These days, chief financial officers (CFOs) have to take more complex roles then before. Their responsibilities now include effectiveness of finance function, finance talent management, corporate strategy as well as business performance and development. And as a business evolves and changes, so does their financial department. This is called financial transformation which explores issues which impact the finance function of a company. Financial transformation can help in improving business performance, efficiency and operational effectiveness.

As the engagement of CFOs in corporate strategy increases, transforming finance is a vital part for them to ensure the organization is ready to embrace the change. Here are some valuable tips for transforming your company’s finance:

Increase Awareness of its Benefits

Because there are those who do not believe a finance transformation is necessary, it is important to win over them. Your business might be doing well and these people think it doesn’t have to be shaken up. But, increasing awareness of how this transformation can benefit your overall operation might help those skeptics understand the need to implement it. Make sure you are ready to answer any questions and try to make a compelling case. Tell people why it is important and the value it will provide.

Create an Implementing Team

Transforming your company’s finance doesn’t happen overnight. It can take months and even years, depending on your goals, objectives and organization. It is necessary to involve people throughout your organization including human resources, IT experts, business leaders and corporate development and treasury members. Also, make sure you have people who work with regulatory changes and compliance as well as those who have the ability to offer data modeling and analysis.

Send Strong Signals

You need to allocate enough IT support and manpower for your initiatives. Also, communicate clearly to your people about the need to adopt the changes in their day-to-day operations and responsibilities which arise from the transformation. To carry out the change, involve finance officers in strategic planning and project teams at an earlier phase than before. Therefore, teams have to work side-by-side with finance officers to formulate policies and assess projects and funding proposals.

Work on Achieving One Goal

While transforming your finances can be challenging and time-consuming, you can always overcome the challenge when you keep your eyes on the end goal. Make sure you keep up with your business’ changing needs. Ensure everyone’s taking their role seriously and working towards achieving the same goal.

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