Navigating the New Era of Finance: Embracing effective business partnering and technology

Jedox sponsors this article. You can learn more about how Jedox supports hyper-automation of your tech stack here . I’m speaking on the webinar “Why digital business partnering is the future of FP&A” on 20 June at 16:00 CEST. You can register for the webinar here .

In the dynamic landscape of modern business, the finance function is evolving from a traditional cost center to a pivotal business partner capable of driving significant value. As this transition accelerates, finance professionals must adapt and embrace new methodologies and technologies. This extends well beyond the traditional ERP systems and covers CRM, HCM, and more. Effective business partnering means driving insights from financial and non-financial data. Below, we delve into critical aspects shaping the future of finance in organizations.?

What is effective business partnering??

Several core attributes characterize effective business partnering within finance. Firstly, communication is paramount—finance professionals must articulate financial insights and data in a manner that is comprehensible and actionable for non-financial stakeholders. Adaptability plays a crucial role, as finance teams need to respond swiftly to changes in market conditions and business strategies. Finally, a deep understanding of the business—not just its numbers—is essential for providing strategic guidance and support. By fostering a culture of trust and collaboration, finance can effectively bridge the gap between strategic goals and operational execution.?

Barriers to effective business partnering often include siloed departments, a lack of integration between systems, too much time spent on maintaining data security and regulatory compliance, and resistance to change from traditional practices. Overcoming these obstacles requires a proactive approach, starting with integrating cross-departmental teams and promoting a culture of knowledge sharing and openness to change. Additionally, leveraging technology to streamline processes and improve data visibility can dismantle silos, thereby enhancing decision-making and strategic alignment.?

The impact of automation and how it boosts company-wide planning?

Hyper-automation and integrated business planning are revolutionizing business partnering and creating the foundation for “digital business partnering”. Hyper-automation, which involves the orchestrated use of multiple technologies such as AI, machine learning, and robotic process automation, can dramatically enhance efficiency and accuracy in financial forecasting and decision-making. Not sure what hyper-automation is? Learn more in this recent blog post . When combined with hyper-automation, integrated business planning provides a comprehensive view of company operations, aligning financial goals with operational tactics and strategy. This synergy accelerates decision cycles and improves the strategic advisory role of finance, making it a more integral part of the business.?

A modern finance technology stack is crucial for fostering collaboration across various departments. Cloud-based platforms enable real-time data sharing and accessibility, eliminating the delays and inaccuracies of manual data consolidation. Tools like enterprise resource planning (ERP) systems integrated with advanced analytics and collaborative platforms enhance transparency and allow for more informed decision-making across all levels of the organization. This technological empowerment leads to a more agile organization where strategic and operational decisions are made with a unified, informed view. It can be challenging for some companies if they sit with a mix of decade-old applications and need to integrate them with the newest cloud solutions. Perhaps that’s a relevant nudge to upgrade the oldest parts of your tech stack.?

New technologies require new skills to be effective?

The continuous evolution of technology necessitates a corresponding shift in skillsets within the Office of Finance. Emerging technologies like AI and data analytics require finance professionals to possess financial acumen, technical proficiency, and data literacy. The ability to interpret and leverage data through advanced analytical tools is becoming increasingly important. These evolving skill sets enable finance professionals to provide higher value through deeper insights and strategic guidance, thus redefining value creation in finance.?

Integrating advanced technologies and developing new competencies are not merely trends but essential strategies for finance professionals aiming to thrive in a digitally driven business environment. By addressing these critical areas, finance teams can transform from traditional number-crunchers to strategic partners that drive the business forward. As we navigate these changes, the role of finance is undeniably becoming more integral and strategically positioned than ever before. How are you using technology to increase your effectiveness as a business partner?

Don't forget, I’m speaking on the webinar “Why digital business partnering is the future of FP&A” on 20 June at 16:00 CEST. You can register for the webinar here .