In the ever-evolving landscape of finance, staying ahead of the curve is not just a choice, it’s a necessity. Chief Financial Officers (CFOs) today find themselves navigating a complex terrain, where financial strategies must align with the latest trends and technologies to ensure their organizations’ success.
In this article, we’ll explore eight critical finance trends that every CFO should be aware of. From harnessing the power of unified data and intelligent technology to adapting to shifting business models and the emergence of fintech opportunities, we’ll delve into the key insights that can help CFOs make informed decisions.
Exploring the Future of Finance: Business Central's Role in Modern CFO Responsibilities
But it’s not just about the numbers anymore. The modern CFO’s role is expanding, encompassing responsibilities that extend beyond traditional financial management. With customer experience becoming a top priority and a renewed focus on ethics and sustainability, CFOs are now integral players in shaping their organizations’ future.
And speaking of cutting-edge financial tools, we will introduce you to Microsoft Dynamics 365 Business Central, a system designed to meet all the fundamental financial management needs of organizations. Business Central empowers financial managers to access real-time company data, enabling data-driven decisions that go beyond intuition.
As global economic uncertainty persists, finance leaders are seeking innovative ways to navigate these challenges and steer their companies towards success. Join us as we explore these finance trends, including the transformative capabilities of Business Central, and discover how they are reshaping the finance landscape.
Finance trends every CFO should know
1. Unified data, intelligence everywhere
Fully connected businesses are able use AI tools with more complete data. This helps these systems provide more accurate outputs and deliver intelligence to every branch of the business.
2. The CFO’s role and workforce are evolving
As finance leaders take on greater responsibility—from technology to strategy—the modern finance department is shifting.
55% of CFOs report that enterprise risk management is part of their role.1
33% of CFOs report managing cybersecurity as part of their role.2
3. Intelligent technology powers finance operations
As finance leaders work harder to meet rising demands, they are turning to technologies such as AI, blockchain, and digital assistants, to help improve operations and work smarter.
74% of AI adopters agree that AI will be integrated into all enterprise applications within three years.3
4. Customer experience is top priority
5. Business models getting redefined
In light of the ever-changing business environment, financial executives are reorienting their strategies towards a heightened customer-centric approach. They are increasingly leveraging technological advancements, fostering cross-functional cooperation, and promoting ecological responsibility. The objective of this metamorphosis is to foster deeper customer connections and stimulate expansion within a dynamically shifting corporate terrain.
6. Fintech emerges as major opportunity
As businesses fight for a competitive edge, fintech is providing them with new options and opportunities to turn small improvements into massive returns.
7. Businesses place a renewed focus on ethics
Amid growing scrutiny and expectations from a variety of stakeholders, enterprises are increasingly channeling their resources into adopting more socially responsible and environmentally sustainable strategies. This shift underscores the imperative to balance profit with ethical considerations, as businesses respond to the demands of consumers, regulators, and shareholders who are now championing a more conscientious approach to corporate operations.
8. Businesses adapt to global uncertainty
With new cyber risks, geopolitical shifts, and new regulations, finance leaders are looking for ways to navigate the uncertainty.
Global economic recovery from the COVID-19 pandemic is expected to take years.6
How Microsoft Dynamics 365 Business Central can help CFOs
Microsoft Dynamics 365 Business Central (formerly known as Navision) system caters to the financial management needs, allowing financial managers to see real-time company data and make data-driven decisions rather than relying on intuition.
The Power of Data Centralization and Customized Reporting in Business Central
For instance, data centralization is a crucial component as it makes financial and operational data accessible. This accessibility ensures real-time reporting, allowing organizations to generate customized dashboards and reports. These customized tools are instrumental in monitoring key risk indicators and performance metrics. Additionally, budgeting and financial forecasting play a pivotal role in helping organizations assess and manage financial risks, thereby safeguarding financial stability. Lastly, inventory and supply chain management systems play an essential role in ensuring the smooth flow of goods and services.
Enhancing Cybersecurity and Data Protection with Microsoft Dynamics 365 Business Central
Microsoft Dynamics 365 Business Central, when used in conjunction with the Microsoft Cloud, offers a robust cybersecurity framework to protect your data and operation. The protection includes data encryption while transmitting over the internet to the cloud, strong access control, regular security updates which are done automatically, robust data backup and recovery possibilities.
AI Tools Empowering CFOs: Inventory and Cash Flow Forecasting in Business Central
CFOs can leverage the benefits of AI tools such as Inventory Forecast, Sales Forecast, Late Payment Prediction, and Cash Flow Forecast when utilizing Business Central. These tools utilize comprehensive data to significantly improve accuracy and intelligence across all aspects of the business. This empowers CFOs to make well-informed decisions and optimize their processes with great effectiveness.
Customer-Centricity and Marketing Insights: Leveraging Business Central
Business Central offers businesses a complete understanding of their customers – from their interactions and purchase history to their preferences and more. This wealth of customer data is a goldmine for creating targeted marketing campaigns. Ultimately, it all leads to one thing: a positive customer experience. When businesses have a holistic understanding of their customers, they can provide more personalized interactions and better service, setting the stage for long-lasting customer relationships. In the age of customer-centricity, Business Central is the bridge that connects businesses with their customers’ needs and desires, paving the way for success.
Business Central: Unlocking the Value of Organizational Data
The organization’s data represents one of the most significant assets within the company. However, this data can only yield value when it becomes accessible and usable by analytical or AI tools. Business Central serves as a centralized hub for data, enabling companies to streamline their information management processes. Through its integrated approach, Business Central connects various departments, for instance Finance, Purchasing, Sales, Manufacturing, Warehouse, ect., ensuring that data is consistently and accurately shared across the organization.
By choosing Microsoft Dynamics 365 Business Central organizations can be sure that they use latest technologies and follow technological advancements as Microsoft heavily invest in its products and services.
As a certified long-term Microsoft partner, GO-ERP has proven that it helps its customers to leverage the power of Microsoft Dynamics business applications to manage their day-to-day processes and operations more effectively. Get in touch and our experienced specialists will be happy to share their expertise and accelerate your company’s digital transformation.
- Deloitte, “CFO SignalsTM: Q2 2018,” September 17, 2019.
- Deloitte Insights, “Maintaining an edge in the era of pervasive AI,” July 2020. https://www2.deloitte.com/content/dam/insights/us/articles/6462_state-of-ai-in-the-enterprise/Infographic-StateofAIintheEnterprise_FINAL.pdf
- Nextiva, “100 Essential Customer Service Statistics and Trends for 2020,” May 2020. https://www.nextiva.com/blog/customer-service-statistics.html.
- Tesla. https://www.tesla.com/support/insurance.
- Bloomberg, “Global Economy’s Recovery From Pandemic Seen Extending Past 2021,” October 2020. https://www.bloomberg.com/news/articles/2020-10-06/wto-sees-less-severe-global-trade-slump-this-year-weak-rebound.