Chief Financial Officers and finance leaders are playing a larger role in enterprise-wide business transformations, particularly in operations, technology and talent, according to a survey conducted last year by FTI Consulting’s Office of the CFO Solutions practice, in collaboration with CFO Research.
Responses were gathered from 157 senior executives with finance responsibility, including CFOs, directors of finance, controllers, VP/EVP/SVPs of finance, and others, at a wide range of companies with revenues from $100 million to more than $10 billion in a full gamut of sectors, including financial services/real estate, wholesale/retail trade, health care, and insurance.
This survey shares insights into the expanding role of CFOs and how their engagement with their CEOs, in addition to partnering with COOs, CHROs, CPOs, and CIOs, can translate into superior performance for the enterprise, including shaping corporate strategy, implementing key initiatives, and providing data, guidance, and insight to ensure success.
“We just need to be more collaborative and transparent with each other to grow the company,” noted one finance leader.
Some of the key insights include:
• Some CFOs are still missing the basics
More than 1/3 of CFOs report that their firms are not conducting routine tasks, such as variance analysis, which is leaving a gap in performance monitoring and improvement.
• CFOs are getting more involved in talent matters, but identifying how to work with CHROs remains a challenge
Only 39% of respondents believe their organization has an effective partnership between the CFO and Chief Human Resources Officer. Those who do work together are making an impact on hiring and retention, workforce planning and aligning required skills to business needs.
• A strong partnership between CFOs and it is crucial to business performance
CFOs are focusing on technology investments because of competitive advantages that new and enhanced capabilities provide across the enterprise. But many companies aren’t trying to get more out of the IT infrastructure that they already have, so they’re missing an opportunity to improve performance without incremental technology investment.
FTI Consulting, Inc. is a global business advisory firm dedicated to helping organizations manage change, mitigate risk and resolve disputes: financial, legal, operational, political & regulatory, reputational and transactional. With more than 4,700 employees located in 28 countries, FTI Consulting professionals work closely with clients to anticipate, illuminate and overcome complex business challenges and make the most of opportunities. The company generated $2.03 billion in revenues during fiscal year 2018. For more information, visit fticonsulting.com or connect on Twitter (@FTIConsulting), Facebook and LinkedIn.
CFO Research, an Argyle company, has been a trusted source of insight into the business issues that matter most to finance professionals since its founding in 2000. CFO Research is the sister firm of CFO Magazine, and relies on senior finance executives to share their experiences, insights, and observations on critical business issues. This cutting-edge research supports critical business decisions by our sponsors, as well as their thought leadership positioning and marketing efforts.
Learn more at ArgyleForum.com.