Enabling Decisions

MINDSET MATTERS: THE ROLE OF CFOS IN CULTIVATING A CULTURE OF GROWTH MINDSET

INNOVATION VS RESPONSIBILITY: THE ROLE OF ETHICS IN AI-DRIVEN FINANCE

INTRODUCTION

Welcome to the fourth (!) edition of “Enabling Decisions”. We are delighted to offer you another glimpse into the topics currently sparking our and our client’s interest. The articles packed inside are designed to provide insights and ideas as you consider ways to help your business to thrive. They also provide our team and guest writers an opportunity and platform to express themselves which is an important part of who we are as inlumi.

In this edition we delve into the core of what we do as a business which is to help drive value through technology investment. We explore the drivers behind automation and consider the ways it is changing ,for the better, and how people spend their time. Of course, we haven’t overlooked the always topical ESG and take a deep dive into sustainability, greenwashing, and an exploration of the morals behind our social responsibility in the workplace setting. In doing so we don’t let our own organisation of the hook and take the time to reflect on our own efforts and contributions to making this world a better place. We also examine the mindset of the CFO and why it matters in an environment of continuous change and the broadening of the impact the Office of Finance is expected to have on the organisation it serves.

Helping your business thrive

Last but not least, we are particularly excited to feature an article by Sam Kunda, founder of Change Frontier LLP. In this piece, Sam discusses overcoming data complexity through data integration. He provides examples of frameworks and strategies for successfully navigating these complexities and offers valuable tips on how to navigate your journey.

We hope you find this edition both informative and thought-provoking. We aim to provide you with the insights and tools you need to make informed decisions that will propel your business forward.

Happy reading!

Ashley Chapman, CEO inlumi.

HOW TO GET THE MOST VALUE FROM YOUR LATEST TECHNOLOGY INVESTMENT

EVOLVING THE FINANCE OFFICE THROUGH THE AUTOMATION REVOLUTION

MEASURING CHANGE SUCCESS

MINDSET MATTERS: THE ROLE OF CFOS IN CULTIVATING A CULTURE OF GROWTH MINDSET

DEMYSTIFYING CORPORATE SOCIAL RESPONSIBILITY (CSR)

INNOVATION VS RESPONSIBILITY: THE ROLE OF ETHICS IN AI-DRIVEN FINANCE

OVERCOMING DATA COMPLEXITIES WITH INTELLIGENT DATA INTEGRATION

How to get the most value from your latest technology investment

Effective technology investments align with business strategy, driving growth and efficiency. By understanding business needs, choosing the right tools, and fostering continuous improvement, companies can maximize their technology’s value, ensuring it supports long-term success and adaptability in a dynamic market.

BY LAVINIA NEGOITA

I. INTRODUCTION

TECHNOLOGY investments now account for an increasing portion of corporate spending, with many organisational stakeholders expecting these investments to align with their overall business strategy. Technology is reshaping all industries, with companies continuing to make sizable investments. According to Deloitte’s 2023 Global Technology Leadership Study, the average technology budget when compared as a percentage of the revenue has increased to 5.49%, from 4.25% in 2020. (Bayiates, 2024) “The tech function is critical in driving the future of our organisation since it’s the tech function achieving the majority of our strategic goals,” says one Executive Vice President of technology and projects at a Financial Services company. “I want to position the tech function more as a strategic advisor and partner that brings value and helps ensure our company is moving in the right direction.” (Deloitte, 2023)

And he’s not alone in his thinking; studies have demonstrated a strong correlation between profitable growth and well-aligned technology. Technology investment is critical for every business, as it provides key insights into the company’s performance. It’s not just reports, it’s a whole set of processes, and tools that CFOs can use to create visibility between the company’s departments, collaboration between all employees and unification of the organisation’s goals.

Organisations have been using technology for decades – from manual paper processes, to spreadsheets, to on-premise and cloud-based solutions. The result? Solutions are accessible from anywhere in the world, simplify collaboration and enhance visibility across various aspects of the company.

Any solution that is intended to shake the current standards and processes will require backing from the company’s resources. In the following paragraphs, we will touch upon tips and best practices for maximising the value of your recent technology investments.

