Why are we talking about Dynamic Finance now?
Because the pace of change—internal and external—isn’t likely to slow down. Because there’s no way of knowing what’s around the corner. But whatever happens, leaders can’t let it break the business. Becoming dynamic means the Finance function can help the enterprise compete, survive, and thrive amid change.
Transforming Finance for the future means creating a capability that can flex and adapt in the face of external forces with speed, strength, stability, and flexibility to create value. Imagine that in a period of great uncertainty or change, you can quickly and adeptly:
- Model and scenario-plan mitigating actions with business leaders to understand how known (and unknown) disruptions may impact business operations
- Effectively pivot your organization to tackle and address the most pressing needs, whatever those needs may be—growth, cost reduction, system implementation, merger integration, etc.
- Create an intentional workplace where finance talent feels valued and motivated because they are focused on meaningful and impactful work
- Proactively identify and mitigate new financial and operational risks arising from changes in the market
The principles of Dynamic Finance
We have defined a set of principles to help Finance leaders better understand how to transform Finance from business function to dynamic capability—while still performing its steward and operator duties.
Transformation mindset
Not an event, but a continual evolution. Accept that ambiguity and continuous evolution are here to stay—the pace of business has changed. Have a strong yet flexible foundation—core technologies, automated processes, structured data models, and savvy talent—that allows you to dynamically support the business in the face of evolving forces.
Workforce of now
Tech-savvy talent and enduring human capabilities. Be intentional about your workforce and their experience. Invest in and foster your people—across all levels. Skills development should be a part of business as usual—and should span foundational finance skills as well as tech-savvy and problem-solving skills. Give them opportunity and space to grow.
Lights-out processes
Machines first, then people. Reimagine and redesign processes to be performed by systems and automation. Leverage technology upgrade cycles and programs to help you achieve these outcomes. Make sure human interaction adds and drives value.
Information on demand
All the time. Meet the enterprise’s evolving and growing appetite for fast and reliable information. Rethink how information is made available today to fully align to business needs. The speed at which information is consumed has dramatically shifted, and the business has high expectations.
Data for storytelling
Rigid governance for flexible data. Establish strong governance over your data for both internal and external consumption. Make sure the finance functionis well versed in how data is structured, created, maintained, secured, and consumed—allowing the organization to be more responsive and flexible with analysis.
No-regrets tech
Digital and flexible core. Leverage modern, compatible, and continually updating platforms that can transform finance and scale with the business. Take advantage of platforms that continually evolve to bring new capabilities to the future of your Finance function.
Sense and learn
Detect risks, and prepare the organization for what’s next. Develop the capability and capacity to sense, weigh, and mitigate risks. Know and measure the most important risk and performance indicators for the business and be prepared to respond.
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It’s crunch time
In this new environment of constant change and disruption, the challenges for organizations show no signs of stopping. What we know for sure is this: An organization with a foundation of agility, resilience, and automated, simplified processes is often better set up for success, no matter what comes its way. A refreshed strategy and case for change can take your organization a long way. That’s Dynamic Finance.
