17 Best Practices to Optimize your Q1 2023 Corporate Financial Plan

November 22, 2022

2022 is approaching its end and this means CFOs will soon pivot more resources and focus on 2023 decision-making, strategy, and fine-tuning the Q1 forecast.

The 16 members of the Forbes Finance Council have put together a list of financial tips to optimize Q1 2023 planning. This list totals 16 tips including a singular tip from each council member.

Forbes describes the following challenges that will continue into 2023 and require attention:

With rising interest rates, an uncertain economy, ongoing inflation and the effects of the “Great Resignation,” there are plenty of factors for business leaders to consider when setting goals and plans for 2023.

Below are the 16 tips:

  1. Focus on Liquidity 
  2. Allow for contingencies when calculating the cost base
  3. Build up your forecast by customer 
  4. Consider your insurance model 
  5. Don’t overlook resiliency planning 
  6. Stay attentive to client concerns
  7. Know how your cash is diversified 
  8. Preserve your capital 
  9. Modify operations in anticipation of an upswing 
  10. Accelerate borrowing in Q4
  11. Ensure adequate emergency funding 
  12. Stay on top of cash flow management
  13. Intentionally invest 
  14. Plan your income first 
  15. Don’t rely on outdated cost-cutting strategies 
  16. Ensure you have access to real-time data 

Here is a bonus 17th tip not offered by Forbes but equally valuable:

Bonus tip: Modernize your back-office operation with more automation using modern and cloud-based FP&A software. Studies such as this one from the Association for Financial Professionals confirm that most finance teams can easily waste up to 75% of their time performing manual and redundant activities on spreadsheets or dated systems. The 16 tips provided by the Forbes Finance Council are insightful but they focus on functional areas and avoid the role of technology adoption. Modern technology can aid the pursuit of these functional best practices and the lack of it can make achieving them many degrees more challenging.

FinLogic.io is a new entrant in the Cloud FP&A Software market and already boasts many enterprise clients ranging from 1,000 to 150,000 employees in size. It allows its clients to have a singular and flexible platform able to manage both corporate finance and accounting activities. It will scale to meet any planning complexity at the lowest cost of ownership available for similar capabilities.

Access the Forbes article to find out the author of each of the 16 Forbes tips and read the details of each one.