated in Excel because implementing robust ERP or BI systems is too laborious and expensive.
In practice, this means that one of the SME's key personnel has to spend part of their time combining data by copying information from financial management software to Excel and calculating internal accounting KPIs used in managing operational business.
Finadeck's solution to data-driven management challenges
To facilitate monitoring, reporting, budgeting, and forecasting of operational business and key financial KPIs, we have built agile and easy-to-use software where you can
- combine your company's financial and operational business data cost-effectively and agilely
- build, visualize, and automate the reports you want for the people you want
- create budgets, forecasts, and scenarios for your desired cost centers easier than ever before
Getting started
To experience the benefits of Finadeck software mentioned above in practice, you can:
- Order Finadeck's 30-day free trial using the order form
- connect Finadeck to your financial management software in minutes
- Transfer variables used in internal accounting, such as hours worked, number of new customers, etc. that cannot be transferred from financial management software to Finadeck either via direct software integration to Finadeck, or transfer the desired data to Google Sheets or Excel uploaded to OneDrive and integrate Google Sheets or Excel in OneDrive with Finadeck
- build your company's key operational business and financial KPIs in Finadeck
- visualize reports the way you want
- automate sending desired reports to desired people / stakeholders
You will receive detailed instructions for implementation after activating Finadeck.
We are happy to support Finadeck implementation, which we offer to all our customers free of charge.
