On regret, bad decisions and wasted opportunities09th October 2019
Have you ever made a decision you regretted bitterly, but couldn't take back?
I can't imagine the level of ambient remorse wafting around Government and Parliament right now.
Every key individual involved in Brexit, no matter what political party they're affiliated with or whether they are a leaver or remainer, has reason to look back and kick themselves.
At every point, decisions were made shoddily around Brexit.
Not only were the decisions poor, but the decision-making process itself was flawed throughout.
Everyone, on every side, got caught up with noise and hype instead of basing their decisions on facts.
Forecasts – if they existed – were ignored, in many cases because people perceived them as politically motivated.
And at every stage, Parliament neglected to think through the myriad of “what if’s”...
What if we hold a referendum and "Leave" comes out on top?
What if Teresa May invokes Article 50 before anybody knows what kind of deal we might get?
What if we can only get a deal nobody likes?
What if we can’t get a deal at all?
What if there’s no "no deal" planning?
What if Boris Johnson prorogues Parliament just before the Brexit deadline?
What if Jo Swinson pledges to simply cancel Brexit if the Liberal Democrats come into power?
What if Jeremy Corbyn won't commit to a position on Brexit until after a general election?
What if people lose faith in the entire political system?
Do you think that in each of those cases, the people responsible had really thought through the worst-case scenarios? I suspect not.
To make good decisions, you need good information. You need a clear view of the worst-case scenario.
You need proper forecasts…
…and you need to pay attention to them, so you understand all of the implications and can accurately evaluate the likely consequences of your decisions.
This is true in business as well.
When it comes to your finances, you need facts – hard numbers – not gut intuition.
To thrive, you need to understand the full range of potential financial ramifications of the decisions you take…
….including worst-case scenarios and opportunities (because there are always opportunities, even in politically and economically volatile times like today!).
You need proper forecasts of what’s likely to happen to your finances, so you can think ahead several steps, instead of making last-minute, short-term decisions. And you need someone to help you focus on these numbers, so that you actually use them to make better decisions.
That's the role of a Finance Director: To make sure you have all the information and insight you need to make the best choices, based on hard facts and forecasts. And to insist they are not ignored!
The reality is, most businesses of your company's size don't have a Finance Director yet; they're still muddling along with basic accounting and a very vague view of their company finances.
Poor them and they will likely suffer the consequences as a result. (Just look at the state of our politics today, to see what happens when you do not have the tools to make good decisions.)
But you don’t have to operate like that. If you are turning over £1-£10 million, we can give you the same financial management that a corporate would expect – for a fraction of the price.
We can help you climb above your peers and competitors by providing the financial direction you need to make-well considered business decisions.
If that interests you, get in touch with me today and let's talk about how we can help you.