eBook: The CFOs Essential Role in the Pandemic

eBook: The CFOs Essential Role in the Pandemic

The CFO’s Essential Role in the Pandemic

www.efp-cloud.com

The CFO’s Essential Role in the Pandemic

Review Investment Plans and Strengthen the Balance Sheet

The CFO’s Essential Role in the Pandemic Throughout much of every crisis that a company faces, CFOs play a pivotal role in helping the organization navigate through it. Although COVID-19 has disrupted organizations in more ways than one, it has also given many companies the chance to re-evaluate their response to ensure their business stays protected.

In periods of crisis, many businesses are likely to expect significant changes to their projected revenue. CFOs are crucial to ensuring the company’s resources are focused on revenue-generating initiatives that add value to the organization. To do this, CFOs will need to set their eyes on strengthening the company’s balance sheet. This involves reviewing any unnecessary expenses and impairments, refinancing debt, and reducing inventory, accounts-payables, and accounts-receivables. Cleaning up the balance sheet can help the company maximize its finances while making sure the company stays on track to meet its targets. CFOs are also called upon to help other C-suites review any capital allocations per team to ensure they are on track to improve their organization’s investment portfolio. Focus on Performance Improvements The CFO can ensure the company’s resources are put to fair use by focusing on performance improvements, no matter how little. This is where financial leaders can opt to work on new product plans and offerings to ensure customers and clients can opt-in even through trying times. Doing this promotes loyalty and repeat business from valued clients who often go out of their way to ensure favors are returned by word-of-mouth referral. CFOs can also take this time to reallocate the company’s top resources to business units that have healthy income streams. This could mean making the most of all the company’s sales and delivery channels to reduce operational costs and reduce any expenses where necessary to remain flexible. But more than being focused on driving efficiency in the company’s operations, CFOs will have to step forward in inspiring change initiatives that are necessary to move forward. This can entail making sure the finance team understands the current industry challenges, so they can continue to invest in learning the best tools of the trade and honing their skills to stay updated and competitive.

We’ll explore some of the core roles of CFOs in the current pandemic.

2

The CFO’s Essential Role in the Pandemic

Put Financial Planning and Analysis to Full Use Amidst the current pandemic, FP&A teams must optimize their budgeting and forecasting to continue to provide CFOs with the most accurate numbers to inform their strategy. There’s an opportunity here for FP&A teams to make the most of integrated FP&A solutions that promote better collaboration, offer business rules automation to help CFOs monitor and manage financial KPIs and metrics. In the event of a pandemic, it’s even more crucial that there are no delays with how >Page 1 Page 2 Page 3 Page 4

www.efpcloud.com

Made with FlippingBook Online document