POOR DATA LEADS TO POOR DECISIONS
While we can all agree that it is a financial (and time-consuming) problem to correct poor data, the biggest issue with poor data is that it leads to poor decisions. So, do your company (and yourself) a favour and find a method that supports accurate data processing. A method that won’t let you easily commit those manual errors we are often prone to make, especially when we are in a hurry and lack a formalized and structured data processing method.
Studies suggest that almost 9 out of 10 spreadsheets contain errors. And by errors, we mean unintended actions with negative consequences or failing to achieve the desired outcome. Of course, we are all convinced that the errors do not apply to our own Excel spreadsheets – but with 9 out of 10 spreadsheets containing errors, the risk is high!
Nobody is perfect, and there is always a risk when processes involve humans.
So, the takeaway is to learn to identify those processes where errors can occur and create new processes around them, which will help you avoid those errors next time you are in a hurry to complete, e.g., your consolidation.
Right now, start by taking a good hard look at your Excel solution and evaluate if it is the tool you should use for complex reporting like your consolidation.
Furthermore, your auditors will also investigate your Excel sheets in a few weeks or months. They will verify that you can track all the consolidation amounts back to their source, and their focus will also be on those last-minute journal entries.