CFO's, CIO's Work Together to Implement Technology to Thrive in Recovery

As the economy rebounds from a prolonged downturn, chief financial officers (CFOs) and chief information officers (CIOs) must work together to implement technology solutions to support financial forecasting and planning as companies shift from cost control to growth.  That is according to a recent research study, Thriving in Recovery, conducted by Oracle, CFO Research Services and CIO Custom Solutions Group. 

Effective forecasting and financial planning are critical to companies’ ability to pursue growth with confidence in a difficult and uncertain recovery.  However, while research indicates that these solutions make a substantial contribution to successful forecasting and planning efforts, many respondents report that their companies are not well equipped to make the business case for IT investment. 

The study also reveals that finance and IT executives, while united in their ultimate goal to achieve profitable growth, often thwart the process due to disagreements over the obstacles hindering forecasting capabilities and information improvement priorities. 

Finance respondents, for example, were more likely than their IT peers to say it will be very important to improve high-value information used for planning, budgeting and forecasting,  performance monitoring and internal management reporting.  Conversely, IT respondents placed a higher value on improvement in information for compliance purposes. 

These opposing views create a purposeful dynamic that can be used toward business improvement.  That is because finance executives understand the challenges involved with forecasting and planning in this environment, while IT executives are aware of the compliance benefits technology will bring. 

Finance and IT executives who are able to collaborate closely can help their companies reap the benefits of a clearer, more reliable view into the future.  Further, by understanding and setting IT improvement priorities, the combined efforts of these two parties will result in improved forecasting and planning capabilities and higher success rates on the road to recovery.
 

Also In This Month's Issue:

2011 Business Resolutions and Trends:  More Than 75% Say Departments Will Focus On Operational Improvements in the New Year

U.S. Taking Conservative Approach To Working Capital Management