II. UNDERSTANDING YOUR BUSINESS NEEDS

In today’s modern age, the question “should we invest” in technology is no longer asked, but rather “when and how will we implement the right technology for our business to thrive?”.

The first step towards this is understanding the business needs, alongside a clearly defined list of objectives and goals. One should start by running an inventory of all existing technology solutions, to ensure that there are no duplicates, or that you will not invest in something with similar capabilities. This way, your tech stack will be improved. Once you have defined the list, make sure you know your goals – what can technology provide to your business, and how it can streamline the workload.

With technology, it is highly critical that your business is clear on its investment rationale, and choosing the right tool for the benefits that it will bring and the problems it will solve. As with any tech solution, you are likely to encounter new challenges, as there will always be pros and cons.

Tech ‘FOMO’ can underpin bad decisions. Simply because your competitors are using a certain new system, this doesn’t mean it’s the right fit for you. Consult the wider business and discuss with key personnel, create a business case together and then begin researching for the next technology investment. (PropelTech, n.d.)

III. CHOOSING THE RIGHT TECHNOLOGY

When making this decision, a critical point to consider is balancing short-term and long-term strategies, to ensure that the technology choices are future-proof, whilst also delivering immediate value to both your user base and CFO.

When choosing the technology that is right for you, the following should be considered:

Security and compliance;

Software selection services and advisory services;

Cloud solutions; Managed services offers; Business analytics and AI; and Change management.

Don’t forget to get the team onboard, stay updated on technology and the latest market trends and always select technology with flexibility in mind.

IV. IMPLEMENTING THE TECHNOLOGY

To ensure a successful implementation, it is essential to adhere to several best practices:

Perform robust training - to empower users to utilise the system in an efficient way.

Adopt change management - as it plays a critical role in the overall implementation process by addressing resistance in the company, communicating the benefits, and supporting your users through the transition, thus ultimately ensuring the implementation’s success and sustainability.

However, successfully implementing a modern technology requires more than merely “plugging in” the software. The outcome of the implementation will rely on the experience and expertise of the selected partner, making it crucial to apply the same rigorous standards to choosing your implementation partner as you do when selecting the technology itself.

V. MAXIMISING THE VALUE OF THE TECHNOLOGY

There are a number of ways to maximise the value of your technology investment:

Create a detailed plan - to set clear objectives and timelines for the teams; Have comprehensive requirements - to have clear definitions of the final result; Define testing procedures - conduct rigorous tests to identify and resolve issues prior to production deployment; Invest in a single -vendor solution –with this approach, you will eliminate the need to create multiple data flow integrations, align data, or even juggle multiple vendor contracts;

Shift to cloud – as this has increased agility and flexibility, reduces IT staff cost and operating budgets;

Take advantage of your partnership with the implementation partner – stay closely connected and informed of technology upgrades;

Keep an eye on the vendor website, or register for the online community or newsletter, to keep up to date with the latest releases.

Now that the new system is up and running, here are a few tips to consider, to maximise its benefits with your users:

Continuous communication – use of internal email newsletters with tips and tricks on how to use the system, keeping the users engaged, showcasing how their productivity can be increased and life made a little easier. It’s always useful to see how one can improve the analysis of the data, discover new trends in the data, etc.

VI. CONCLUSION

Take advantage of training opportunities – whenever a new software version is released, the vendors or implementation experts should be able to provide updated training services, or webinars that present the new functionality. Look out for eLearning possibilities, or even in-person trainings that provide the opportunity to connect with related users from the industry;

Create a culture of continuous improvement – encourage users to come up with new ideas, even the most mundane finance activities can be enhanced, and therefore productivity increased;

And remember to evaluate the performance of your technology initiatives regularly. Technology is a tool designed to enable you to achieve your business objectives; it requires ongoing reassessment and adaptation to stay competitive and align with your evolving business needs.

Changing technologies or adopting something new, doesn’t have to slow down your business. When deciding how to allocate your budget, collaborating with the right professionals will guide you in the right direction. The team at inlumi have the knowledge, experience and tools to guide you on a seamless technology journey, whether you’re implementing minor changes or embarking on a significant finance transformation.

REFERENCES:

Bayiates, A., 2024.

