The chief financial officer role is now being seen as a key driver in the digital modernisation of organisations, according to a survey sponsored by software company Epicor.
The study, which asked 200 manufacturing and distribution organisations with revenues between US$100 million and US$1 billion, revealed that more than 80% of the respondents believe today's economic uncertainty has significantly elevated the importance of the CFO in bringing in strategies and technology optimisation initiatives.
Respondents which comprise director-level and above, in finance or accounting roles, as well as the primary decision makers for digital transformation in companies in Australia, the UK and the US, cited financial performance and growth as top IT investment drivers amid the current market situation.
With a heightened focus on data management to drive enterprise agility and real-time decision-making, CFOs are looking for ways to modernise the tools the finance and accounting departments rely on to improve efficiency and business performance, according to the survey.
This encompasses increased investments in cloud technologies, as half of the organisations surveyed seek to move to the cloud in the next one to two years to strengthen data accessibility, reduce organisational silos, and improve security.
Among the leading use cases identified for optimisation include financial planning and analysis (FP&A), cash management, and accounts payable automation. Manufacturers indicated they are more focused on period-end closing; distributors more on inventory management.
Additionally, 42% of respondents agreed that artificial intelligence and machine learning capabilities will have the greatest impact in their organisations over the next five years by finding patterns, turning data into actionable insights, and enabling automation across business and production processes.
Respondents also indicated that growing talent gaps are impacting all parts of their business, with one third saying the need to address labor issues is their top overall business objective. Lack of knowledge is the biggest reason for finance and accounting talent issues – finding ways to capture, manage, and share expertise across the organization will be critical.
