Finance teams are successful because they have adapted to change and evolved to become true business partners to the CEO, with a seat the decision making table and the ability to chart the future course of business. However, Finance has to recognise that 'What Got it Here Wont Get it There' and embrace the digitalization, seize the opportunity and lead the way to adopt an agile operating model.

1. 1
FutureProofFinance
Aug25th2020

2. Business Partner to CEO
2
Finance has changed significantly over the past 2 decades
Bean Counters
Planning and Analysis
Business Support and
Story Teller

3. 3

4. What Got
You Here
Won't Get
You There
4
Current
Finance Team
New
Priorities
Digitalisation
Timeliness of
information
New
business
Models
Machines
Algorithms
New
structures
New Skills
needed

5. Finance Transformation challenge
DO MORE
WITH LESS
DO BETTER
WITH LESS!!
5

6. 6
How are Finance teams faring?

7. How to move ahead on the transformation journey?
7
01
02 04
03 05
Determine where
Finance is today
and what needs to
be done in future.
Create a compelling
vision statement.
Define Key
characteristics and
attributes.
Consider talent,
processes,
systems and
stakeholder
expectations.
Develop an
actionable
roadmap.
Understand the unknowns

8. Overcoming transformation challenges to succeed
8
Structure
• Quality
• Legal entity
structure
• Geographic
locations
• Core tech
systems
Focus
Business
Focus
Align
• Finance
strategy
• Right level of
finance
resources
Challenge the
Status Quo
Lead
• Prioritize
resources
• Shape customer
expectations
• Force evaluation
of wants vs.
needs
Drive
Outcomes
Stewardship
• Satisfaction is not
efficiency
• Push to actually
improve
performance

9. 9
Treat Finance as a
profit center
Measure performance
based on ROI
Allocate resources based
on ROI and risk
mitigated by services
Avoid a Cost to Serve
exercise

10. Digitalization
10

11. William Edwards Deming (October 14, 1900 – December 20, 1993) was an American
engineer, statistician, professor, author, lecturer, and management consultant
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12. 12
If only Deming were alive today!

13. Digitalization and Finance Modernization
13

14. Scenario 1- Medium Term (3 yrs) – Finance overrun by digitalization!
01
Shrunk
significantly
Headcount
Standardization
and automation
What
happened
Processes
automated
efficiently by
robotics
Robotics
Specialists IFRS, Tax,
Regulation, Financing,
Compliance, Risk
Management
Team
Processing FS fully
automated. IT
owns the closing
Operational risk
FS and Close
Info derived from
Operational
functions, who
lead Centre for
Analytics
Decision making
Led by Operations,
finance limited to
tax, financing,
Consolidation and
Currency effects
Planning
Finance CoE,
providing
support as
needed
14

15. Opportunities come
infrequently. When it
rains gold, put out the
bucket, not the thimble.
SEIZE GREAT OPPORTUNITIES
AND LOAD UP THE TRUCK
‘Carpe Diem’ - Seize the day
15

16. 16
Culture is Key
v v

17. Scenario 2- Medium Term (3 yr) – Finance decided to become a leading pioneer
of digitalization
01
Reduced
marginally,
reallocated
resources
Headcount
Finance analyzed
digital trends,
developed target
and vision
What
happened
Act, not react
and developed a
common vision
Goal
New opportunities
identified, roadmap
formed to develop
specific actions for
years to come
Roadmap
Inter-disciplinary
team coordinates
analytical topics,
combines business
competence and
tech know-how
Analytics
Info derived from
Centre for
Analytics, set up
by Finance
Decision making
Info combined in
real time, big
data also used
for forecasting
Planning
Finance
Leading the
way
17

18. F Focus • Finance organization to be focused intensely on stakeholders
P Project
• Small, focused project teams
• Entrepreneurial mind-set
Finance Organization- Adopt an agile operating model
S
• Flat network of teams
o Transactional- small cadre to handle standard, streamlined, repeatable process
o Strategic- community of staffers rotating in and out of high priority finance projects
Structure
18

19. Finance Organization for the digital age
Specialists
Value Leader
Problem solvers
Core
19
R Roles
R Roles

20. Build Finance capabilities for the digital age
20
Value
Stakeholders Performance
Shape the
economic value-
creation agenda
01
02
Oversee financial
performance and
organizational health
03
Manage stakeholders
and processes
outside of a formal
hierarchy
Finance leaders to walk the talk

21. 21
MAKE FINANCE
GREAT AGAIN
MAKE FINANCE
GREAT AGAIN

22. Thank You