To be successful, you must have a strong heart work, and your business in your mind.
As today’s chief financial officers know best, a leader’s role is to define common goals and help the business get there.
“I feel very responsible for how all teams across the business perform, and I think a lot about how finance can work together at a strategic level to make the business better. Masu.” lauren dillardExecutive Vice President and Chief Financial Officer live lamphe told PYMNTS.A day in the life of a CFO” Series.
This organizational level of accountability is more important than ever in navigating today’s complex business environment. it is necessary be stronger Inner focus.
As Dillard explained, this expanded responsibility goes beyond traditional financial oversight and requires CFOs to forge strategic partnerships across functions, from product and engineering to sales and talent management. .
The role of the modern CFO is changing. Whereas CFOs were previously seen primarily as compliance functions or keeper of the company’s purse strings, they now have a more strategic and multifaceted role. that intertwined with Overall success and direction of their organization.
A new era of CFO-led accountability and strategic partnerships
Against the backdrop of an increasingly changing modern macroeconomic landscape, the role of the CFO continues to steadily change. dynamic, and where is the uncertainty? often The only certainty.
“The current climate is more about efficiency, smart cost management, smart capital allocation,” Dillard said, moving from the once-pervasive “growth at all costs” mentality to today’s He pointed out that the environment is vastly different.
This change requires CFOs to lead their teams and foster a culture of financial discipline. To successfully navigate the uncertain economic waves.
“Growth remains the primary focus, but profitable growth is more important,” she explained. “And that change in mindset starts at the top…We can’t control the value rate environment or the political or geopolitical environment, but we can’t control the value we deliver to our customers and the value they have working for us. You can control the experience it gives you.”
“We exist for our customers, and if we take care of them, the rest will fall from there,” Dillard added, noting that from his seat as CFO, “the finance team’s customers are the business itself. . And that hasn’t changed. It’s more and more important.”
When asked about balancing traditional financial practices with innovative approaches, Dillard likened the CFO role to a gym routine. She described customer focus as an “elliptical treadmill,” a constant and fundamental element. Also pointed out the necessity Finance teams develop “fast-twitch muscles” to adapt to unexpected changes and challenges.
This increased agility allows finance teams to remain effective even when new developments disrupt their original plans.
“It’s critical for us to remain agile and rely on data,” Dillard said. “Smart and rigorous expense management is key here, and we also partner with businesses to really understand the various expense levers and ROI data so they can quickly make adjustments if revenue isn’t converting to bottom line. It’s also important to be intentional. ”
Harness the power of digital solutions and AI
Today’s CFO is not alone Then Tackle the challenges your business faces. Not only is cross-functional communication a lifeline for executives, but automation and artificial intelligence are making finance teams more productive by streamlining processes, increasing accuracy, and enabling better decision-making. It’s changing more and more.
“Anytime you can introduce automation into a routine or repetitive task, task Save time can be redeployed We oppose other initiatives,” Dillard explained. “This is no fun job. We’re talking about row-level data reconciliation. … The low-hanging fruit for financial institutions is to reduce cycle times for key processes, especially when it comes to detecting errors and anomalies. ”
Making digital investments requires cross-functional collaboration with finance plays a very important role Evaluate ROI and guide strategic decisions.
Mr. Dillard emphasized the importance of partnerships between finance, IT, and business teams. the investment Align with broader business goals and workflows.
“Before throwing an application at the problem, it’s important to sit down and think about process redesign,” she cautioned.
Looking to the future, the CFO role will continue to evolve, she said.
With a greater emphasis on strategic partnerships, accountability, and leveraging digital solutions, CFOs will play an increasingly important role in driving business success, Dillard explained, adding that financial potential emphasized. To further optimize the processdrive innovation and deliver long-term value across your organization.
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