The ever evolving role of the CFO

  • by Marcus Leathwood - Thu, 05/01/2014 - 00:00
The role of a Chief Financial Officer (CFO) is increasingly evolving and many of our customers tell us that their finance teams are being asked more and more to get involved in more diverse projects within their organisations. They are expected to use their skills and experience not just to report on what has happened but to contribute to strategic growth.
 
CFO's need to provide forward-looking insight that enhances strategic planning and decision-making. They must also extend the capabilities of their financial performance management systems beyond core activities into new areas, automating more processes and driving productivity gains still higher.
 
Enterprise Resource Planning (ERP) can provide the ability to access real-time data into not just the finance of a company but also other divisions. This means that managing expenditure is far easier to achieve and important decisions can be made ahead of schedule to streamline finances along with other integral business processes. The ability for CFO's to access information in a single view and see the complete picture is an essential factor for optimal efficiency.
 
Before implementing ERP across their organisation, business leaders need to establish an economic case for investment. Both capital and operational expenditure must be compared to the expected Return On Investment (ROI) in any key business purchase. Where the projected ROI exceeds the Total Cost of Ownership (TCO), introducing a new ERP system should have a positive impact on profitability, but there are several considerations to be made before one can arrive at that conclusion.
 
http://tinyurl.com/Acuity-SageCFO is a site offering insight into the elements CFO's are battling today, advice and tools to better arm you in your day to day duties along with a useful CFO health check which allows you to compare your forecast with that of your peers.