Technology is also an important factor when it comes to attracting and retaining talent, a critical component of building highly skilled, next-generation finance teams. CFOs identified tools for developing and training employees to broaden their skill base—a prominent factor in employee retention, too—as one of the benefits of finance transformation.
Meanwhile, CFOs expressed the desire for greater financial literacy in IT teams, and CIOs wished for finance employees with better technology and data literacy skills. In short, speaking the same language is important for finance and IT teams.
Speaking of people with a solid grasp of both finance and IT, Daniel Perschke, vice president and controller at The E.W. Scripps Company, said, “They are the types of people that are going to be very valuable moving forward because they’re going to be able to help lead change and be able to help see down the road a couple steps ahead, to see opportunities but also to mitigate risks.”
Diverging Views of Data and Digital Transformation
A majority (60%) of CFOs said their finance digital transformation isn’t typically aligned with businesswide transformation—a disconnect reflected in the differing views of CIOs. A significant portion (42%) of CFOs said they have yet to develop a digital finance transformation strategy, while only 19% of CIOs held the same view.
Another divergence in opinion lies in the quality of organizational data. Only 42% of CFOs expressed confidence in the integrity and usability of their data, while 57% of CIOs viewed their data as trustworthy.
The confidence gap affects the decision-making process. Half (50%) of CFOs admitted they’re making financial decisions based on gut instinct because the data they need is siloed, in the wrong format, or not readily available. A majority (53%) of finance leaders said poor data hindered the accuracy of their forecasts. Nearly a quarter (24%) of CFOs expressed the desire for improved data availability and usability, followed by tools to streamline financial close, consolidation, and reporting (21%).
CFOs consider having the right technology as a way to attract and retain finance talent, yet 57% said they fall short of having the digital tools next-generation talent expects.
3 Actions to Take Right Now
The research identified three ways finance leaders can take immediate action:
- Provide finance teams with the data and insights they need to meet business and transformation goals.
- Continuously align finance and IT on technology innovation efforts.
- Equip finance and IT teams with skills for collaboration and change.
CFOs and CIOs might not always understand each other's values, opinions, and priorities, but increasing their abilities to align on data, agility, and talent can help empower their organizations to prepare for whatever business challenges lie ahead.
Download the full report “The CFO-CIO Relationship: The Path to ERP-Enabled Finance Transformation,” for finance leaders and for IT leaders. Or, visit our digital experience for industry-specific findings and other insights.