A bi-weekly thought leadership series
Welcome to CFO Insights, a bi-weekly thought leadership series from Deloitte, dedicated to addressing the issues that Chief Financial Officers (CFOs) and finance executives face today. CFO Insights provides an easily digestible and regular stream of perspectives on the challenges you are confronted with.
Special teams: A new way to deploy FP&A
Technological innovations and increasing business expectations are creating an inflection point for finance, planning, and analysis (FP&A). Many CFOs may soon have to make a choice: adopt a new model that expands the function's strategic role, or reduce its footprint as predictive analytics and other value-added capabilities migrate to front-line business units. In this issue of CFO Insights, we pose the question: Is it time to envision a new operating model for FP&A—one that dramatically elevates its contribution to the organization?
Revenue recognition: Pain points beyond the accounting
The countdown has begun. In less than five months, public companies that operate on calendar year-ends will be required to implement the Financial Accounting Standards Board’s (FASB) new revenue recognition standard, ASU 2014-09, Revenue from Contracts with Customers. The experiences of some companies have already made it clear that this standard will affect more than just accounting. In this issue of CFO Insights, we look at the multiple tentacles of the new revenue recognition standard and outline some of the things CFOs need to prepare for.
What's the right price? The equation isn't so simple
Humans instinctively consider a number of other factors when measuring the merits of a purchase. They are often accustomed to anchoring on reference points—that is, relying heavily on an opening number, such as a car manufacturer's suggested retail price. They are also highly sensitive to how much their neighbors paid for the same product. And timing matters. In this issue of 'CFO Insights,' we consider tactics finance leaders can use to develop more behaviorally savvy pricing strategies and help their sales organizations carry them through to execution.
Future smart: Why robotics changes everything
It may be time for CFOs to put aside such misperceptions because the robots that are quickly and quietly becoming an integral part of the finance function bear no resemblance to those just described. Rather, they are arriving in the form of a technology termed “robotic process automation,” also known as “RPA,” with the emphasis squarely on the “PA.” In this issue of CFO Insights, we take a look at the process of implementing RPA and the potential it has to help finance automate its way to higher performance.
Stacking the deck: What’s an effective crisis response?
It is out there: the fraud incident, the data breach, the safety lapse, the technological meltdown. Your next crisis could manifest itself in a number of ways, and, almost by definition, you will not see it coming. How quickly and effectively your organization responds, stems the overflow of information, and communicates with stakeholders throughout the event will have a lasting effect on how your company is judged. Prepared or not, companies have to respond when called. While some crisis planning can happen in advance, this issue of CFO Insights discusses some essential tactics CFOs can employ in crisis response and why learning these tactics can help to preserve a crucial level of trust and confidence among the impacted company’s many stakeholders.
As sustainability takes root, finance takes notice
It’s an issue that has gone by many names: corporate social responsibility (CSR), sustainable development, the “triple bottom line,” ESG (environmental, social, governance), and the green movement, to name just a few. Odds are good that you know it by its shortest and most common name—sustainability. And while it has been around in many forms, sustainability has been, admittedly, a squishy topic that’s more likely to be “owned” by the marketing department or viewed as a risk management issue rather than as a strategic priority for finance. In this issue of CFO Insights, we’ll take a look at the rapidly emerging standards that are not only intended to simplify sustainability reporting, but also provide companies with insights that can improve performance—as well as additional steps CFOs can take to improve that reporting and drive value.