Financial controllers are predicting big changes to their roles, but just how prepared they are and what changes they will face remains uncertain.
The EY Global DNA of the Financial Controller Survey found that 86% of financial controllers expect their roles to change “significantly” over next five years. About 39% expect a greater focus on value creation rather than value protection and optimisation, while 26% expect their roles to demand completely different skills than today.
EY surveyed more than 1,200 financial controllers and other senior finance leaders from 28 countries and territories.
Many controllers are ahead of other finance leaders in relation to the growth of AI, with 67% using the technology for daily tasks. In addition, 88% are using data to provide strategic insights, something that AI will only serve to improve.
But some controllers said they weren’t receiving the support that they need to help them become value creators. About 10% say they do not have the necessary staff, and 20% report that they lack the required budgets.
“The role of the financial controller is on the cusp of significant change, and while it is not clear exactly how this will play out, it is evident that financial controllers must now deliver at a high level on multiple challenges at once,” Myles Corson, EY Global and EY Americas strategy and markets leader, financial accounting advisory services, said in a news release. “They need to strike a balance between delivering short-term performance and enabling long-term value, and their responsibilities now stretch far beyond the balance sheet.
“With the right level of support, however, there is a huge opportunity to shape the role and transform the function so that it can look to the future with confidence.”
A gap in CFO candidates, ambition for innovation?
The report identified 25% of those surveyed as “confident controllers” – controllers already driving value creation through technology. Just 32% of confident controllers said they want to become CFOs.
Interestingly, while 73% of controllers who want to stay in their current positions said that innovation matters, just 51% of those who aim to be CFOs said the same.
“The first step in any successful transformation is building recognition of the need for change,” Corson said. “While it is clear this exists within most finance functions, financial controllers need to actively lead in developing the technological skills and knowledge needed to unlock their value-creating potential and enhance the brand of controllership with their leaders.”
Realising potential
Controllers can realise their potential as value creators, according to the report, while fulfilling their traditional responsibilities as value protectors and optimisers, in three important ways:
1. Embrace three transformational opportunities: Data, AI, and sustainability.
2. Get future ready: Applying new technologies and tools to their daily activities and processes.
3. Become a confident controller: Help to reinvent the role by taking on enterprise-level responsibilities and investing time in future-focused tasks.
To comment on this article or to suggest an idea for another article, contact Kevin Brewer at Kevin.Brewer@aicpa-cima.com.
