Opinion
AI adoption is accelerating, and CFO responsibilities are expanding. The number of CFOs globally grew by 13% in 2024, with 82% of CFOs reporting increased responsibilities. Based on research from McKinsey, Gartner, and others, this article analyzes how CFOs can effectively evaluate AI investments by identifying use cases, benchmarking quantification, and cross-departmental collaboration, and recommends that CFOs transition from budget gatekeepers to strategic advisors.
Global tariff shocks have caused severe fluctuations in financial markets, exposing companies to liquidity tightening and supply chain disruption risks. Drawing on historical cycle experience, restructuring lawyer David Dragich outlines five key steps—boosting cash reserves, safeguarding supply chains, monitoring customer finances, mitigating contractual risks, and preparing for insolvency—along with additional recommendations to help companies navigate uncertainty.
Krishnan Raghunathan, Head of Finance and Accounting Services at WNS, believes that multiple disruptive forces in the global business environment are accelerating the evolution of the CFO role. AI empowers financial leaders in five key areas: data analysis, fraud detection, scenario planning, cash flow management, and forecasting, transforming them from traditional controllers into strategic visionaries. Gartner data shows that in 2024, 58% of finance functions had adopted AI, a 21% jump from the previous year.
Contract disposition is a frequently overlooked financial lever in M&A, potentially delivering significant cost savings. This article analyzes its potential, challenges, and best practices, emphasizing cross-departmental collaboration and systematic management.
Facing persistently fluctuating tariff policies, CFOs need to take proactive measures to mitigate impacts on finance and operations. Based on a guest article by Vivek Saxena, head of Genpact's finance and accounting business line, this article distills four key steps: exploring risk management scenarios, integrating business planning, strengthening budget control, and implementing continuous accounting practices, helping companies maintain resilience and competitiveness in an uncertain environment.
In the creative industry, financial leaders are often seen as budget enforcers, but Stacey Ryan-Cornelius, Global CFO of Ogilvy, believes effective financial leadership requires a blend of science, art, and soul. Science lies in gaining insight into human nature from numbers, art lies in driving shared goals with conviction, and soul lies in self-affirmation and serving a greater purpose.
Facing tariff uncertainty, companies can quantify the impact through financial model stress testing. This article introduces the concept of stress testing, methods for constructing three scenarios (baseline, stress without mitigation measures, stress with mitigation measures), and various strategies to address tariff challenges, emphasizing that data and analysis are better than intuition.
For CFOs, pay transparency is no longer just a compliance matter but a strategic choice affecting talent competition and financial planning. Based on recruitment practices, the article examines the value of transparent compensation in building trust, attracting top talent, reinforcing pay equity, and optimizing budgets, while pointing out risks such as potential internal conflicts and reduced room for negotiation, recommending a structured compensation framework and clear communication to achieve balance.
Gen Z is entering the workforce, but the accounting industry faces a talent gap. Data shows a decline in accounting graduates, despite a recent uptick in undergraduate enrollment. High college costs, CPA exam barriers, and competition from the tech industry deter young people. Experts suggest attracting talent by emphasizing career stability, development opportunities, technology adoption, and optimizing workload.
The closure of the carried interest tax loophole has once again become a policy focus. Although this move helps alleviate fiscal deficits, the author warns that without the three-year holding period incentive, the private equity industry may slide toward short-termist practices such as rapid flipping and asset stripping, harming industry reputation and the investment ecosystem.