The research for KPMG’s Value of Connection report uncovers that just over a third of the senior executives questioned are very satisfied with the alignment between finance and operations.
Key findings of the survey:
- Just 38 percent of senior executives within the two functions are very satisfied with the alignment of objectives and key performance indicators (KPIs) across the two teams.
- Less than half of the finance and operations leaders surveyed said key business processes are fully connected across their functions, and only 41 percent are very satisfied with the ability of the IT systems of separate functions to interact.
- Less than half of finance and operations leaders are very satisfied with their use of data for key business processes, with just 42 percent being very satisfied with their ability to make informed decisions based on data.
- 85 percent of finance and operations leaders want to play a greater role in driving enterprise-wide transformation in the next three years.
- 98 percent of finance and operations leaders are seeking to obtain new skillsets for their function; however, seven in ten only think about the needs of their own function when obtaining new skills.
- The vast majority of leaders (97 percent) plan to invest in at least one new technology during the next 18 months; however, 74 percent do not coordinate with other business functions when acquiring and implementing new technology.
This disconnect highlights an important challenge for business leaders as unconnected processes, siloed systems, differing priorities, and disagreements over responsibilities cause divisions between the two functions, which can impact overall company performance and informed decision-making.
The wide-ranging report also finds that collaboration is vital to overcome these challenges, with successful companies helping to bridge the gap through data sharing, integrated technology, internal efficiencies, and the creation of seamless customer experiences.
Meanwhile, those that fail to align the two functions may risk sub-optimal decision-making, inefficient resource allocation, missed opportunities, and weakened customer experiences.