Chief Financial Officers have at times felt as if they’re navigating an uncharted maze of disruption and change. From sorting out supply chain disruptions to taking on the challenge of digital transformations, CFOs are leading financial intelligence strategies of companies through a turbulent time.
With the endless waves of disruption and digital transformation happening on a global scale, a CFO’s financial intelligence and relevancy could prove critical in determining the success of your business.
Viktor Juhas is a modern CFO who knows how to stay ahead in an ever-changing marketplace. Drawing from his experience leading CFO roles at Viacom, KPMG and now Atos, he offers crucial advice on navigating unpredictable times with confidence!
He shares with us some insights on how you can navigate through waves of disruption while keeping efficiency top-of-mind. Keep reading if you’re ready to learn what tools and strategies will help bring stability during these turbulent times!
Understand the changing market
It is essential to question why we might still be clinging onto antiquated methods of doing something when ten or fifteen years have elapsed since they were implemented. This can quickly become a frivolous and inefficient utilization of resources, which no Chief Finance Officer should accept.
Often times, the reasons we are still doing things the same way we were ten or fifteen years ago is sheer inertia. We have become comfortable with the existing processes and don’t take the time to investigate whether more efficient alternatives exist. This lack of innovation can be a costly choice, with valuable resources wasted on processes and methods that are no longer fit for purpose.
As such, it falls upon Chief Finance Officers to look critically at established pathways. They have to be bold enough to reinvent them where necessary, shaking up traditional ways of working and instead replacing them with new ideas that reflect the current needs within their organizations.
It’s a CFO’s duty to recognize the pattern and challenge it, removing the distraction of nonessential tasks and operations.This redistributes vital efforts in more productive areas.
Streamline Processes For Financial Intelligence
As a CFO, you not only need to master the art of streamlining processes to optimize efficiency, but it’s just as important to take stock of projects and topics that have a bearing on your financial figures at the end of every month. Accurate data is critical for any successful venture. It’s essential that you or team carry out diligent closing practices each month. This activity constitutes a large chunk of the everyday operations in financial intelligence. It can make all the difference when it comes crunch time.
Performance metrics undergird all other important decisions that get taken further down the line. That’s why it’s crucial it is for CFOs to take this process seriously and commit themselves to mastering it. It will pay dividends in terms of achieving desired outcomes. This includes attempting to estimate the impact of several projects or topics that may have an effect on numbers.
With the complexity of procurement processes, it can be exhausting — but it doesn’t have to be! With Quolum, we make managing and optimizing your procurement needs easier than ever.
Frequent Hygiene Checks On All Your Processes
As CFOs, it’s incumbent upon you to stay abreast of the rapidly changing landscape of the business world. Doing frequent hygiene checks on your processes will put you ahead of the curve. This also ensures that you remain relevant in a digital world. It’s essential that you start preparing for the unknown now and become adaptive to whatever new technologies or processes might emerge —or else risk being left behind in a competitive environment. Doing regular checkups on existing financial procedures is one surefire way to remain informed and up-to-date with industry trends.
Doing regular checkups on existing financial procedures is one surefire way to remain informed and up-to-date with financial intelligence trends.
Recalculate & Restream
We get it. In the post pandemic market, a CFO’s job of cost management is under relentless pressure. So how can you possibly ensure relevance and financial intelligence ?
The answer lies in proactively recalculating and restreaming their company’s costs.
For example, take a look at the tools and solutions you’ve invested in so far. Perhaps you can opt out of redundant software purchases and redirect your efforts into tools that will be both cost effective and drive your business forward.
Having regular discussions with customers and suppliers to understand new market conditions is just as important. CFOs should take steps to analyze the expected outcome of each initiative. Especially when setting out to evaluate future projects or opportunities. This is not only in terms of dollars and cents but weighing associated risks as well.
This strategy can help minimize profit leakage from preventing anticipation-based decision making whilst allowing them to tap into opportunities through being agile to respond to changes.
Being Prepared Is Key For A CFO
In order to stay relevant and efficient in the post pandemic market, CFOs must be willing to adapt. They must understand the changing market and recalculate their goals and processes accordingly.
Additionally, they should streamline their processes to become more efficient and eliminate anything that is unnecessary. Lastly, it is important for them to frequently check in on all of their processes. This ensures that everything is running smoothly.
By following these steps, CFOs can ensure that they are doing everything possible to cost effective and financially intelligent.
To gain more insights into how CFOs can stay relevant and efficient post pandemic, be sure to tune in to our full podcast episode.