Using Numbers to Tell a Story

A Financial Planning and Analytics (FP&A) professional is essentially a storyteller. The FP&A analysts dig through numbers, analyze trends, understand driver and try to answer the question " So what". What are the insights that can help leadership take the right decisions? 

Let’s consider the analogy of making a stock. To make a stock, one must first identify what will the stock be used for - soups, stews, sauces etc. Do you need a vegetable stock, chicken stock or a beef stock?  Once the use and type is identified, then the stock is made by boiling down the right mixture of bones, meat, vegetables, mirepoix and spices, skimming the foam regularly and then filtering the prepared stock to be used in various stews and soups. The clear stock is then used for various purposes while the rest of meat, bones vegetables etc. are discarded. 

In the same way, to do a good analysis we must start by identifying the goal of the analysis. Identifying the question, we are trying to answer will help an analyst understand the story   that the numbers might tell. Once the goals are identified, then we need the right data, assumptions and tools to conduct the analysis, continuously refine the analysis and then present the output in a clear and simple manner.

Analysts tend to present all the work that was done but its imperative to filter down the analysis to the top 2-3 insights so decisions can be taken accordingly. The insights can also change based on the audience that the analysis is being presented to.  One of the most important skills that an FP&A analyst needs today along with strong analytical abilities is the ability to communicate that analysis. This is a skill most of us learn on the job.   Here are a few ways, analysts can be trained on the art of story telling through numbers: 

1) Case studies such as HBS case studies do a good job in training analysts to look through myriad of information and pull out the most important facts. 

2)  Provide a problem with bunch of data related to simple question. The challenge given is to answer that question within 2 slides but the analysts will need to dig through the data and find the top 2-3 insights from that data that can help answer the questions. 

3)  Provide the analyst with the same set of numbers and some background regarding the company but difference sets of audiences (for example   Finance director, marketing & sales director, IT lead etc.). The task of the analyst is to figure out what is the question that each set of audience will be most interested in and then use the numbers to provide 2 -3 insights regarding each of those questions.

Numbers tell a story and the role of an FP&A analyst to understand and communicate that story in a simplistic manner. It is important to help analysts develop and hone their skills of how to make a clear stock of the ingredients they are given. 

What is diversity? - View from Majority and Minority

What is diversity ? The dictionary definition of diversity is " variety ; multiformity".  I actually never thought too much about diversity  till I became a minority in a different country. As a majority  in the country of my birth ( India)  I was among people who looked liked me, talked like me, dressed like me , ate like me  etc. We  still had diversity among us - diversity of languages, diversity of religions, diversity of thought  etc.  But still I  was part of a majority in Delhi - a hindu woman with her mother tongue as hindi. I did not stand out as anyone different and did not have to explain my culture to anyone.

But then in my twenties I moved to USA to study. I moved from Delhi - a city of nearly 20 million people to Pullman , a city in eastern part of the state of Washington  with a population of 33k people. That was quite a change  and here I was different. I was not in majority anymore  . I was among the minority and  not even a significant minority . I would always keep a look out for people who looked the same and that became  the starting point of friendships. I became more conscious of who I am and what is my culture. I took more time to understand my background and how do I fit in this country.

This perspective of being a majority and then a minority in another country has helped me appreciate diversity and give me a viewpoint that I wanted to share with you.

We hear so much about diversity but what does diversity actually mean ? Does diversity mean that

the majority adjusts to the needs to the minorities  by stopping the things that matter to their culture . I find the whole concept of not wishing Merry Christmas ridiculous. If in India someone had told me that I cannot say Happy Diwali  I would rightly be frustrated.  One can celebrate the festivals without offending the sensitivities of others. If some minorities get offended by  the majority wishing Merry Christmas then they need to think of  their own expectations. Even if you don't celebrate Christmas - you can wish someone else Merry Christmas back.  I had an interesting conversation with someone recently at workplace who told me that years ago their was a competition among the employees for best decorated cubicle or office  during Halloween but no one does it anymore. When I probed into the reason " why?" - she said we became more diverse and thought other people might not like it .  I found this sad and disturbing. Being diverse does not mean that you stop enjoying your own culture , Being diverse  for me means being more inclusive i.e. celebrating other cultures too along with your own. For me this would mean that   during Diwali I can wear my traditional dress for the day and wish happy Diwali  or have a good Indian lunch in the cafeteria along with participating in the Halloween competition and wishing Merry Christmas and  celebrating the spirit of peace and kindness during the holidays. For me diversity is  being invited to someone's place for an Easter brunch while inviting my friends and colleagues over  for a Holi party.  Diversity means inclusion not quiet exclusion.

Just like minorities in US need to understand the rightful indignation of the majority , the majority need to start including minorities in their celebrations. In my nearly 20 years in this country - I have been invited only once for thanksgiving  and once for Christmas dinner to someone's place. There are many minorities who have never cooked the traditional thanksgiving dinner or even know what is made on Christmas. Diversity meets inclusion - include us to be part of  your celebrations and come be a part of ours as a participant, Lets cook thanksgiving dinner together, light the diyas for Diwali, make gingerbread houses during Christmas, hunt eggs in Easter, learn the meaning of Hanukkah , enjoy the colors of Holi and taste the food  made during Eid together. Lets change the meaning of diversity  by enjoying all cultures and traditions. Lets share our plates since food is the way to the heart.