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Excel INDIRECT function-syntax and basic uses. As its name suggests, Excel INDIRECT is used to indirectly reference cells, ranges, other sheets or workbooks. In other words, the INDIRECT function lets you create dynamic cell or range references rather than hard coding them into your Excel formulas. To prevent this, you can wrap the INDIRECT function in the IF function: IF(OR($A$1=,B1=), , INDIRECT(' & $A$1 & '! & B1)). 2  For the INDIRECT formula that refers to another sheet to work correctly, the referred sheet should be open, otherwise the formula will return a #REF error.