# The evolving role of the CFO Author: Pal Sinha, Barnali Author URL: https://financedigest.com/author/pal-sinha-barnali Published: 2021-11-03 Category: FINANCE Category URL: https://financedigest.com/category/finance Meta Title: Unlocking the Power of Financial Data for CFOs Meta Description: Discover how CFOs are driving digital transformation in organisations through strategic financial insights and data-driven decision-making. Read more here. URL: https://financedigest.com/the-evolving-role-of-the-cfo-2html ![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/businessman-hand-touch-virtual-graphchart-diagram-sbi-300084568-4-1736837488074-compressed.jpg) _By **Marieke Saeij,** CEO, Visma \| Onguard_ The data that financial professionals have at their fingertips is becoming increasingly important for entire organisations. It is perhaps no wonder. Knowledge is power. In these [times when there is more risk and uncertainty](https://www.financedigest.com/how-can-financial-services-companies-compete-more-effectively-in-times-of-uncertainty.html "How can Financial Services Companies compete more effectively in times of uncertainty?") in the market than ever before, organisations are keener than ever to make choices based on what they do know; and that insight is often held within the company financials. With access to a wealth of financial information, the CFO is often the designated person to build a bridge between the [finance department and the rest of the organisation](https://www.financedigest.com/cyber-threats-for-finance-organisations-to-watch-in-2023.html "Cyber threats for finance organisations to watch in 2023"). And for good reason. They are perfectly [placed to help the organisation to make the strategic decisions that will put it in good stead for the future](https://www.financedigest.com/future-cheque-clearing-model-places-emphasis-on-speed-and-innovation.html "FUTURE CHEQUE CLEARING MODEL PLACES EMPHASIS ON SPEED AND INNOVATION"). Because of this, new skills are [needing to be developed and honed by the CFO](https://www.financedigest.com/cfos-need-a-focus-on-forex-in-financial-planning-tools-accountagility-reveals.html "CFOs need a focus on forex in financial planning tools, Accountagility reveals") to ensure they continue to be successful in this evolving role. **Lifting the veil** The [CFO of today](https://www.financedigest.com/the-changing-role-of-todays-cfo.html "The changing role of today’s CFO") is more akin to a conductor. They must not only check the [financial lines of the organisation](https://www.financedigest.com/can-financial-services-organisations-harness-data-and-bi-to-catch-up-in-the-digitalisation-race.html "Can financial services organisations harness data and BI to catch up in the digitalisation race?  ") but provide the insight and the evidence required to help move the organisation forward. To do so, it is important to bundle the structured [financial data](https://www.financedigest.com/how-data-governance-as-a-service-can-transform-the-financial-sector.html "How Data Governance-as-a-Service can transform the financial sector") from throughout the organisation and make it available in an easily digestible manner for decision making, forecasting, and budgeting. This way, they can help provide insight and lift the veil on the various [risks to the business](https://www.financedigest.com/why-smart-businesses-minimise-risk-with-smart-detectors.html "Why smart businesses minimise risk with smart detectors"). In addition, the importance of knowledge on legal matters has increased. As has knowledge about [risk management](https://www.financedigest.com/managing-corporate-currency-risk-the-cfos-balancing-act.html "Managing Corporate Currency Risk: The CFO’s Balancing Act") and security. There are more and more international procedures and regulations than ever before, and the fines for non-compliancy can be crippling. It is an important area, therefore, to be cognisant of. After all, various [developments such as the integration of systems](https://www.financedigest.com/automotive-hmi-system-market-recent-industry-developments-and-growth-strategies-adopted-by-players.html "Automotive HMI System Market: Recent Industry Developments and Growth Strategies Adopted by Players") and stricter requirements regarding security and privacy laws and regulations have an impact on the order-to-cash process. With a plethora of financial data available through one single system, a [CFO can make decisions](https://www.financedigest.com/why-pharma-cfos-are-embracing-a-new-era-of-agile-decision-making.html "Why pharma CFOs are embracing a new era of agile decision making") based on facts. For example, they can assist the [sales department in limiting the risks of a potential new deal that crosses international](https://www.financedigest.com/adnami-appoints-jeetesh-luhar-as-international-sales-director.html "Adnami appoints Jeetesh Luhar as International Sales Director") borders. Further questions that the CFO can answer include: How is the business liable through all those entities? What [risks does the organisation](https://www.financedigest.com/why-insider-threat-presents-a-big-risk-to-financial-services-organisations.html "Why insider threat presents a big risk to financial services organisations") run by dealing in