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How CFOs build a Goldilocks “just-right” budget – Jeff Epstein ex-CFO of Oracle
FP&A Today
Understanding Differing Perspectives on Budgets and Forecasts
Differing perspectives on budgets and forecasts often arise due to the lack of consideration for probabilities. Board meetings typically focus on a singular budget without discussing the range of possible outcomes and probabilities. This leads to the board members interpreting the data differently and not being on the same page about what the budget means and what it means to achieve it. It's important for CEOs and CFOs to make the probabilities explicit and discuss the range of possible outcomes during board meetings to align perspectives and understanding.
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