Available at:

Deloitte, 2023. [Online] [Online]

Available at:

PropelTech, n.d. [Online]

Available at:

Evolving the Finance Office through the Automation Revolution

The automation revolution, fuelled by AI and ML, is transforming industries by enhancing efficiency, productivity, and safety. This rapid evolution offers vast opportunities but also poses challenges, requiring strategic implementation and communication to maximise benefits while addressing potential risks.

BY EDWARD WATSON AND SVETLANA TULAI

The automation revolution has been driven by the introduction of new technologies, machines, and processes that have progressively increased the role of automation in our society. The ultimate goals of this evolution have been to enhance efficiency, productivity, safety, and convenience. (Bong, 2022)

From the outset, people have continually sought ways to optimise their tasks, with this process being gradual but steady. However, in the past decade, there has been a significant shift from a modest evolution to a full-fledged revolution, particularly due to advancements in artificial intelligence (AI) and machine learning (ML).

These cutting-edge technologies have enabled the development of sophisticated automation systems that can learn from data, adapt to new situations, and make decisions with minimal human intervention. As a result, automation has become more pervasive and transformative, impacting various aspects of our lives, from manufacturing and transportation to healthcare and finance. Nowadays automation is everywhere, and its penetration and sophistication are increasing.

“ Automation has become more pervasive and transformative, impacting various aspects of our lives

The revolution in automation has brought both opportunities and challenges. On the one hand, it has the potential to create new jobs, improve productivity,

and drive economic growth. On the other hand, it raises concerns about job displacement, privacy, and ethical issues. Therefore, it is crucial to approach the automation revolution with a thoughtful and strategic mindset, considering its benefits and drawbacks and ensuring that it is implemented in a way that maximises its potential while minimising its risks. It is also key to keep the true purpose for the implementation of automation embedded into the change roadmap to enable focussing efforts on where the automation can have the biggest impact whilst also supporting clear and concise communication.

Considering these challenges, what factors can facilitate the enablement of the automation revolution in the Office of Finance and contribute to the whole organisation’s success on this transformative journey? How can a CFO inspire their team to wholeheartedly embrace the automation revolution and provide the essential support for them to fully leverage its benefits?

DEMYSTIFYING AUTOMATION

The first challenge is overcoming the natural human resistance to change. However, this can be achieved by cultivating a deep understanding of the positive impact of automation on daily work and the overall success of the company within the Office of Finance. It’s crucial for top management to have a clear view of this impact and communicate it effectively throughout the organisation. By doing so, we can shape the innovative future of the Office of Finance and help the company stay competitive in the everevolving business landscape (Anon., 2023).

By demystifying what, how and why behind the automation further benefits can be unlocked by those closest to the change. Their input can support the alignment of the goals to where automation and technology can be most effective.

INVESTMENT IN TRAINING AND ADVANCED TRAINING

The Office of Finance should recognise the significance of effectively educating its resources and aligning them with the direction to support the automation revolution. Identify potential and talented individuals across various divisions within the company who are eager to make a meaningful impact and leverage modern technology. Involve them from the early stages of this transformative process, offer essential training, and support them in becoming subject matter experts (SMEs) and messengers of automation not just within the Office of Finance but throughout the entire company.

CREATING A CULTURE OF ADAPTABILITY

ACROSS THE ORGANISATION

Top management should lead by example when it comes to demonstrating adaptability to automation. By actively incorporating automation in decisionmaking and responses to challenges, management can show that they are committed to embracing automation and encourage others to do the same. When employees see leadership embracing change and showing enthusiasm for new technologies., they are more likely to follow suit and adopt new technologies with a positive attitude.

To promote the adaptability of automation, it is essential to recognise and reward individuals and teams showcasing flexibility in embracing automation. This approach not only acknowledges those currently adapting but also serves as an inspiring example for others to emulate.

It is key to also embrace a culture open to mistakes, and not afraid to dare to try new things and potentially fail. With this forgiving culture not only does this reduce the stigmas of uncertainty and fear behind automation, but it also encourages employees to become innovative themselves and learn through errors. It is also through mistakes that the greatest lessons are learnt.

COMMUNICATION OF BOTH THE POSITIVE IMPACTS AND THE CHALLENGES OF AUTOMATION

Leveraging automation technologies requires continuous communication of their positive impacts and challenges on the office of finance. Communicating effectively and providing support and guidance can help ensure that all stakeholders can adapt to the changes brought about by automation and leverage the technology to its fullest potential. Continuous communication can take many forms, such as town hall meetings, training sessions, and regular updates via email or other communication channels. Adapting the style and format of communication to meet the specific needs and preferences of each stakeholder group is paramount for success.

