The Current Evolution of the CFO Role
The modern CFO is a visionary partner and strategic confidant to the CEO. In the wake of COVID-19, the CEO’s right-hand partner has been progressive and proactive—today’s CFOs optimize their finance functions to prosper in an unpredictable ecosystem.
In a recent survey conducted by CFO Dive, 62% of finance leaders strongly agree that CFOs pivoted their focus from traditional, long-term accounting operations to pinpointing risks for business survival. They’re helping their companies grow at a rapid rate by being enterprise value creators.
Traditionally portrayed as a back-office operational manager, the CFO emerges as a critical player that drives financial strategies and optimizes their organizations to scale. They’re sitting at the C-Suite roundtable, embracing change and investing in complete digital transformation.
Pioneers of Digital Transformation
What does a modern CFO do to participate in the digital revolution? They take calculated risks, embrace change, make decisions based on data, and implement the right technology. According to the survey, 30% of these leaders are looking to implement solutions with artificial intelligence and machine learning, which will ignite real-time data insights. These data points will provide a clear financial perspective and help drive company decisions.
The finance function is building its tech stack with advanced solutions. Within the next six months, 31% of finance leaders plan to adopt new technology to drive complete digital transformation in their operations. It’s no secret that these leaders are effectively automating their workflows and eliminating tedious, manual tasks.
Like scientists in a lab, they’re aggregating solutions that will lead to long-term success. Companies with a robust tech stack go above and beyond their company mission. They’re discovering projects and approaches that give them a competitive advantage on top of streamlining their workflows. These financial leaders are eliminating tasks that technology can complete so that their team members—of all levels—can evolve into strategic innovators.
Today’s CFOs are Thoughtful Strategists
If we learned anything in the past year and a half, it’s that high-achieving companies are wranglers of radical change. When environments become unpredictable, it’s hard to forecast future conditions. Today’s CFOs are adapting and relying on real-time data to drive their decisions. They’re pushing forward with modern processes and departing from traditional, manual operations.
A modern CFO prioritizes financial visibility. They make decisions based on real-time data, which is available to them through advanced technology solutions. Data is pertinent in navigating companies through uncertain times. Modern CFOs know that these critical insights open the window to infinite possibilities in their industry and lead to growth.
Real-time financial visibility can help forecast various scenarios in the business’s roadmap. These opportunities enable the company to understand their performance, gain insights, and make enlightened decisions.
CFOs are Forecasting for the Future
In the current evolution of the CFO role, leaders are actively carving out their roles with hybrid responsibilities that fit their company’s needs. These finance leaders are planning out long-term operations and strategies and leveraging talent while delivering growth and transformation. Modern CFOs are vanguards advocating for the business’s long-term success.
Having insight into the future is critical for finance leaders. To achieve effective financial forecasting, C-Suite leaders are prioritizing business intelligence by integrating software technologies in an effective tech stack. The proof is in the numbers—the data derived from these solutions act as a single source of truth for financial leaders, enabling them to make sound decisions based on critical insights.
Today, the future of the CFO role is balancing operations, strategy, and growth. The CFO evolution is driving senior finance leaders to embrace their role as enterprise value creators—leading innovation, providing value, and supercharging their organization for success.
CFOs are Driving Business Value
Learn how today’s strategic leaders are transforming their financial operations.