Understanding the financial analysis dashboard
The lifeblood of every organization is its finances. Financial analysis dashboards are very important and should show the company’s financial state. Unsurprisingly, the first dashboards that companies set up are around their financial activities. The finance department already creates many financial analysis reports both for internal use and external (such as tax, bank, investors, and more) use. And the finance managers are usually the first set of people, alongside the operations managers, to ask for dashboards.
The typical KPIs in a financial analysis dashboard are listed as follows:
- Sales trend: Just as the sales team like to keep tabs on sales, the finance team is also always monitoring sales. They are often displayed in comparison with last year’s date and target.
- Gross profit margin: This is calculated as the gross profit divided by sales revenue. It measures the percentage left after deducting the cost...