Effective communication from top management is also crucial in conveying forthcoming changes resulting from automation, outlining how employee roles

will evolve. Both top management and HR must proactively engage by offering essential support and guidance to assist employees in adapting and excelling within the transformed environment. This support may encompass tailored training programs, mentorship opportunities, and transparent communication highlighting the advantages of embracing automation.

PREPARING FOR AN AUTOMATED FUTURE

To achieve success in automation a process of standardisation is required to simplify the complexity that automation has to handle, enabling the integration of automated systems with greater efficiency. By standardising processes, data, and rules, the Office of Finance can ensure that they are consistent, repeatable, and predictable, which are all key factors for successful automation. This also increases the transparency and visibility over where and how automation can have the most effective impact.

Once internally prepared for automation consideration needs to be given to the current and future technological trends, identifying the best fit futureproof solutions for the direction of your business. A recent Deloitte survey in conjunction with the Institute of Management Accountants (IMA) showed that whilst current solutions seek to automate processes, redirecting the finance professional to focus on the more complex and value-added tasks, the future will be a more balanced position between human and machine-based competencies, leveraging AI and ML to streamline more dynamic and complex assignments with future-ready financial professionals focusing their skills on being able to be analytical, adaptive, agile, and anticipatory. (Anon., n.d.)

CONCLUSION

The automation revolution is reshaping the Office of Finance with technology streamlining processes, increasing data integrity and allowing the current and future finance professionals to focus their time on the more complex and value-added analytics. This also means the finance team can be more agile and react faster to trends and developments. To achieve this automation needs to be embraced in the right way to evolve the office of finance as misconceptions and lack of knowledge can fragment and unsettle the team. Evolution is hence achievable through clear communication, demystifying what automation means and sharing the vision of how automation will integrate into the Office of Finance, investing in training, working to achieve an agile culture of adaptability to change and preparing current operations and processes for an automated future.

REFERENCES:

Anon., 2023. Anon., n.d. The future of automation in finance

Bong, N., 2022. The Evolution of Automation. [Online] [Online] [Online] Available at: Available at: Available at:

Measuring Change Success

How do we know whether or not a project has been successful? Measuring change success requires more than avoiding failure; it involves establishing specific success criteria from the start, setting clear targets and continuously measuring progress along the journey.

BY LAUREN HARGREAVES

Ineffective communication, poor data quality, lack of executive support, insufficient resources…there are a myriad of reasons why a project may fail. It’s a focus point of many project teams, and over the years a better understanding has been established of these reasons and how to overcome them. However, the focus often tends to be on the word’ fail’ without stopping to consider what this failure means or how it is measured. Or, to flip it on its head, if this is classed as a failure, how does one go about measuring success?

Projects are interesting creatures, while some may be very similar in nature, their success criteria may be very different. To take a very basic example, company X and company Y may decide to implement the same ERP tool. While X considers it a success if all users have been trained, fewer resources are needed to process data and a successful parallel run has been performed, Y may include different measures such as achieving a certain annual cost-saving, using data quality metrics and based on end-user feedback. Looking at this, it wouldn’t be very fair to compare the success of company X to the success of company Y as each company defines success very differently. In essence, change success isn’t so clear-cut.

So if there are no set criteria for success, how does one know whether or not a change has been successful? Or to take one step further back, what does change success actually mean?

“ Organisational change requires individual change

STARTING WITH THE END IN MIND: DEFINING CHANGE SUCCESS

WHAT IS NOT DEFINED, CANNOT BE MEASURED

(Gray, 2017).

Prosci, a well-renowned organisation focused on change management, has developed many methodologies focused on supporting individuals and organisations through change. One such methodology, the Prosci Change Triangle (PCT) Model, is comprised of four critical aspects for successful change with ‘Success’ being one of them. According to Prosci, it’s critical to provide a ‘definition of success for change, which includes the reason for the change, project objectives, and organisational benefits’ (Anon., n.d.).

