Focus on the Future of FinanceNoel Tagoe, PhD, FCMA, CGMAYvonne Hinson, PhD, CPA, CGMA

Based on rigorous and robust research

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Four questions and an answer!

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What is your business

environment like?

What challenges are your finance

functions facing?

How is your finance function addressing the

challenges?

How are you winning the war

for top rate finance talent?

1 42 3

The changing business environment

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What is your business environment like?

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Fast paced and

unpredictable

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Disruption

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Managing on the edge

of chaos

Driven by …

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GlobalisationGeopolitics

Demographic changes

Customer empowerment

TechnologyAutomation

Organisations are expected to be …

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innovator

agile

resilient • Rapid• Dynamic• Proactive• Reactive

Who understand the ecosystems in which the inhabit and operate

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And the place of their business models in the ecosystems

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Challenges and response of the finance function

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What challenges is your finance function facing?

Various stakeholders expect the finance function to …

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Board Customers & Vendors

Business Leaders

Investors & Analysts

Maximise shareholder value with minimal risk

Ensure ease of doing business at lower transaction cost

Ensure predictable and sustainable profitable growth

Influence strategy and business decisions with real time insights

The finance function also faces the …

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challenges & opportunities of automation

Where finance professionals might be replaced by machines …

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4 work days

16,000 work daysOLD HUMAN SYSTEM

NEW MACHINE LEARNING (AI) SYSTEM

And finance people do …

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Lead the finance team

Partner for value to influence and shape how the organisation creates

and preserves value

Assemble and extract data and provide limited insight

Specialists generate further insights in their

areas of specialism

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How is the finance function addressing the challenges?

Role of finance function …

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• Enable• Shape• Narrate

creation and preservation

of value

This requires transformation …

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Optimise

Diversify

Transform

Time/Difficulty

Value

Transformation involves …

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Transforming Finance

Cost centre to Value centre

Author and narrator of the

value story

Strategic value partner

Enable through control

From cost centre to value centre …

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Superior Value

FINANCE AS VALUE CENTRE

Insight, Influence & Impact

Superior Delivery

FINANCE AS COST CENTRE

Economy & Efficiency

Architect of Future Value

Performance Insight

Cost Excellence

Operational Excellence

Author and narrator of value story …

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In a world deluged by irrelevant

information clarity is power

“

”Yuval Noah Harari

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Value

Difficulty

HINDSIGHT

INSIGHT

FORESIGHT

DESCRIPTIVE (Discover and Report)

DIAGNOSTIC (Analyse)

PREDICTIVE (Predict)

PRESCRIPTIVE (Decide and act)

What happened?

Why did it happen?

What will happen?

How can we make it happen?

Author and narrator of value story …

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Finance and the

value story

Society

Investors

Employees

Regulators Customers

Suppliers and

partners

Author and narrator of value story …

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Narrative Visuals

Data

Engage

CHANGE

Enable through control

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Enable through control

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Which car would you drive fast?

A car with excellent brakes or a car with faulty brakes?

Enable through control

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Use your controls to enable action

not to stop action!

Strategic Partner for Value

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Navigator … to … Co-pilot

Strategic Partner for Value

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Information Insight Influence Impact

Collate

Analyse

Communicate

Enable through control

Finance works in isolationFinance works with others

Competencies and Skills

How are you winning the war for top-rate finance talent?

People or machine?

Machine Advantage Human Advantage Human-Machine Collaboration

In a digital world

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Technology is important …

… but people are even more important

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The hardest part of digitally transforming a company is not the technology - it’s the

sociology

“

” Safra CatzCEO, Oracle

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The future is people collaborating intelligently

with machines

CGMA Competency Framework

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CIMA Professional Qualification

C

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Some new areas in the qualification

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• Data Strategy

• Data Analytics

• Data Visualisation

• Cyber Security

• Ecosystem analyses

• Digital technologies

• Digital costing

• Digital literacy

• Business models

• Integrated reporting

Resources to help you

C

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New CGMA/CIMA Qualification Resources

Qualification update micro site launched today!

www.cimaglobal.com/future

• Re-inventing finance for a digital world whitepaper

• Digital mindset pack

• Updated syllabus

• NEW Exam Blueprints

• Timeline for changes

• FAQs

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Academic Resources

CGMA Academic Website:

www.cgma.org/academicpartners

• Business Games

• Awareness Resources

• Academic Update Newsletter

• Thought Leadership

• Upcoming Events/News

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