Economic challenges are constantly evolving, and FP&A leaders are continually seeking to navigate the turbulence more effectively.
For 2023, the Gartner FP&A Leadership Vision Report suggests that FP&A leaders should focus on the following five key areas:
Rethinking Financial Planning Strategy
Economic uncertainty has created a need to rethink financial planning strategies. To do this, FP&A leaders must elevate the finance function's role in integrated business planning. This would happen by removing politics from budgetary allocation decisions and enhancing continuous forecasting practices.
Maximizing FP&A Impact
According to the report, nearly 80% of FP&A leaders are reassessing their organizational design to maximize business impact. This involves strategies such as deploying FP&A where it has the greatest competitive advantage, evaluating which activities are suitable for centralization, and beginning to implement Centers of Excellence (COE) for advanced analytics.
Developing Financial Partnerships for the Digital Future
More than half of finance leaders are focused on developing business partnerships for the digital future. This includes redefining the roles of Financial Business Partners (FBPs), organizing FBPs according to decision types, and selecting the functional archetype that best fits your future operating model.
Creating a Financial Analysis and Data Strategy
A data-driven perspective is a priority for 63% of finance leaders. Additionally, to develop an effective financial analysis and data strategy, leaders must understand the essential concepts of data and analytics. One recommendation is to use Gartner's DASOM framework to create an aligned data and analytics strategy and incorporate data lineage to enhance analytical quality.
Accelerating AI Implementation in Finance
While only 36% of finance professionals are prioritizing AI implementation, this is an area of growing importance. To accelerate AI implementation, leaders should evaluate the most significant AI use cases in finance. This helps develop an AI roadmap that starts with use cases that generate quick wins.
Conclusion
As we've seen, these priorities reflect the need to navigate an increasingly complex and volatile business environment. It's clear that FP&A leaders must be more proactive and strategic than ever.
Therefore, with these actions, FP&A leaders will be better equipped to guide their companies through the challenges of 2023.
Read the full article: https://www.financemarketresearch.com/post/the-5-priorities-for-fp-a-leaders-in-2023