Creating a High-Impact Finance Function provides insights from seven finance leaders on transforming a finance function into a strategic powerhouse. It covers leadership, talent, technology, process optimization, and best practices to drive efficiency, adaptability, and business growth.

You can read full articles on Cube website or download the PDF version from NeoForm’s LinkedIn page.

Key Themes and Takeaways

1. Leadership: Being Human in Finance (Julia Coto)

• Effective Leadership: Focus on serving internal and external “customers” (e.g., departments, board, investors) by supporting their needs rather than enforcing rigid policies.
• Measuring Success:
  • Positive feedback from other departments and minimal complaints indicate effective leadership.
  • Strong relationships with the team and stakeholders are critical for collaboration and problem-solving.
• Resilience and Adaptability:
  • Foster psychological safety and prioritize tasks transparently to avoid burnout.
  • Balance strategic goals with day-to-day operations by empowering teams to own their roles.

2. Talent: Building High-Performing Teams (Dustin Walsted)

• Hiring Qualities: Look for candidates who are “hungry, humble, and smart.” Early-stage hires should be generalists willing to tackle tactical work.
• Retention Strategies:
  • Speed up the interview process and be transparent about company challenges.
  • Trust employees’ expertise and avoid micromanaging.
• Professional Development:
  • Offer uncapped budgets for learning to align individual growth with business benefits.
  • Foster cross-departmental collaboration to align teams with the company’s strategic vision.

3. Technology: Gaining a Strategic Advantage (Amanda Hoppe)

• Adopting Technology:
  • Use existing tools until they no longer meet needs, then prioritize solutions that address specific pain points.
  • Key features to seek: robust budgeting, scenario planning, and data categorization.
• Overcoming Hesitation:
  • Embrace short-term discomfort for long-term gains in accuracy and efficiency.
  • Automation reduces manual errors and frees time for strategic analysis.

4. Process: Enhancing FP&A (Allen Michaelis)

• Forecasting Accuracy:
  • Combine top-down and bottom-up approaches with input from department leaders.
  • Use FP&A software to streamline real-time adjustments and reporting.
• Communication:
  • Tailor financial insights to non-financial stakeholders (e.g., project spend reports for R&D leaders).
  • Act as a bridge between departments to align financial and operational goals.

5. Best Practices: Avoiding Common Pitfalls

• Maryna Higgins (Quona Capital):
  • Document processes early and automate scalable solutions.
  • Focus on storytelling to explain the “why” behind numbers.
• Rajat Wali (LawnStarter):
  • Break silos by engaging stakeholders across departments.
  • Adopt a learning mindset and avoid over-investing in unproven tools.
• Bryan Szwarz (Clearly Canadian):
  • Pace changes to secure stakeholder buy-in.
  • Balance detail in financial analysis to avoid overwhelm.

Conclusion

A high-impact finance function thrives on:

• Leadership that prioritizes relationships and strategic vision.
• Talent that is adaptable, collaborative, and continuously developed.
• Technology that automates workflows and enhances decision-making.
• Processes that are agile, data-driven, and clearly communicated.
• Best Practices like early automation, cross-functional collaboration, and scalable solutions.

Finance teams must evolve from transactional roles to strategic partners, leveraging tools to streamline FP&A and drive business success.