In today’s data-driven business landscape, Financial Planning and Analysis (FP&A) professionals are taking on the role of storytellers. At the recent Munich FP&A Board meeting, we delved deep into the transformative power of FP&A Storytelling and its role in driving decision-making, building trust, and aligning teams.
The meeting was sponsored by Pigment in partnership with International Workplace Group and Page Executive. 28 senior finance leaders from Amazon, Xerox, Payoneer, EY, Trouw Nutrition, Daichi Sankyo, ABBYY, Flix, and many other companies convened in beautiful Spaces Werksviertel.
Figure 1: Munich FP&A Board №4, November 2024
Here are the key insights from the event.
Why FP&A Storytelling Matters
FP&A Storytelling bridges the gap between numbers and strategy by:
- Aligning teams around shared objectives.
- Driving informed, strategic decisions across the entire organisation.
As highlighted during the session, effective storytelling is no longer a “soft skill.” It’s a strategic necessity, especially as FP&A teams transition towards Extended Planning and Analysis (xP&A).
The Winning Formula of FP&A Storytelling: Narrative, Visuals, and Data
To craft impactful FP&A stories, three elements must align:
- Narrative
- Visuals
- Data
Figure 2
1. Narrative
A narrative is more than numbers; it’s the blueprint of a story. It combines ethos (credibility), logos (logic), and pathos (emotion) to create a message that resonates with the audience.
Figure 3
Tailoring your narrative to your audience is crucial. Consider their expertise, priorities, and expectations to ensure clarity and relevance.
2. Visuals
Great visuals simplify complexity. Whether it’s a well-designed dashboard or a thoughtfully curated chart, effective visuals illuminate the story behind the data. Clarity, simplicity, and alignment with the narrative are non-negotiable.
We also discussed the Data Visualisation Maturity Model. It shows how different companies can be compared in terms of data visualisation.
Figure 4
3. Data
The foundation of storytelling lies in reliable and timely data. High-quality, well-contextualised data ensures credibility and relevance, empowering decision-making. Integration of real-time analytics, Artificial Intelligence (AI), and predictive tools further enhances the storytelling process.
Figure 5
Volvo Financial Services Case Study
FP&A Storytelling is not just about reporting data anymore. It’s more about influencing decisions, inspiring change, and building trust.
Brenden Priest, Finance Director of Volvo Financial Services, presented the case study from his organisation. He highlighted that companies that embrace this approach are able to successfully reorganise FP&A functions, bringing together data from hundreds of various source systems with different ways of measurement/calculation to one source of truth.
Figure 6: Brenden Priest, speaker at Munich FP&A Board №4, November 2024
Break-out Sessions: 7 Steps to Crafting Effective FP&A Stories
During the break-out sessions, each group made practical suggestions for making FP&A Storytelling successful.
The first group discussed how to build an effective narrative. They highlighted the importance of building trust and understanding the audience. Preparation and the goal of the narrative are equally important components.
The second group explored practical suggestions for improving visuals. They advocated for simplicity and clarity in visuals and underscored the need for consistent alignment with company branding. As per this group, the right visuals should be based on the “right” data.
However, the data itself was under the lens of the third group. They presented their insights on data to the audience, emphasising the need to identify relevant data and agree on a single source of truth. Taking into account governance and understanding the data in context are must-have points for ensuring credibility.
These insights could be unified into a structured approach, including the following:
- Know Your Audience: Tailor your message to their needs.
- Set a Clear Objective: Define what action or decision you want to inspire.
- Collect and Analyse Data: Focus on high-quality, relevant data.
- Highlight Key Insights: Keep your message concise and impactful.
- Organise the Narrative: Use a logical structure to connect data points to outcomes.
- Leverage Visuals: Simplify complexity with intuitive charts or dashboards.
- Deliver Insights with Confidence: Use clear communication to engage stakeholders.
Figure 7: Group Work, Munich FP&A Board №4, November 2024
Conclusion: Storytelling as a Strategic Advantage
As the FP&A profession evolves, storytelling emerges as a core competency. By combining the right narrative, visuals and data and using modern technological tools to enhance human expertise, finance teams can move beyond reporting to actively driving business strategy.
