CIMA F2 Syllabus E. Analysing financial statements - Gartner Data Analytics - Notes ^{5 / 5}

Gartner Data Analytics

Users may apply the Gartner Data Analytics Maturity model to create decision-making and improve conclusions from their financial statement analysis.

1. Stage 1: Descriptive

   The question for descriptive is ‘what happened?’.

   Eg. ROCE increased from 25% to 20%.

2. Stage 2: Diagnostic

   The question for diagnostic ‘why did it happen?’.

   Eg.  ROCE increased due to Revenue increase last year.

3. Stage 3: Predictive

   The question for predictive is ‘what will happen?’.

   Eg. We expect ROCE to increase due to Revenue increase in the next year.

4. Stage 4: Prescriptive

   The question for prescriptive is ‘what should I do?’.

   Eg. We should increase Revenues to increase ROCE next year.