Does Your Retail Reality Match Your Budgeting Plan?
One of the most important things to do with a retail store budgeting plan is variance reporting. This is where the reality of what’s actually happening in your retail store(s) gets compared to the planning that has been so carefully done and the truth is made known. Did you reach your KPI goals? Were certain stores or departments unable to reach those goals for a particular, valid reason? Variance reporting is the way to keep an eye on the actual performance of any number of areas.
It’s valuable to have access to accurate data, both historic and real time. This is accomplished by having a centralized data base that maintains your data in a manner that is easy to access and easy to navigate. That centralized data base should be updated consistently with real time information, like Point of Sale and regular reports. Only when you have all the information at your fingertips and are able to pull out the information you need to analyze are you able to determine the reality of your retail business.
In order to analyze your reality accurately and create the most strategic budget plans, that data has to be defined, saved, recalled, and displayed the way that works best for your own establishment. Comparatives, multi-level variance displays, and graphing functionality needs to be utilized in light of the way your unique retail business operates.
Create A Budget Plan That Matches Your Retail Reality
ChainDrive’s Store Budgeting Dashboard can be a great way to view and monitor how the store budgeting plan you create compares to what is really going on in every area. Set targets for Key Performance Indicators and see at a glance what is going on and where it is happening (or not happening) so that effective response strategies can be put into action. Instead of trying to fit your unique enterprise into a standard budget template, create the plan that matches your retail reality and succeed because your budgeting plan works.