Title: Measure and report what matters
1Measure and report what matters
- Peter Scott Consulting
- www.peterscottconsult.co.uk
2What is the purpose of financial measurement and
reporting?
3To provide clear information to those running
the business to enable them to - Know what is
happening / will happen in the business - Make
decisions based on sound knowledge - Take
effective action
4Financial measurement and reporting- create
KNOWLEDGE- manage RISK
5Risk and Knowledge Management
6Financial measurement enables you to manage
performance
7If you cannot measure it, you cannot manage it.
8Is your financial measurement and reporting
helping or preventing you achieving your
objectives?
9How do you use financial information?
10Financial management - whose responsibility is
it in a law firm?
11Do you produce data or information?
12Avoid financial information overload
13In a law firm what needs to be measured- and
why?
14What matters? -How can we measure the
financial performance of each part of our
firm?-How profitable / loss making are our
clients?-Which parts of our firm generate good
cash flow or soak up cash?
15Are you measuring and reporting what matters?
16Is there anything you should measure which you do
not currently measure and report on?
17Do you / your people use everything you measure /
report? If not why do you measure it / report
it?
18Your key performance indicators?
19Test your KPIs
- Why do we produce this information?
- Does it tell us what we need to know about our
business? - What does it not tell us about our business?
- Do we ever use this information?
- If not then why do we produce it?
- PETER SCOTT CONSULTING
20Real time or historical information?
21Your priority financial outcomes?How to
measure and report what matters to achieve those
outcomes
22Your desired Outcomes?- Accelerating cash
flow?- Improving profitability?- Building
performance?- Effective business development?-
Managing your risks and compliance?- Others?
23How to ensure the most effective use is made of
your financial reports to achieve required
outcomes?
24I dont have a clue about the financial reports
I receive
25Do your partners / other fee earners have
financial knowledge gaps?Do they understand why
you provide them with financial reports?Do they
understand why you are asking them to take a
certain action?
26Is it enough just to provide reports or do you
need to do more?
27Who needs what?
28Hard copy or available on line?
29Frequency of reporting?
30Inaccurate reports destroy credibility
31Would a financial education programme for your
firm help to achieve desired outcomes?
32Your financial measurement and reporting ACTION
PLAN?
33What are you going to take away from here today
and put into action?
34Any questions?