Traditional financial statements and reports have become obsolete in financial innovation. CFOs are adopting sophisticated analytics to improve financial process efficiency and collaborate with the company to gain actionable knowledge. Organizations are searching for CFOs that can give forward-looking information in a visible, easy-to-understand format, allowing management to make informed decisions. Aardenco can help you improve your firm’s efficiency by providing advanced analytics.
How CFOs Can Leverage Financial Analytics
Identify Business Problems Early
Finance departments are transitioning from reactive to active issues in the early stages. Financial analytics can help you spot trends in your financial data and predict future occurrences that can be handled now. You may immediately detect where costs are rising and other symptoms of poor performance using the newest cloud-based analytics tools, such as Oracle Analytics Cloud.
Boost Revenue Predictions
As per IDC, organizations that analyze all pertinent data and give actionable information would gain $430 billion in productivity over businesses that aren’t as data-savvy by 2020.
Finance teams can effectively forecast revenues and predict future demand for products by incorporating finance and finance-related processes (marketing, sales, operations, supply chain, tax, and so on) into their core finance analytics platforms.
Get Access to Real-Time Information
Due to manual procedures and extended financial closing cycles, maintaining timely insight into crucial business data becomes difficult. Financial analytics systems give you real-time insight into your financial information, enabling you to react quickly to major occurrences. You’ll be able to make quicker and more informed decisions that will benefit the company’s bottom line.
Examine the profitability of your customers.
Modern financial analytics technologies help you to identify massively lucrative consumers and understand what makes a relationship successful. This allows you to concentrate on the more valuable customers while renegotiating conditions with the high-maintenance ones. You could either cross-sell additional products to these clients or attract new clients that have similar traits. Concentrating on the correct type of clients who appreciate your goods and services benefits the sales force.
Improve Your Storytelling
Finance departments have access to a wealth of complicated data that may be utilized to forecast and improve the performance of your organization. However, simply having access to data is insufficient; successfully analyzing and disseminating it is also critical. According to studies, almost 65 percent of people are visual learners. By linking numerous indicators, displaying trends, and emphasizing activities, data visualization can aid in the understanding of complex concepts.