CFOs responsible for businesses budgeting, including planning and forecasting, have always embraced change when it empowers them to provide better information to their companies. This year’s Sage Global Planning, Budgeting, Forecasting, and Reporting survey underscores this trend and includes eye-opening details on how the world’s leading CFOs approach these common business processes. Let’s dive into the details and explore how the world of business budgeting is changing with the advent of new and better technologies.
Business Budgeting, Planning, and Forecasting—Not Only for CFOs
The biggest take-away from this year’s survey is that the automation of the planning, budgeting, and forecasting cycle is a shared responsibility between technology and finance. But CFOs aren’t content to have technology live “over there” in another department. Instead, they are rapidly becoming embedded in the tech departments of their companies.
According to the survey, 33% of financial professionals have made significant changes to their business budgeting, planning, and forecasting cycle this year. Many of these changes have been driven by technology.
- 79% of the survey respondents believe that automation of tasks and data capture is important
- 78% would like to invest in IT and form closer relationships with the IT department
- 75% believe they should standardize processes throughout their organizations
Using enterprise resource planning (ERP) software can help streamline the accounting automation process and standardize it, too. Data capture and automation become a natural part of the workflow when the right technology is in place.
But unlike in times past, when the IT department became the sole judge of which technology a company should purchase, forward-thinking companies today encourage their CFOs to be part of the technology evaluation and purchasing process. This ensures that the selected ERP system provides the best level of support for the company’s financial processes and fits into the overall tech stack.
Even though engaging finance professionals in the ERP evaluation process would be ideal, many feel too time-pressed to do a thorough job. In fact, according to the survey, most have only 1-3 months to devote to finance transformations within their organizations. These compressed time frames further strain the finance team’s resources and often make digital transformation projects feel unattainable.
Increased Investment in Forecasting and Budget Reporting
The forecasting process is also being redefined by technology. Financial professionals would prefer to spend more time on forecasting, with 90% of the survey respondents saying they would like to invest more in forecasting. Approximately 73% state that budget reporting requires an increased investment, and 70% would like to invest more in compliance and risk assessment and reporting.
Forward-thinking financial leaders are now turning to technology to streamline both the forecasting and budgeting process. With the right technology, they can access accurate and timely financial data at any time. The entire business budgeting, planning, and forecasting cycle becomes easier.
Choose the Right ERP System
If you’re a financial professional facing the new year with a big list of automation wishes and little time to accomplish them, tap into the expertise of an ERP consultant to help you select and implement the best ERP for your company’s needs. The evaluation and selection process needn’t be cumbersome when the right partner is by your side.
Emerald TC provides software and consulting. We can help you choose the right ERP system for your needs. Contact us or call 678-456-6919 for more information.