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CFO and CIO: A Love-Hate Relationship

By Don Reisinger on 2011-04-14


Now that you've mastered how to speak CFO , a new study from accounting firm KPMG might help shed some light on your tumultuous relationship with your chief financial officer. According to the study "A New Role for New Times," which includes survey responses from 444 CFOs around the world, financial executives really do see value in technology. And they’re firm believers that the future will rely heavily upon technology. At the same time, they’re frustrated with “outdated” solutions that don’t live up to their expectations. Kind of ironic, considering they're the same folks who are probably telling you to curtail your spending. It seems most C-level executives really do want the latest and greatest technologies to improve their organization’s chances of competing more effectively with the competition. But what these non-tech execs don’t realize -- and you do -- is that actually bringing those technologies to the workforce isn’t always easy when budgets are tight and strategic considerations are taken into account. Read on to learn more about how financial executives really view you, and your job. You'll find ways to use this information to your advantage as you work alongside the CFO to improve your business.

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52 percent 52 percent of U.S. CFO surveyed blame their firm’s IT function for being “out of date and inflexible” when they experience less-than-ideal finance functions.

73%In the U.S., 73 percent of CFO surveyed say that issues with financial-related technology and systems are the biggest reason they can’t achieve their objectives.

Inadequate IT Systems "Inadequate IT systems” aren’t furnishing finance executives with “predictive metrics that are aligned with the corporate strategy,” says Steve Lis, KPMG’s national leader for U.S. Performance And Technology Services.

65 percent Nearly two thirds of U.S. CFOs surveyed consider IT integral to their operations today and going forward.

M&A Mess According to KPMG, organizations that have engaged in “mergers and acquisitions, globalization, and ad-hoc implementations” are facing “fragmented and incompatible technology infrastructure across business units.” And that, the firm says, must change.

26 percent 26 percent of CFO respondents say that they either disagree or disagree strongly that their firm’s use of IT is currently effective as it relates to the “finance function.”

39 percent 39 percent of respondents agree or strongly agree that their company uses IT effectively when it’s combined with the “finance function” of their operation.

45 percent Nearly half of respondents are neutral; they say that they do not consider the finance function’s collaboration with IT to be either a strength or weakness.

39 percent 39 percent of respondents say that the finance function’s collaboration with IT is a strength, compared to 14 percent who consider it a weakness.

The CIO's Role KPMG says that there is an opportunity for the C-level executives to work closely and bring a “unified approach to technology.” That, the firm says, should benefit all.

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