The P&L has always been a critical barometer of a business’s financial health, but it can be so much more than that. A modern, future-proof P&L should be working for you, empowering staff at every level, helping you identify areas for improvement and the most efficient ways to get there. It should be promoting your company, outlining your diversity and sustainability credentials, and giving you a competitive advantage. It should be transparent, breaking down each revenue stream and revealing the inner workings of company finances, providing for near-frictionless processes. It's time for a smarter approach to financial statements, an omnichannel strategy, where you analyse the P&L in each business unit before you consolidate. Get the basics right and your P&L can help steer your decision-making, providing the data to drive efficiency and accelerate successful digital transformation.
About the authors:
The authors wish to thank Alexandre Soncini, Mariano Gomide, Vitor Tambascia, Krish Pankhania, Lucila Thompson, and Pedro Enrique for their contributions to this article.