Section 3:
The road to 2035
Business leaders envision a future of tech-powered growth, but the path to achieving this vision is complex. For the CFO, this requires more than a mindset shift; it requires a total transformation of the finance function, with accessible and accurate data as the cornerstone. Three-quarters of CFOs (74%) believe that, by 2035, AI and automation will have completely reshaped organizations’ finance functions.
The organizations that fail to rise to the challenge are at risk of competitive disadvantage. In fact, 70% of CEOs and 68% of CFOs believe the businesses that fail to invest now in tech, infrastructure, and skills will not survive the next five years.
THE PROPORTION OF BUSINESS LEADERS (CEOS, CFOS AND LOB MANAGERS) — BY SECTOR — THAT BELIEVE THE BUSINESSES THAT FAIL TO INVEST NOW IN TECH, INFRASTRUCTURE, AND SKILLS WILL NOT SURVIVE THE NEXT FIVE YEARS.
72%
Manufacturing
70%
Financial services
66%
Retail & consumer
64%
Pharmaceuticals & health tech
60%
Public sector
Standing on this burning platform and inundated with a range of potential technological solutions, it will be important for CFOs to pause, assess, and identify the solutions that best fit the requirements of their team and the business as a whole.
73%
of business leaders believe that, by 2035, AI and automation will have completely reshaped organizations’ finance functions.
Barriers to CFO success
So, what’s preventing CFOs from transforming their teams and taking on their role as strategic growth drivers? Our research revealed three key barriers:
SILOED APPROACH
70%
of CFOs identify limited crossfunctional collaboration as a significant barrier to performing their role effectively. Silos restrict the flow of information between departments, leading to fragmented, inconsistent data. This misalignment leads to slower decision-making, stifled innovation, and reduced agility.
LEGACY TECH
72%
identify legacy systems and technology limitations as a significant barrier to performing their role effectively. Not only is legacy tech rigid and difficult to scale, but it often relies on manual processes which are time consuming and prone to error. This inefficiency takes valuable time and resources away from strategic initiatives.
TALENT CRUNCH
78%
identify skills gaps in the finance department as a significant barrier to performing their role effectively. As a growing number of certified public accountants (CPAs) approach retirement and fewer students pursue finance degrees, the talent pool for finance professionals is shrinking rapidly. At the same time, many established finance teams lack the necessary proficiency in modern financial tools and technologies, hindering their ability to implement and leverage these resources effectively.
These skills gaps pose a significant challenge to maintaining robust financial operations in an increasingly digital landscape. As finance leaders implement new technologies and processes, effective change management initiatives will be crucial to ensure their teams are on board.
“
Investors want to understand how macroeconomic trends and market changes are impacting organizations – and finance is the only department that can answer that. CFOs risk losing investment or missing opportunities if they cannot assure data confidence, so it will be important for them to have systems in place to deliver the answers they need when they need them with confidence.
While many organizations have a ‘single data model’, to truly power critical decisions, businesses need more than a simple data aggregation. They need to consolidate information into one cohesive place. OneStream’s unified data model brings together data from across the organization, creating a single source of truth for businesses.”
Pam McIntyre, Senior Vice President Finance — Corporate Controller, OneStream
The data imperative
Three-quarters of CFOs (75%) believe that, by 2035, data will be their organization’s most valuable asset. If they’re going to drive business strategy, finance departments must shift from being reactive to proactive: 76% of CFOs believe it is important that the finance function evolves to drive business forecasts and initiatives, over traditional record keeping.
Data governance is increasingly important for ensuring data quality, security, and consistency across an organization — and building investor confidence. However, finance departments face challenges in managing ever-increasing data volumes. Threequarters of CEOs (76%) say CFOs are struggling to prioritize business growth due to an overwhelming volume of data and information.
Unified data systems, enhanced by AI and machine learning, are crucial to overcome these barriers. Three-quarters of CFOs (74%) believe unified data and data-based decision-making are now the key determinants of organizational success. This involves bringing together financial and operational data to drive informed decisions on business strategy, planning, and execution. The sooner finance departments implement these systems and build data-driven decision-making into the DNA of the team, the sooner they can take ownership of the data.