various currencies, and what are the various risks run by customers and partners? **A driver of** [digital transformation](https://www.financedigest.com/future-of-finance-2023-digital-transformation.html "Future of Finance 2023: Digital Transformation") [CFOs are increasingly playing a vital role](https://www.financedigest.com/10-ways-automation-has-changed-the-role-of-the-cfo.html "10 ways automation has changed the role of the CFO") in the digital transformation of business. Our annual [Fintech Barometer](https://www.onguard.com/media/news/the-next-big-thing-94-of-finance-professionals-are-looking-to-implement-intelligent-automation-despite-50-not-fully-understanding-what-it-means/) shows that digital transformation is top of mind for many finance directors today. In fact, it is now on the agenda for 90% of [finance departments](https://www.financedigest.com/upgrading-the-finance-department-the-benefits-of-real-time-analytics.html "Upgrading the finance department: The benefits of real-time analytics"). Timelines are increasingly aggressive, with almost four-in-ten (37%) saying they would like their organisation to be fully data-driven within the [next three years](https://www.financedigest.com/the-next-upcoming-years-to-see-the-gastric-electric-stimulators-market-grow-kinetically.html "The Next Upcoming Years To See The Gastric Electric Stimulators Market Grow Kinetically"). CFOs are finding themselves on the cutting edge of strategy, operations, and [financial management](https://www.financedigest.com/use-case-centric-data-management-why-it-is-the-future-of-data-management-for-financial-institutions.html "Use Case centric data management – Why it is the future of data management for financial institutions") daily. They are perfectly [placed to be able to determine how investments and expected](https://www.financedigest.com/revealed-the-top-5-places-brits-expect-to-find-the-one-in-2016.html "REVEALED: THE TOP 5 PLACES BRITS EXPECT TO FIND ‘THE ONE’ IN 2016") results balance each sub-project, and know better than anyone else within the organisation what effect an investment in digital transformation will have on the business and its employees. This information is needed to deploy [digital processes in the right places](https://www.financedigest.com/the-evolution-of-loyalty-and-its-place-in-the-digital-age.html "THE EVOLUTION OF LOYALTY AND ITS PLACE IN THE DIGITAL AGE"). **Unlocking the power within** Unlocking the power held within the [financial data](https://www.financedigest.com/tackling-the-complexity-of-data-within-financial-organisations.html "Tackling the complexity of data within financial organisations") is still a challenge for teams. At present, just over a quarter (27%) admit that a lack of expertise in data processes and analyses is the biggest obstacle to becoming truly data-driven. This has caused a shift in what [CFOs want to add to their team](https://www.financedigest.com/adnami-strengthens-executive-team-with-jorgen-gosvig-appointed-as-cfo.html "Adnami strengthens executive team with Jørgen Gosvig appointed as CFO"). Today, the qualities they feel that [financial employees will need to possess in the future](https://www.financedigest.com/the-future-of-payments-biometrics-within-the-financial-ecosystem.html "The Future of Payments: Biometrics Within the Financial Ecosystem") are: analytical ability (44%), communication skills (44%) and programming skills (43%). It is, in many ways, a [sea change](https://www.financedigest.com/the-sepsis-therapeutics-market-to-see-through-the-probable-sea-change-through-digitization.html "The Sepsis Therapeutics Market to see through the probable sea change through digitization") for the profession. The [modern CFO](https://www.financedigest.com/who-is-the-modern-day-cfo.html "WHO IS THE MODERN DAY CFO?") is a connector: both within their team and within the organisation as a whole. The [CFO needs to be an internal business](https://www.financedigest.com/cfos-its-time-to-own-the-business-model.html "CFOs: It’s time to own the business model") partner who advises policymakers and directors within the business on strategic choices based upon the organisation’s financial status. To ensure that the right decisions are taken, the CFO needs access to real-time insight. Plus, they [need to be backed](https://www.financedigest.com/if-the-nation-backs-fintech-we-need-to-address-a-few-things.html "If the nation backs FinTech, we need to address a few things") up by a team of financial professionals with the right skills. Today, a CFO is the bridge between the [financial department and the rest of the organisation](https://www.financedigest.com/cloud-migration-for-financial-services-organisations-whats-the-best-approach.html "Cloud Migration for Financial Services Organisations – What’s the best approach?"). They are at the epicentre of ensuring the right decisions are being made to assist businesses in continuing to [navigate these turbulent economic](https://www.financedigest.com/why-a-liberated-cfo-and-fintech-solution-are-a-dream-partnership-for-navigating-economic-uncertainty.html "Why a liberated CFO and fintech solution are a dream partnership for navigating economic uncertainty") times in which we live. --- This blog is powered by Superblog. Visit https://superblog.ai to know more. ---