Survey reveals challenges C-Suite faces with lean finance teams.

TLDR:

• Nine in 10 finance decision makers describe their finance teams as “lean” and “overextended”.
• Lean finance teams create high risk of costly errors and missed deadlines, especially around accounts receivable, insufficient time to focus on strategic initiatives, and inability to scale teams and skills to align with rapid company growth.

Article Summary:

An issue keeping most finance decision makers up at night is having lean or overextended teams, a new Paro survey reveals. The survey conducted last February found that tight budgets, increased competition, and rapidly changing market dynamics have led to finance teams being described as “lean” and “overextended” by nine in 10 decision makers. This situation creates a high risk of costly errors and missed deadlines, especially in areas like accounts receivable, lack of time for strategic initiatives, and inability to scale teams with company growth.

Specific staffing challenges, such as complex IRS audits, lead finance executives to seek short-term solutions like temporary hires or outsourcing. However, what decision makers really want are long-term strategic solutions that provide stability and expertise. Many companies are considering AI as a potential solution to staffing struggles, with respondents seeing AI as a tool for handling tactical work, allowing teams to focus on more complex and strategic activities.

Despite the benefits of AI, some participants feel that it is not yet ready for full implementation. The survey highlights the urgent need for specialized strategic finance solutions to address immediate pain points and ensure sustainable long-term growth and resilience in finance departments.