A CFO’s perspective
Ask finance chiefs about their frustrations with Information Technology (IT), and you are bound to get an earful. Excessive investments made, multiple deadlines missed, little progress in Return On Investment (ROI)...We could go on.
To complicate matters, many CFOs simply do not know if Chief Information Officers (CIOs) are doing a good job. What exactly does a good IT organisation look like anyway? How should IT be evaluated? And what are the warning signs that indicate an enterprise is not prepared for the future from a technology standpoint?
The answers to these questions take on greater importance given that IT is typically the largest line item in Selling, General and Administrative expenses (SG&A). Moreover, with CIOs often reporting to CFOs, there is a growing need to effectively manage the CFO-CIO relationship.
Evaluating IT is no simple matter. It requires focus on three specific areas—communication, governance and assessment—so that an overall framework for analyzing current and future IT capabilities can be established.
In this article we will discuss how steps taken in these areas can help enhance collaboration between CFOs and CIOs, identify gaps in the business support capabilities of IT, increase the focus on IT investments and strengthen the future vision of the value of IT.
Inside issue 5 - June 2014
Inside is Deloitte’s quarterly magazine offering an exclusive insight into best practices, trends and opportunities faced by our clients across all industries.
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