Whether organisations are looking to implement advanced technology, such as AI, reinvent their businesses through cloud modernisation, or accelerate their net zero journey, growth is the clear primary driver for change.
Steering organisations through change and towards growth requires skilled leadership, in which CFOs have a vital role to play. Finance transformations are currently being run by almost half (48%) of UK organisations, and a further 23% are planning them, according to our Annual CEO Survey.
Achieving transformation goals
The best CFOs are those with transformative mindsets, who focus on continuous change, take their people on the journey with them and measure efforts along the way. These leaders focus on driving value for the business, setting measurable goals and using data to drive decisions, track progress and evaluate success. This helps maintain momentum and drive lasting and sustainable change.
Change often unfolds unevenly across different business areas - there are organisational complexities that need to be coordinated under a coherent, ‘human-led, tech-powered’ approach. The development of strong change capabilities within the workforce is critical to this alignment, while new technology such as AI will help to transform at speed, drive new behaviours and excite people about the future.
Leaders need to understand individuals and teams on a personal level and encourage a culture of continuous learning and improvement. They should align performance evaluations and leadership development with their organisation's transformation goals. This not only prepares employees for technological shifts but will also help them drive future transformations. An empowered workforce, that is ready for further advancements in tech, will have a competitive advantage.
The role of technology, including cloud and AI, is to augment human capabilities, not replace them. For example, as GenAI tools become more intuitive and integrated into business processes, valuable human skills - such as applied judgement, creativity and critical thinking - will be in greater demand to ensure the tech is used effectively.
Three steps to success
We believe there are three key ways to successfully lead a finance transformation programme and embed change:
Create a movement for change
While technology has become synonymous with delivering business transformations, the role of culture can't be overlooked. Investing in tech means engaging and motivating the people who will use it - making sure teams have the right skills and capabilities to get the most out of it. This is key to the success of any transformation programme, and yet a worrying 40% of UK CEOs believe the tech capabilities and understanding of their people lag behind the demands of their strategic objectives, according to our CEO Survey.
The most effective CFOs lead through change by taking their people with them on the transformation journey. They have a transformative mindset, navigate change with strong leadership, strategic thinking, technological proficiency, and focus on continuous change. They take an inclusive approach, where leaders at every level are recognised as conduits of change and are nurtured and empowered to embed transformation. Investing in new skills across the board, identifying a 'network of influencers' and empowering middle managers, can help build trust and momentum - creating a workforce fit for the future.
Offer meaningful experiences
Bringing the future to life through personalised, immersive experiences will inspire people, deepen their understanding of change and enthusiasm for it. For example, in our client work we use so-called 'Show Homes'; pioneering spaces where teams can dive into an imaginary future, interact with real-time strategies and collaborate to solve problems. Experiential playgrounds, such as these, create a personalised experience to bring future concepts to life, while cultivating a hands-on, collaborative spirit.
Similarly, it helps to break away from conventional training methods and use tech and gaming. Our Virtual Escape Room, for example, is a fun, interactive experience that encourages teams to solve problems in different ways. Other experiential methods include Hackathons - which provide a safe environment for people to use new tech and test scenarios. This approach supports real-world use and innovation, and encourages teams to explore varying solutions and strategies more freely.
These transformative experiences not only serve as catalysts for change but redefine how organisations approach learning, collaboration, and communication. The fusion of immersive technologies, gamification, safe experimentation and dynamic communication channels propels businesses into a future where adaptability, engagement, and innovation take centre stage.
Maintain the momentum
Strategic decisions for any transformation need to be based around concrete data. By using advanced analytics and Key Performance Indicators (KPIs) organisations can proactively address transformation challenges and make informed decisions. These indicators would encompass a range of metrics, such as solution satisfaction, resistance to change, adoption rates, productivity and customer satisfaction.
By consistently tracking and analysing these indicators, organisations can effectively optimise their approach to transformation, assess their readiness for change, evaluate the implementation of change and measure the overall impact of their transformation. This creates a 'wrapper' around transformation programmes, allowing organisations to quantify the success of any initiative, as well as ensuring it aligns with any business objectives and drives them forward.
Ultimately, monitoring data helps organisations maintain and build on successes. But there's also a need to build a sustainable workforce that is capable of driving ongoing transformation. Using predictive analytics, machine learning and data mining, workforces can predict future trends or behaviours, optimise processes and make more nuanced decisions based on patterns.
The old way vs new way
A transformation programme is not a 'one and done' exercise. Teams need to be adaptable, flexible, comfortable with change and willing to experiment. A focus on a holistic blend of culture, learning and data will help organisations drive change successfully, while also demonstrating the tangible value delivered.
