With the world’s increasing dependence on IT, CFOs need to be more in tune with technology than ever. David Adams finds out how finance professionals have made IT their business.
No two CFO or FD roles are exactly alike, but historically most have tended to share some key characteristics. One was that the CFO would generally have overall responsibility for monitoring and reporting to the board on the work of the IT function and its financial requirements. Even so, it was generally the case that the CFO’s knowledge of IT, ability to explain the work of the IT team in operational or technical terms, and their appetite for deeper involvement either in the detail of individual IT projects or in IT strategy, tended to be fairly limited. Today there are some signs that this is changing.
Organisations of all kinds are ever more dependent upon technology for most aspects of their operations; issues such as cyber security and the need to develop more effective data management processes to maximise revenue and reduce costs are climbing up the agenda in many boardrooms. A growing number of CFOs are taking a more active role in management of the IT function and in helping to de¬fine the organisation’s aspirations for use of technology. What benef¬its could this shift in the CFO’s role bring to an organisation? And what potential problems could it create?
This is an extract from the Finance & Management Magazine, Issue 238, December 2015.
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