Another Prosci framework, the 3-Phase Process, sets out that success should be defined at the outset of the change process as it plays a key role in establishing the change approach (Anon., n.d.).

What’s clear here is that when measuring change success, an organisation needs to start with the end in mind. Being able to clearly define what success looks like at the start of a project puts an organisation in a better place to develop strategies to achieve this success and to start thinking about how progress towards success can be measured.

Defining success, however, is easier said than done as change is felt on many different levels within an organisation. While one’s first thought may be to consider what success means for the organisation as a whole, Prosci methodology argues that ‘organisational change requires individual change’ (Anon., n.d.), pushing us to consider

the change on both the organisational and the individual level. Arguably, when considering success, this could be translated to organisational success requiring individual success. However one chooses to see it, considering success on both the organisational and individual level helps provide not only a more rounded definition but also one that may be easier for stakeholders to get behind. Why? It helps answer the key question everyone wants to know: ‘What’s in it for me?’.

An important initial consideration is who should be involved. While it may be more efficient to only involve senior executives in this exercise and may prove to be effective, there is a missed opportunity to create organisational alignment on the definition of success. Broadening this group to include key individuals from stakeholder groups impacted by the change builds clarity on what the outcomes are and builds engagement at an early stage. It helps focus the collective efforts on working towards the same thing and starts the change journey out with momentum and purpose. Lastly, as is key in any change effort, it allows for a more collaborative approach going forward. While there may not be an ‘I’ in ‘team’, there’s no ‘I’ in ‘change’ either.

BREAKING DOWN THE SUCCESS DEFINITION INTO TANGIBLE MEASURES

With success clearly defined (meaning the reason for the change, the project objectives, and organisational benefits have been set out and agreed upon) (Anon., n.d.), the next step in the process looks to determine how success should be measured. This looks at breaking down

the objectives and benefits previously identified into something more tangible. For example, if an objective of a change is to reduce the close timeline, then the measure could be the number of days in the close cycle. If a benefit of a change is users spending more time on valueadding activities (such as analysing data) then a metric here could be a ratio looking at the percentage of time spent on valueadding activities during the close process compared to non-value-adding activities.

An important point to consider when determining measures is that they need to be realistic. Being able to determine the average number of hours each user spends processing data into a system may be extremely useful, but it may not be possible to do or may take a considerable amount of time and effort to determine. Measures that are feasible to gather based on resources available and measures that are meaningful in assessing progress towards achieving the defined success should be prioritised.

Looking at Prosci’s ADKAR model, which looks at facilitating individual change, it’s probable that some measures may be subjective and require feedback from those impacted by the change (Anon., n.d.). The fact that this data may initially be qualitative doesn’t mean that it can’t or that it shouldn’t be used. For example, feedback obtained via a survey can easily be converted into quantifiable data if thought is put into the question type. Again, it’s starting with the end in mind.

Think about what needs to be asked, then think of the best way to ask this so that it can be quantified and tracked going forward.

DETERMINE THE BASELINE AND SET TARGETS

Once the success measures have been defined, the next step looks at setting the targets and determining the current baselines.

The targets provide a view of the path to success, and what’s great about having these targets is that it allows an organisation to ‘generate shortterm wins’, one of the steps in Kotter’s 8-step framework for leading change (Anon., n.d.). Projects can be lengthy, some being several months and some going over several years. Once targets are set, smaller milestones can be set up to measure progress along the way. This serves to motivate and encourage stakeholders in what may otherwise be a long, tiring process with little to no sign of progress.

This may be as simple as setting up a framework or dashboard can be set up, showing the targets for each measure and the current baseline and allowing stakeholders to monitor progress towards success.

INCORPORATING CHANGE MEASUREMENT INTO THE PROJECT’S GOVERNANCE STRUCTURE

With success defined, measures established, baselines gathered, and targets set, the next step is to assign accountability for measuring progress. Having this as a formal part of the project’s governance structure helps remove any grey areas and ensures everyone is aware of their roles and responsibilities in this regard. There needs to be clarity on who’s responsible for each measurement, how frequently progress should be assessed, where this information should be recorded, and how this information is reported to key stakeholders.

“

What is not measured, cannot be controlled.

(Gray, 2017)

DEALING WITH HURDLES ALONG THE WAY

WHAT IS NOT MEASURED, CANNOT BE CONTROLLED.

