Many executives and finance professionals consider a financial model as a jungle of VLOOKUP formulas or an abstract exercise that has little connection to reality.

 Addressing each one individually... 

A model, on a technical level represents a multitude of links and data processing, but on a conceptual level, which is its essence, it represents  systematic approach to defining, characterising, understanding and aligning numbers. Designed for smooth utilisation, requires minimal manual efforts to run it, but shifts focus to maintaining a consistent approach and data structure, to allow all the numbers flow in a designed way. Explained this way, model resembles more a river shape, rather than a manual effort to transfer water from its origins down to the sea. 

Utilisation of the model, comes with the above-mentioned understanding. Many models, plans, budgets quickly depart from what is going on in the businesses, due to inability to properly explain the business characteristics in the first place. Going forward, they become irrelevant, outdated calculations. On the contrary, if a model follows business logic closely, is updatable and runs on principles, not manual assumptions, it is able to provide unparalleled support to operations. Explaining in a quantified way what is going on and, in many cases, highlighting opportunities or challenges for months ahead.

Knowing what lies ahead is money. With curiosity in mind, FP&A Labs implements models, that build value.