In this age of creativity driven by the digital revolution, the role of financial organizations magnified as never before.The pressure points for almost all business organizations continue to: - Reduce the cost-based company to make a quick decision-Provide greater transparency to the organization's internal and external stakeholders. Finance needs to respond to this challenge by quickly moving from traditional functions such as: Repair Cycle time for operational costs processingGeneral reductionThey Financial transactions near the end of the month and need to embrace the emerging new age of strategic functions such as: Executive analytical and decision support functions Making data presentation actions Identify operational savings and efficiencies Portfolio management and resource allocation Proactive risk management company Business collaboration with the operations team The first challenge facing any financial organization is hoping to close the gap with senior business decision makers.
Recent studies indicate that there is a disconnect between what most finance organizations they consider to be priorities and what business leaders consider to be the most senior business priorities.The difference between the two represents a gap in perceptions and expectations should closed.Specifically most financial organizations still see their role given the traditional functions, while the opposite is more aligned with the business priorities of new functions identified age above.The unfortunate reality is that a significant part of the traditional finance function easily be automated, and other opportunities outsourced.Examples commoditized and includes functions such as bank reconciliation is almost eliminated by the Electronic Bank Statement and Bank Monitoring the general functions of ERP applications systems.Cash replaced receivable management and lockbox services by banks as accounts payable function is replaced by features such as the completion and acceptance evaluated EDI among other functions.
The silver lining here is the fact the financial organization to come to the table with a boatload of truth and expertise. This is particularly true in the field of objectivity, access to information and foresight.Finance important therefore in a position to increase the ability for strategic business partnerships. They can do this by focusing more on the new functions of age and industrialization traditional functions.At risk of sounding like an alarmist, the fact is that there is an existential threat to the role of finance organization as we know it today. To reduce the risk, there should be encouragement to adopt a radical new age rapidly.
Competencies function gradually emerged to fill the void and be morphing as professions.Competencies as Enterprise Risk Management is now seen as more strategic than the internal audit function. However, there is no reason why the current practice of internal auditing can not be easily added to create a more holistic risk management company mandate.Enterprise Portfolio Management and Resource Allocation another craft also under-represented. Yet in reality, finance has a significant headstart in managing this function. This order is the ratio of the impact on the business is the most critical areas in which finance can make immediate and impactfull difference.
By mother involved in analyzing business cases and investment proposals for approval, refinance just to learn the basics of portfolio management skills to institutionalize the framework area.Bridging This transformation transformation GapTo bridge the gap, finances have to be very committed to having a strategic perspective with highly developed skills and competencies in the following areas: Forecast Accuracy Competencies to identify the source and enterprise value drivers and risks. Strong interpersonal skills to convince communicate recommendations, and effective influence in deciding Personal responsibility