As finance teams grapple with complex demands, scalable tech can shift the focus to strategy, driving smarter, data-driven decisions for future growth
Finance teams are frequently overstretched and are expected to handle more with less, even as the operating backdrop grows ever more complex and unpredictable. Those challenges are even more pronounced at fast-growing companies and scale-ups where finance teams often outgrow existing systems as the volume of their work increases exponentially.
Furthermore, finance leaders at those companies are often having to make decisions without access to accurate insights. According to AccountsIQ’s 2024 CFO Mindset report, almost 86% of respondents said decisions about financial strategy are made without sufficient data or insight.
Those respondents are also heavily overworked, with 63% saying they feel overwhelmed multiple times a month about the challenges they face, and 85% saying they would need an additional one or two days to complete their workload every week. Frequently in these circumstances, finance leaders are spending too much time on routine compliance work and not enough time on strategic matters that can better support the wider business as it grows.
The overstretched finance function
Having the right systems and technology in place can help reduce the stress finance leaders face. More than a third of respondents (38%) said they would feel more in control of their organisation’s financial future if they had access to better financial technology and software. Some 34% also said limited technology and software is the biggest threat to their organisation’s financial stability.
“For scaling companies, the biggest issue is putting the foundations in place with systems that get the balance right between being efficient and effective,” says Darren Cran, CEO at AccountsIQ.
The ownership structure of the business is also important. If a business is owned-led, then often that person is plugged in enough to manage with limited information and basic accounting software. But when a company is trying to scale its business model, often there will be investors involved who will expect to see greater investment in technology and systems. This investment can create internal challenges, particularly if finance teams are wedded to current ways of working and are reluctant to embrace new technologies.