What’s inefficient, hinders corporate progress, and stifles productivity? You guessed it—the financial budgeting process.
In an era where the modern CFO is steadily emerging as a strategic force—armed with real-time data and game changing insights—it’s clear that old-school, static budgeting procedures just don’t make the cut. An active budgeting process, on the other hand, is collaborative, comprehensive, and continuous—and can increase buy-in and accountability throughout the organization.
Disruption is one of today’s most popular buzzwords, and it shows no signs of slowing down in 2017. No matter how long companies have been in business, many claim that their technology, platform, or business will completely disrupt whatever industry it’s in.
But while those organizations may have a disruptive mindset, they don’t necessarily have a growth mindset. They focus on earnings and short-term numbers instead of long-term growth and value creation. And they use the same tried-and-true business processes that companies have used for decades—processes that will hamstring their growth while the competition leapfrogs ahead.
As the leading cloud and SaaS venture capital firm, Bessemer Venture Partners (BVP) knows a thing or two about cloud computing. So people took note when Bessemer published its 10 Laws of Cloud Computing and SaaS several years ago.
The goal was to point out that, in order to run on-demand businesses, business leaders must abandon many of their legacy “best practices” in favor of new principles suited for a new type of market.
A lot has changed since the original presentation went viral. A few years back the cloud industry reached $100 billion in net worth. Bessemer’s cloud investment portfolio has grown with the industry and includes many of the fastest-growing cloud companies today (including yours truly). Meanwhile, just about every business process is being cloudified and those startups that hit it big are scaling faster than ever before. Continue reading →
Planning a corporate budget, always a challenge, and it certainly is getting any easier, especially as the role of finance is under pressure to become more strategic
So today, with 2017 fast approaching, we review two of the four functions of successful business budgeting as defined in the Harvard Business Review’s, “Budgeting Seeing the Future.” Below is the short and sweet version of the first two main functions. Continue reading →
There’s no time like the present to invest in modern technology. The longer you wait, the more entrenched your company will become in clunky tools that are out of touch with today’s business needs.
As it relates to financial planning, budgeting, and forecasting, old-world processes can lead to costly errors, leaving the finance team scrambling to fix spreadsheet mistakes and sucking up time gathering data rather than analyzing it and providing valuable insights to decision-makers.
So how do you know if it’s time to switch to a modern finance system? Here are three of the most telling signs:
Adaptive Insights teams share their ideas during a science fair-style presentation for Innovation Week.
While ongoing innovation is the cornerstone of a company’s success and sustainability, sometimes the process of inspiring innovation on a continuous basis can be a challenge. Great ideas and technology build great companies, but how can you create an environment that truly fosters creativity over the long term? Many high-profile companies have actually documented their philosophies on the requirements for inspiring innovation. Google, for example, has published its “9 Principles of Innovation.”
As a recognized innovator in cloud corporate performance management (CPM) software, Adaptive Insights also believes in creating an environment that fosters innovation. To that end, the company recently hosted our first official “Innovation Week” that resulted in some breakthrough solutions. How did we inspire the bright minds housed under our roof? What contributed to the success of this event? We followed three key guiding tenets: commitment, collaboration, and competition. Continue reading →
Finance leaders and corporate executives continue to sound off on their views surrounding the future of the economy, voicing concerns and identifying opportunities. In light of these views, it appears that M&A and hiring activities could be on the upswing in various regions around the globe, and North America could be a top region for growth. Meanwhile, CFOs at billion dollar companies are not only concerned about global issues like market volatility in China and currency fluctuations, but are also continuing to juggle and struggle with growing amounts of data.
Finance leaders are also moving cost reduction back to the top of the priority list. What are some sources for cost reduction in your organization? Your utility bill may be consuming a larger percentage of the operating budget than you think. Finally, ethical and professional behavior can’t be left up to chance. Learn how one CFO turned around a broken organization by establishing clear ethical guidelines and professional practices.
The primary themes this week are growth and good decision-making. The release last week of the Deloitte 2015 Technology Fast 500™ list provided a view of the companies and technology industries that are on the fast track to growth. What can you do to drive growth in your company? Kathy Crusco, CFO of Epicor, explains why the best decisions require access to the right kind of data. Of course, a little help from outside sources never hurts either. Tax code reform has been on the table for years, but experts disagree on what reform should look like. This week’s articles gather input from five sources on the topic. Finally, rolling forecasts can be far more effective than cumbersome yearly annual planning. We’ve provided five steps to successfully implementing rolling forecasts in your organization.
It’s Friday, which means another edition of CFO Must-Reads as we usher in the month of September (a.k.a. the unofficial beginning of planning and budgeting season). And in keeping with this timely theme, we’ve put together a quick-hitting list of articles to help you keep your FP&A process on track–from highlighting the value of a classic zero-based budgeting practice to a list of the top KPIs that should be on every CFO dashboard. To top it off, we’ve even broken down what it means to be a “strategic CFO,” according to current finance chiefs themselves. Consider it our way of helping you prepare for your most successful and efficient budgeting season. Happy reading!