(Gray, 2017)

The road to success isn’t always easy, but with success clearly defined and measured one is better able to identify when things aren’t progressing as they should be. A key part of the measurement process involves identifying and flagging when progress isn’t in line with expectations so that this can be proactively assessed and addressed. Having clear guidelines and processes on issue management ensures the right people are informed, and that prompt and appropriate action is taken.

ENDING WITH THE START IN MIND

The Merriam-Webster dictionary defines success as a ‘favourable or desired outcome’ (Anon., n.d.). While this may be true, when it comes to ‘change success’ it’s clear that organisations need to

be a bit more specific in defining both ‘success’ and what success means to them. In this way, the journey starts with a clear view of the destination and progress can be measured throughout. And, when the finish line is crossed, expectations are more likely to be met as there was never any doubt over what the project initially set out to achieve.

REFERENCES:

Anon., n.d. Merriam-Webster.

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Anon., n.d. Prosci 3-Phase Process.

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Anon., n.d. The 8 Steps for Leading Change.

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Anon., n.d. The Prosci ADKAR Model.

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Anon., n.d. The Prosci Change Triangle (PCT) Model.

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Gray, E., 2017. Measuring Success: An Introduction to Metrics.

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Mindset matters: The role of CFOs in Cultivating a Culture of Growth Mindset

CFOs play a pivotal role beyond financial stewardship—they are catalysts for cultivating a growth mindset throughout their organisations. By embracing continuous learning and strategic risk-taking, they promote adaptable cultures that can navigate dynamic markets and achieve long-term success.

BY MATHILDA ELFVENDAL, ROCHELLE JEAN-PIERRE

Mindset matters. The ability to inspire, motivate and maintain focus on the aspect of your business that matter most is crucial to create success (Banholzer, et al., 2023). In this article we will look at how CFO’s can champion growth mindsets by cultivating it. CFOs who champion a growth mindset are pivotal in shaping their companies’ futures. They transcend traditional financial management to a leadership style that embraces opportunity, creativity, and innovation. This mindset pushes organisations towards growth and fosters a culture of continuous improvement and creativity.

By implementing feedback mechanisms and promoting collaboration and openness, their influence can be extended to foster a culture that prizes transparency and cross-functional interaction. Here, setbacks are seen as learning opportunities, encouraging the collective to work toward personal and organisational goals. In this environment, fear and stagnation are far less evident.

“

Encouraging a growth mindset involves more than just structural changes; it requires a shift in corporate culture towards continuous learning and innovation

more fixed by nature. Employees with a growth mindset tend to be more willing to tackle challenges. In contrast, those with a fixed mindset may find pushing their limits hard, potentially making them miss development opportunities. Studies show that we must practice keeping a growth mindset throughout our careers. Carol S. Dweck, a world leading wellknown psychologist within motivation and mindset refers to a growth mindset as allowing people to value their actions regardless of the outcome (Dr Dweck, 2007). “They’re tackling problems, charting new courses, and working on important issues”. Her studies also show that nurturing a growth mindset can empower individuals to reach their full potential.

Many companies have successfully shifted their employees from a fixed mindset to a growth mindset through strategies, including mentoring, training, and workshops that emphasise personal development (Brar, et al., 2024). These initiatives reframe the perception of mistakes from detrimental to valuable learning opportunities (Doherty, et al., 2023). CFOs can champion this culture by setting long-term goals that transcend typical financial targets, focusing on broader organisational innovation, practising empathy, actively fostering an inclusive culture that values diverse perspectives, being open to new ideas and being ready to pivot in response to new information or market conditions.

A growth mindset believes you can improve your abilities and skills through practical learning and feedback, while a fixed mindset believes talents and intelligence are not changeable; they are

Recent studies highlighted the significant transformation in the role of the CFO (Birshan, et al., 2022). This evolution reflects a shift towards a bolder, more expansive strategy, where CFOs leverage diverse strategies to drive cost savings and identify growth opportunities (Bradley & Doherty, 2023). The research points out that such a mindset and a strategic

approach to technology can significantly enhance organisational success. Research findings highlight the growing importance of emotional intelligence in the finance sector. Future CFOs are expected to excel in handling ‘people issues’ such as diversity and well-being, which are vital for leading transformative initiatives. However, there needs to be more focus on leadership development, as 52% of nonCFO respondents feel that their CFOs need to dedicate more time to mentoring. The study suggested that CFOs should develop robust mentoring programs that foster strong relationships and offer transparent, constructive feedback.

