The Modern FP&A Professional: "3 keys" to Unlocking your Value

There are millions of articles circulating the professional services world about the changing role of the CFO; the Modern CFO is a term used by everyone from Bloomberg to EY and every executive search firm in between- it typically begins a conversation about Finance Transformation. It is the industry’s way of subtly explaining that the CFO, whose traditional role was that of overseeing the “books”, managing the finance department, and reporting numbers to the various stakeholders, must now become a digital buyer and rethink the way finance operations are done. The CFOs in demand these days are the modern thinkers, and turnover has never been higher for this classically safe role.

It’s interesting to note that not much has been written on what will 
become of the Financial Planning & Analysis (FP&A) function in this new modern finance world. 

The truth is, almost every organization in some way needs to evaluate whether or not their finance department can adequately support the changing landscape of their business goals. Data points all support the need for CFOs and Finance Execs to take on a more strategic role and serve as advisers to the other business units on cost strategy and organizational direction, but what is being said about the new team they will ultimately manage?

In the United States, unemployment is at an all-time low, especially in finance (2.5%), which prompts my question “where is the discussion about the modern FP&A professional?” 

If today’s CFO is expected to “modernize,” what then, becomes of his finance team, and how is the modern organization structured? 

From the macro perspective of a process improvement analyst, there are three important "keys" for the modern FP&A professional to embrace in order to stay competitive in this rapidly evolving climate, and to continue staying relevant in the modern age of finance:

Key 1: Evaluate your Output Before you get Outsourced

More than ever, the modern “number cruncher” must be honest about where their value lies. By definition, the FP&A function was designed to produce financial analysis, budget recommendations and financial forecasts, in order to enable finance executives to be strategic players. This role used to have a more judgement-based place in the traditional accounting department but intelligent automation is quickly stepping into this space. While AI is still theoretical for the majority of organizations, it doesn’t mean the future should be ignored. 

More and more, FP&A is becoming the next function to be outsourced and this is expected to increase in the upcoming years.

Why? Thanks to technology, many components of forecasting and budgeting have become transactional and therefore "automatable" processes. Today’s strategic FP&A professional must continuously evaluate what they produce- if you are clocking in overtime to get the books closed while holding your precious macros close to your chest, it might be time to rethink how your output translates to the business’ bottom line...

Key 2: Upskill & Play Nice with Robots

Robotic Process Automation (RPA) is a technology that isn’t going anywhere. Yes, it is the shiny new topic right now but it will soon be as mainstream to business process operations as the 10-key was to the “Modern Accountant” in the 80’s. 

Lately, there has been a lot of hype about automation, and thus, countless vendors have emerged over the last 5 years in response to global competitive pressure to reduce cost and streamline processes. RPA is special, though, and the market has spoken with UiPath’s $7B valuation earlier this year. 

The strategic FP&A professional will realize that all organizations will be centralizing functions and automating processes and will position themselves as the RPA expert within the finance organization. 

As an FP&A Analyst, why be reactionary and fearful of robots taking your job when robots are the best way to remain relevant, and in fact, upgrade your job? It’s possible that “bots” could be the key to unlocking a whole new Finance Professional; the FP&A Analyst is best-suited to lead that charge.

UiPath’s free RPA Academy is a wonderful place to start- the platform allows for a proactive approach to understanding how RPA can help you become more relevant vs more replaceable. In order to stay competitive, the reality of technology should be embraced, not feared. 

Key 3: Revamp your Personal Brand & Actively Network

After much observation and several conversations later, I noticed that a stereotypical pitfall of the “Finance Profile” is an inability to network; either time or personality constraints typically feed into this narrative. The Finance Department, in my opinion, is the pulse of an organization, and therefore the busiest team in a company. With technology today, there is no excuse to become irrelevant both in person and online. 

Studies show that most finance professionals join networking groups either by directive or because they are looking for a new job.

It is rare that the Finance Exec and the budding CFOs (in the form of FP&A Analysts) proactively engage in networking activities or groups- although in recent years there have been more groups emerging to address this gap. It is also equally important to have a current LinkedIn photo on your profile with a good description of your role and responsibilities to keep your brand current. 

No one is suggesting daily original content, however, a good rule of thumb is to “post” or “share” of a relevant article at least twice a month. 

You might even inquire if your organization uses a CRM tool that could allow you to facilitate or even automate your posts. In addition to having an online presence, which is increasingly more important, never underestimate the power of human interaction. 

Dialogue, after all, is the true enabler of innovation. Without exchanging ideas with peers and spot-checking ourselves, how can we ever really grow?

It is more important than ever to take our careers by the horns and stay relevant with the imminent digital revolution. With these three key components, the Modern FP&A Professional will continue to be the keeper of the data key and the driver for continued growth within their organization.