For finance teams, keeping forecasts up-to-date and tracking progress is a constant challenge. The real test comes when forecasts don’t match actual results, leading to three critical questions:

• What was forecasted to pay but didn’t?

• What paid but wasn’t forecasted?

• How has my forecast changed since the beginning of the period and what is driving that change?

These discrepancies aren’t just numbers—they signal deeper issues that need attention. Understanding these gaps is key to making informed adjustments and optimizing your cash flow strategy.

The Challenge: Comparing Values Across Multiple Periods

One of the toughest challenges in forecasting is comparing end-state values across different periods, especially when these periods include a mix of actuals and forecasts. This complexity can make it difficult to spot and understand discrepancies.

For example, comparing a forecasted collection that spans several months—with some months locked as actuals and others still forecasts—can be confusing without the right tools.

Tesorio’s Forecasting Enhancements

Tesorio’s Locked Forecast, Variance Analysis, and As Of Reporting are designed to simplify this process and enhance your forecasting.

Locked Forecasts provide a fixed reference point, allowing you to track how your forecasts evolve. Whether you’re dealing with a single period or multiple periods, this tool ensures you always know where you started and how things are changing.

Live Forecast Tracking tracks your forecasts in real time as they evolve throughout the period. You’ll gain ongoing visibility into forecast changes, enabling you to understand which factors are driving the shifts and how they impact your projections.

Variance Analysis reveals discrepancies between your initial forecasts and actual outcomes, showing not just what has changed but why. This analysis helps you identify trends and potential issues early, allowing you to make proactive adjustments.

For instance, you might find that certain collections didn’t perform as expected, while others exceeded forecasts. Variance Analysis helps you understand the reasons behind these outcomes, empowering you to refine your cash flow strategy.

As of Date Reporting enables the comparison of current invoices with their status on a specific past date. This is particularly valuable when ERP data changes due to processes like backdating invoices, which can create discrepancies between records in Tesorio and external references or the ERP system.

By selecting a historical date, this feature allows for viewing the state of a record as it was then versus now, offering clear insights into why the data is represented in its current form.

Forecast with Confidence

Tesorio’s forecasting enhancements give you the confidence and clarity you need to manage cash flow effectively, ensuring your financial planning is always proactive and informed.

Speak to a cash flow expert today to learn how you can optimize your forecasts.