Research reveals a significant gap in perceptions of collaboration during transformation efforts (Lacey, et al., 2023). While nearly half of finance leaders believe their processes foster interdepartmental cooperation, only a third of finance employees concur. This disconnect indicates that finance teams might feel their insights and contributions are undervalued. To bridge this gap, CFOs are encouraged to dismantle traditional hierarchical structures and promote an inclusive, cross-disciplinary approach that values all employee contributions. Such strategies enhance collaboration and empower employees to redefine their roles and workflows, integral to cultivating a growth-oriented corporate culture.

There are also shown to be strategic advantages of harnessing crossfunctional teams to cultivate a growth mindset (Groves, et al., 2023). These teams, which blend diverse skills and perspectives, significantly enhance a company’s adaptability and innovation, which is crucial for responding to rapid market changes. This approach lowers operating costs, boosts profitability, and allows companies to experiment and learn effectively in dynamic business environments.

Encouraging a growth mindset involves more than just structural changes; it requires a shift in corporate culture towards continuous learning and innovation (Dunn, 2023). To do this, CFOs should champion initiatives that help employees experiment and learn from each outcome, embedding a philosophy of constant improvement (KnowledgeCity, 2024). Actions recommended include incentivising curiosity, co-creating new operational practices and utilising organisational culture champions to gather feedback and refine these practices.

Some CFOs plan to use AI to enhance customer experiences, improve decisionmaking, and automate routine tasks (Corson, 2023). These initiatives drive efficiency and free up human capital to engage in more complex, value-adding activities. Furthermore, the focus on talent management—emphasising retention, work/life balance, and cultural enhancement—reinforces this growth mindset by ensuring that employees are both the drivers and beneficiaries of transformation.

Ruth Porat’s tenure as CFO at Google exemplifies the evolving role of CFOs in managing finances and actively influencing corporate strategy and future

direction. Her strategic initiatives provide a blueprint for how CFOs can effectively contribute to broader business objectives. By investing in community support, technological innovation, and market expansion, CFOs like Porat stabilise their companies during challenging times and strategically position them for sustainability, competitive advantage, and long-term success. This multifaceted role emphasises that today’s CFOs are pivotal in steering their companies through complex landscapes, making them indispensable in the C-suite.

Another emerging trend is integrating sustainable finance and social principles into strategies and corporate ethos. They helped to build resilience in an increasingly environmentally conscious world. Through these initiatives, CFOs position their firms favourably in the marketplace and demonstrate a commitment to fostering a sustainable future, which is increasingly important to investors, customers, and employees.

As CFOs broaden their roles beyond traditional financial oversight, they have a unique opportunity to champion a growth mindset within their organisations, driving innovation and long-term success. Through embracing this expanded role, CFOs can influence far-reaching cultural and strategic transformations. This approach supports a more resilient business model and cultivates an environment where continuous learning and strategic flexibility become core organisational values.

To successfully foster this growth mindset, CFOs should encourage their teams to engage with data more critically, fostering a culture where decisions are consistently informed by insights rather than intuition. Moreover, they should lead by example, demonstrating resilience

and a commitment to continuous improvement, challenging traditional success metrics to include factors like innovation and adaptability. CFOs can also be crucial in driving organisational change by promoting collaboration across departments, ensuring transparency, and advocating for strategic risk-taking that aligns with the company’s broader goals.

Ultimately, by redefining what it means to succeed in the modern business landscape, CFOs can ensure their organisations are well-equipped to navigate the complexities of today’s markets and emerge stronger from future challenges. They are urged to continue this transformation, pushing the boundaries of their role to leverage emerging trends and technologies that further embed a growth mindset within their corporate culture. Mindset matters.

REFERENCES:

Dr Dweck, C. S., 2007. Mindset. Chicago: Ballantine Books.

Banholzer, M. et al., 2023. Courageous growth: Six strategies for continuous growth outperformance.

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Birshan, M. et al., 2022. Choosing to grow: The leader’s blueprint.