How CFOs can leverage purpose-built business planning and analytics

The CFOs most adept at harnessing this innovation are those who comprehend the necessary scope of change: streamlining planning and reporting processes with emerging technologies, revisiting organizational models, and addressing talent requirements to drive long-term value.​ 

“Finance professionals have been engaged in BPR&A tasks for years and the inquiries that CFOs seek to address today frequently mirror those of the past: What’s my market position? Am I meeting or falling short of my objectives?” explains Kevin Brown, EY Americas Consulting and Life Sciences Technology Leader. “However, these tasks are no longer suited for manual labor; they’re prime candidates for automation and AI. The use of emerging technology opens doors for CFOs to allocate their time toward expanding the boundaries of what can be achieved — to investigate, measure and delve into more innovative opportunities.” 

Reimagine BPR&A capabilities 

As data volumes expand exponentially and the speed of collection and analysis accelerates, analytics is emerging as a pivotal element in defining the future role of finance as a strategic business partner. Technology and financial technology are set to play a central role in this evolution, streamlining processes to verify that reports are not only rapid but also effective and trustworthy. The 2023 EY Global DNA of the CFO Survey (pdf) underscores this trend, pinpointing advanced data analytics and technological innovation as the foremost priorities for reshaping the finance function in the next three years. 

The synergistic effects of technology and data have ushered in new methodologies for BPR&A. For instance, planning and forecasting technologies have the potential to enhance outcome prediction, opportunity identification and risk management through scenario modeling and machine learning, while automation of financial reports – including income statements, balance sheets and accounts receivable or payable – promises improvements in accuracy and efficiency. 

Define a strategy and the metrics for success 

As the capabilities of BPR&A expand, CFOs must actively seek innovative ways to refine their strategic approaches and stand out. A transformative BPR&A strategy must be deeply integrated with the company’s overall strategy to bolster and propel it forward. 

In the process of executing these strategies, CFOs are tasked with finding creative ways to enhance their strategic methods and differentiate themselves. For instance, a company might now evaluate its brand strength by mining social media data to see how frequently its products appear in uploaded images — a metric that was once inconceivable. 

Each organization will encounter its own set of challenges and strengths as it progresses, but for Brown, the path forward is clear. “Develop a plan that’s crafted for the future, containing manageable increments of progress that not only steer you in the right direction but also allow for reflection, learning, adaptation and advancement.”

Reconfigure what your people do and how they do it 

CFOs are encouraged to lead the charge toward a digital-centric approach. By demonstrating their own willingness to evolve and adopt new practices, CFOs can inspire their teams to follow suit. 

Further, CFOs must thoughtfully cultivate their teams to leverage technological advancements. Building a team with a broad range of skills, from financial expertise to data science knowledge and technological proficiency, is critical. Such a multidisciplinary team is key to offering strategic insights for business decisions and establishing credibility throughout the organization. 

Brown emphasizes the significance of embracing emerging technologies, stating, “AI is not going to take your job, but someone who knows AI will. Everything we do is going to be augmented by AI, and you can either drive that transformation or be impacted by it.”