Finance teams need to evolve or become irrelevant
New report highlights the need for finance teams to adapt to rapidly changing demands.
In brief
- Finance teams have five years to evolve or face obsolescence.
- Adopting AI, machine learning, and data analytics is crucial for staying competitive.
- Upholding strong ethical standards is essential as finance teams undergo transformation.
Developed in collaboration with ACCA and PwC, our new report, Finance Evolution: Thriving in the Next Decade is based on insights from over 150 finance professionals and 2,300 survey responses globally.
The report highlights the important decisions finance teams will need to make in the next five years.
Finance teams usually look at past data and use traditional planning methods, but research shows this won’t work for businesses anymore. Instead, they must develop broader skill sets, including data literacy, leadership in long-term value creation and sustainability.
To deal with the challenges, teams must use tools to enhance decision-making, boost operational efficiency, and elevate finance teams from mere number crunchers to key business growth drivers. Failure to adapt could see finance teams left behind within five years.
Ethics are central to this evolution. As reliance on technology and data grows, maintaining a strong ethical foundation is vital for building and sustaining trust. Finance teams need to learn new technology skills while maintaining their ethical standards.
The report identifies significant skill gaps in digital, data, and sustainability that CFOs and the finance function must address to lead effectively. It highlights the need for transformation in people, processes, technology, and data and explores emerging roles in finance functions, with examples of new role descriptions.
Key concerns raised by survey respondents include:
- A lack of clarity on how finance adds value to the business (38%)
- Perception of finance as a cost centre (32%)
- Current technology not meeting organisational needs (30%)
Addressing these issues is crucial for finance teams to thrive in the next decade. The Finance Evolution report calls on finance teams to embrace new technologies, develop critical skills, and uphold the highest ethical standards to ensure their continued relevance and impact.
The Finance Evolution report calls on finance teams to embrace new technologies, develop critical skills, and uphold the highest ethical standards to ensure their continued relevance and impact.
