Forecasting and planning are integral parts of any business strategy, and in today's fast-paced and ever-changing environment, these tasks have become more challenging than ever before. As Luis rightly points out, the COVID-19 pandemic and the subsequent economic recession have caused significant disruptions to businesses across the globe. Companies have had to pivot and adapt to new market conditions, and forecasting has become an essential tool for staying ahead of the curve.

As the leader of FP&A, Luis and his team are responsible for all forecasting, budgeting, and planning processes. In this interview, he sheds light on how their approach to forecasting has evolved in response to the rapidly changing business landscape.

According to Luis, the key to successful forecasting in the current environment is to aim for greater accuracy in the short term while refining and optimizing the forecasting process to incorporate more data points. This involves rethinking the forecasting models and not relying solely on historical metrics but instead, assuming that these metrics may not necessarily hold for the rest of the year. Luis emphasizes the importance of scenario planning and stress testing to help identify potential difficulties, mitigate risks, and recognize growth opportunities.

While forecasting can never be 100% accurate, Luis emphasizes the importance of having a forecast that prompts the right questions and helps businesses be prepared for potential difficulties. By leveraging data-driven insights and a proactive approach to scenario planning, companies can stay agile and adapt to the constantly changing business landscape.

In conclusion, forecasting and planning have become more important than ever before in today's business landscape. Luis and his team's approach to forecasting highlights the need for a proactive, data-driven approach that emphasizes scenario planning and stress testing to mitigate risks and identify growth opportunities. By staying agile and adapting to changing market conditions, businesses can weather the storms of uncertainty and thrive in the years to come.

‍