Financial data useless without better decisions, Oladepo warns

An expert in financial management, quantitative economics and financial analytics, Oluwapelumi Oladepo has stressed the need for organisations to move beyond traditional financial reporting and embrace data-driven decision-making to improve resource allocation, strengthen accountability and manage risks.

Oladepo, who works in investment finance, said organisations operating complex investment portfolios and navigating changing economic conditions must be able to interpret financial data, identify the factors driving performance and use the findings to guide strategic decisions.

In a conversation that touches on a number of issues affecting financial management, investment operations, risk assessment, forecasting and technology, he emphasised that financial information becomes valuable when it provides clear insights that help organisations determine what needs to be done.

He said effective financial management goes beyond recording expenditure, revenue and investment activities, noting that organisations must understand why costs change, whether performance meets expectations and where potential financial risks may be developing.

Oladepo’s responsibilities in investment finance include financial analysis, investment-related expense monitoring, variance analysis, allocation review, reconciliation and portfolio-related financial reporting.

He holds a Master of Science in Quantitative Economics and completed post-baccalaureate study in Business Analytics at Western Illinois University, alongside an undergraduate degree in Agricultural Economics.

Explaining the relationship between his academic background and professional experience, Oladepo said economics, finance and analytics complement one another in helping organisations make informed decisions.

He noted that economics provides a framework for understanding resource allocation and incentives, while finance applies those principles to capital management and analytics supplies the tools for examining the evidence behind financial decisions.

“When you combine them, you move beyond asking what happened financially and start asking why it happened, what variables influenced it, what the historical pattern tells us, what might happen next and how management should respond,” he said.

On his work in investment finance, Oladepo explained that effective oversight requires close monitoring of expenses, allocations, vendor charges and portfolio-support costs to ensure that financial activities are accurately recorded and properly reported.

He said variance analysis was particularly important because it allows organisations to compare actual financial results with budgets, forecasts, plans or previous periods to determine whether performance is in line with expectations.

According to him, identifying a difference in financial results is only the first step, as analysts must investigate the factors responsible and establish whether the change reflects timing, higher vendor charges, altered business activity or adjustments in allocations.

He maintained that such investigations help management distinguish temporary changes from emerging trends that may require adjustments to future forecasts and spending decisions.

“Variance analysis is particularly important — you want to understand changes relative to plan, prior periods or forecasts, though identifying the variance is only the beginning; you then have to investigate the drivers,” he said.

Oladepo also highlighted the importance of quality control in financial operations, warning that inaccurate data, inconsistent transaction classification and weak reconciliation processes can undermine the reliability of financial analysis.

His academic research into quality control in financial operations examined practices relating to risk mitigation and compliance, reinforcing the need for accuracy, consistency and accountability in financial systems.

He said financial controls should not be treated merely as administrative requirements but as essential safeguards that give management confidence in the information used to make decisions.

“Financial analysis is only as reliable as the information and processes underneath it. If the data is incorrect, if transactions are inconsistently classified or if reconciliation is weak, sophisticated analysis cannot fully compensate,” he said.

On the growing role of technology, Oladepo said analytical tools enable finance professionals to examine larger datasets, identify unusual movements, evaluate relationships between variables and develop forecasts to support organisational planning.

He identified tools such as Excel, Power Query, SAP-related financial data systems, Tableau, SAS, Alteryx and SQL as examples of technologies that can improve financial analysis and streamline reporting processes.

However, he cautioned that technology alone could not determine organisational priorities, stressing that financial professionals must understand the business context and interpret analytical findings appropriately.

According to him, forecasting is another important component of financial management because it helps organisations use historical data, prevailing conditions and informed assumptions to prepare for future financial outcomes.

He explained that forecasts do not guarantee certainty but provide a structured basis for planning and should be reviewed as circumstances change.

Oladepo added that financial analytics could strengthen risk management by helping organisations identify unusual spending patterns, investigate cost increases and detect potential pressure on future performance before problems become more serious.

He noted that although analytics could not eliminate financial risks, it could improve an organisation’s ability to identify, understand and respond to them.

“The question should always be: what decision is this information supposed to support? Financial information needs context, reliability and interpretation,” he said.

He further explained that investment finance plays an important role in broader organisational performance because investment activities involve expenses, allocations, service providers and reporting requirements that must be carefully monitored.

According to him, better visibility into investment-related costs and financial trends enables management to make more informed decisions about how resources are deployed.

Oladepo traced his professional development to his academic foundation in Agricultural Economics, explaining that his interest gradually shifted towards quantitative methods and the use of data to understand economic and organisational outcomes.

He said his subsequent studies in quantitative economics and business analytics provided additional tools for examining financial performance and supporting evidence-based decisions.

He also stressed the importance of communication in financial analysis, noting that even technically sound findings may have limited impact if decision-makers cannot understand their implications.

He said financial professionals must be able to explain complex information clearly to stakeholders with different levels of technical knowledge, ensuring that analysis translates into practical action.

Calling for improvements in organisational financial systems, Oladepo urged businesses to prioritise data quality, strengthen internal controls, improve reporting processes and integrate forecasting more closely into management decisions.

He also advocated the use of technology to reduce inefficient manual processes and improve visibility into financial performance, while maintaining sound reconciliation practices and financial discipline.

Beyond individual organisations, he said effective financial management had wider economic implications because better resource allocation, responsible cost control and informed investment decisions could support sustainability, growth and economic value creation.

He maintained that the same principles applied to government and other institutions, where limited resources make sound financial decisions particularly important.

On the future of financial management, Oladepo predicted greater integration of analytics and technology, with routine reporting increasingly automated and professionals expected to devote more attention to interpreting results, assessing risks and advising decision-makers.

He said technological advances would change the tools available to finance professionals but would not diminish the importance of accuracy, accountability and effective financial controls.

Oladepo said he hoped to contribute to financial systems that promote evidence-based decisions, reliable reporting and stronger understanding of the financial implications of organisational choices.

“Ultimately, financial management should help organisations make better use of resources. When quantitative analysis, financial knowledge and technology are properly combined, finance becomes more than a record of activity. It becomes an instrument for planning, accountability, risk management and long-term decision-making,” he said.