Run well an LBE gives leadership a current, accurate read on performance and a clear basis for decisions. Run poorly, it becomes a mechanism for resetting expectations downward while performance gaps quietly widen.
Drawing on the expertise of J+D Forecasting, this article examines the Latest Best Estimate process: how to run one that drives real decision-making through the year, and the discipline failures that undermine even well-structured processes.
The article covers:
- How to maintain a continuously evolving base case that a fixed reference point
- How to set the right LBE cadence, and when to change it
- Why variance analysis only feeds forward when teams treat it as learning, not accountability
- What makes a risks and opportunities register useful to decision-makers
- How to stop the LBE becoming a vehicle for expectation management
