Where will your financial function be in 10 years?
Where will your financial function be in 10 years?
Insight

Where will your financial function be in 10 years?

To survive unprecedented changes to the mid-market, companies develop data-driven financial functions to turn challenges into opportunities.

Your company’s financial function is changing. In this era of new business models, big data and emerging technologies, your financial team needs to take on broader and more strategic responsibilities to meet all the demands of your customers, which include regulators, corporate boards, sales and marketing departments, suppliers, and internal and external auditors. 

With company leaders seeking optimal business performance and real-time decision making to increase speed to market and streamline compliance, finance must channel disruptors to change the way they operate and support the overall business agenda. 

 

 


So how can your financial function leverage predictive and prescriptive insights to evolve the business to meet the needs of today and tomorrow?

Emerging responsibilities with emerging technologies 

Financial leaders wear two hats in the financial function of the future, responsible for ensuring stability and control while enabling agility and profitability through enterprise innovation. Emerging technologies offer assistance with ubiquitous cloud services, instantaneous information (such as Amazon’s “Alexa”), artificial intelligence, and new capital allocation. To disrupt is to exist, and to survive is to automate (to the extreme).


 

Riding the waves of disruption

The most successful financial leaders transform their function by disrupting their own operating and business models and change the way they deliver services and products. Adopting leading strategies and capital allocation can increase innovation in your mid-market company, allowing you to take advantage of the trends and economics behind disruption, approach disruption at the organizational level, maintain an innovation portfolio and implement a disciplined portfolio process and structure. 

Financial leaders transform their function to better align with the business needs by:

  • Integrating extreme automation to find and use new insights.
  • Shifting from descriptive to prescriptive analytics, moving from “What happened?” to “What should we do about it?”
  • Adapting a streamlined organization with fewer people and offshore locations, and less hierarchy
  • Assessing new work and how it maps to the skill sets of your current workforce
  • Taking a holistic approach to attract, build and retrain required talent.

New disruptions also include new cyber threats, and financial leaders should consider risk management in their transformation framework. Since a cyberattack is a “when,” not “if,” scenario, business must take their responses to disruption seriously to mitigate risk and protect key assets.

68%

of CEOs say it is just a matter of time before their organization is hit by a cyberattack, yet only 41% consider themselves very well prepared.

 

KPMG—your partner in disruption

You need to create a proactive, technology-driven disruption strategy that propels you ahead of your competition, and KPMG can help. Our global network is located in more than 150 countries, and our advisory professionals have extensive experience working with mid-market companies. We have the in-depth knowledge and expertise to help you grow, profit and succeed. We can help you plan your next move—from optimizing your operating model and streamlining your compliance needs to even mapping your road to exit—and help you achieve it. Let’s get started. 

 

Sources: KPMG International, 2018 Global CEO Outlook: Growing pains; KPMG LLP, 2018 U.S. CEO Outlook: Growing Pains; KPMG LLP and Innovation Leader LLC, Benchmarking Innovation Impact 2018; KPMG International, 1Q 2018 KPMG Global Insights Pulse Survey (April 2018).