MIS / Management Reporting

A decision-ready MIS pack at this scale: (1) P&L vs. budget variance (month and YTD, by segment); (2) 13-week rolling cash flow; (3) debtors ageing (30/60/90/120+ days) and debtor days ratio; (4) creditors ageing and creditor days; (5) inventory days (if product business); (6) gross margin by product or service line; (7) key operating metrics (revenue per employee, customer acquisition cost). Delivered on 2–4 pages by the 5th of each month.

Statutory accounts (Schedule III, AS/Ind AS) are for shareholders, banks, and regulators — audited, annual, strictly accrual-based, prescribed format. MIS is management-facing — can be cash or accrual basis, daily/weekly/monthly, includes non-financial KPIs, no prescribed format. MIS is for decision-making; statutory accounts are for compliance and external reporting.

Starting point is always a trial balance export. From Tally: Cost Centre report and Group Summary. From Zoho Books/QuickBooks: P&L by department or project. We map these to a standardised MIS template in Excel or Google Sheets and automate the data pull where the ERP has API access. For custom ERPs, CSV exports or SQL query outputs work. The CA validates the mapping, flags misclassifications, and adds commentary.

Variance analysis compares actual vs. budget and decomposes the gap into volume variance (more/fewer units) and price variance (higher/lower price per unit). A ₹50L gross margin shortfall might be 80% volume-driven and 20% price-driven — the corrective action is completely different. Without variance analysis, management sees that revenue missed but not why. The MIS pack must answer the "why".

CA firms can prepare and sign off on management accounts under an Agreed-Upon Procedures engagement per SA 4400 — reporting factual findings without expressing an opinion or assurance. PE/VC firms often accept CA-certified management accounts in early rounds as a proxy for audited financials. Full assurance (audit or review) requires engagement under the SA 700 series.