The functions of the Chief Financial Officer go beyond balancing the books and comparing inflows and outflows. Increasingly, the CFO has become a crucial partner in determining the direction of the firm, especially in terms of what it invests in and how soon it realizes returns.
Surviving the COVID-19 pandemic entails adequate investment in technology, specifically cloud technology. If the C-level executives in an organization still do not recognize this, the task of advocating this mindset falls squarely on the shoulders of the CFO. The CFO, because of the essence of his or her responsibilities, has an expanded role to drive what the company needs to survive the pandemic – and come out stronger.
In an August 2020 article for the Brainyard site, “Selling the C-Suite on Financial Innovation,” Bridget McCrea points out the CFO’s role to convince colleagues to invest in technology to be able to address the demands of doing business of today. CFOs need to drum up support from different sectors of their company to propel the business.
At a time when resources are limited, investing in technology to respond to the new scenario might be a challenge. But this has to be done. Having the right tools in place for the business to be more responsive and agile are priorities that have to be set. And choosing the right team and partners with the right cloud ERP solution may make the difference. A good cloud ERP solution will help manage the company’s activities in a secure environment with readily available access to data, analysis, lower operating costs, and flexibility to address its growing needs.
Businesses that embraced technology before the pandemic are in better shape compared to those that did not.
COVID-19 has pushed businesses to move to online platforms for survival. Technology is needed to address advertising, selling, ordering, delivery, and payment transactions. Most notable that has surfaced in this pandemic is the work-from-home scenario, where business units that used to work under one roof are now adapting to remote work locations. Even finance teams are finding ways to execute highly confidential handling of data in the new environment. These developments need secure environments, and cloud technology has made this possible.
The new normal has likewise pushed down the volume of commerce significantly. Businesses have shut down and the level of transactions has reduced drastically. Businesses are looking into more efficient ways to manage and mine data with precision and timeliness. Information about all facets of the business has become critical and among the major functions that have access and control to these are CFOs. They are taking to technology to respond better to the situation.
That technology can provide solutions to address immediate response, specifically in terms of the management of data, tracking performance, analysis, and evaluation is one of the things they have considered. Tech tools to enable businesses to be in control of information that affects their operation are essential to prepare for a stronger position today and when conditions improve.
In the ever-changing business environment, “precision, speed, agility” are needed to know both business and customer needs, forecast what might happen, and adapt to situations that have changed from pre-pandemic scenarios.
For companies to be able to survive, investing in financial technology to enable up-to-date, available, and reliable data is important. Companies that do so are can look forward to better chances for success when the economy returns to normal.