Finance leaders today face unprecedented levels of risk, from geopolitical conflicts, macroeconomic volatility and rapid advances in technology. Navigating this environment requires leaders across the organization to maximize their value-add.
For CFOs, this means looking beyond finance functions and stepping into the role as a strategic advisor for the organization: One who can leverage finance operations to power growth and resilience. And it’s also reshaping the role for additional finance executives across the company, who are called upon to provide fresh insights to support the CFO in their expanded, more strategic role.
Done well, this not only enables finance executives to demonstrate their value to the company. It also gives them an opportunity to move the organization forward, providing fresh perspectives that can reshape the future of the company.
Here, we’ll discuss strategies for finance leaders to “pull up a seat” with the C-suite, sharing best practices to gain cross-functional alignment and transform your vision for the organization into reality.
Build consensus with strategic visioning
Shifting your focus from finance operations to higher-level strategy calls on executives to hone new skills. And chief among these is the ability to integrate cross-functional perspectives into a shared strategic vision.
“Finance is there to power the company’s journey toward its goals,” says Tony Grayson, vice president and head of Commercial Card Optimization and Consulting at U.S. Bank. “As you step into a more strategic role, you’re working with the C-suite to align on a destination, then going back to your finance teams to figure out the best way to make it happen.”
Grayson suggests using consensus-building techniques to help find the north star that should guide your financial plans. Consider compiling a single-text document that allows stakeholders to weigh in on the company’s strategic vision and suggest next steps. This will allow you to identify points of agreement and disagreement—and work across the time to find a common path forward.
Focus on the financial fundamentals
With an overall objective in place, finance executives should then shift their focus back to finance operations—and the steps they can take to shore up the company’s finances to support its new goals.
For many leaders, revenue and cash flow are top of mind. According to recent research from Visa in collaboration with U.S. Bank, 44% of finance leaders cite revenue growth as their top strategic priority, while 43% say they’re focused on improving cash flow.
Both objectives help move organizations closer to their goals, Grayson says. “It’s about maximizing the cash you’re bringing in, whether that’s by increasing revenue or by strengthening cash flow. And at the same time, taking steps to delay cash going out the door—for example, by negotiating longer payment terms with suppliers.”
- Pro tip: Your commercial payments partner can often provide insights on how best to improve cash flow and even provide direct cash flow analysis and support. Talk to your partner for personalized advice around cash flow for you to bring to the C-suite.
Put risk management front and center
Finance executives also have opportunities to provide value to the C-suite by helping manage risks. This is especially important as leadership seeks to drive digital transformation—something 32% of finance leaders list as a top strategic priority—and evaluate new business models (a top priority for 27% of finance leaders).
“Risk comes from a variety of third-party sources, from supply chain to geopolitical shifts to a dynamic economy,” says Grayson. “Finance executives play a central role in helping translate how those risks impact the company’s finances and communicating that to leadership.”
Grayson suggests making an impact by helping leadership identify the risks associated with each potential scenario, then sharing how finance can help the organization remain resilient. When finance executives can outline their next steps to strengthen cash flow, for example, they can help leadership feel confident making the appropriate next step.
Lean on providers that enable you to work proactively
Stepping into a more strategic role to advise the C-suite represents an exciting opportunity for finance executives—but it also calls on leaders to develop and hone new skills. And it’s important to get the support you need to lead the organization to success.
The right commercial payments partner plays a critical role in helping to strengthen the company’s finances to power your next move. They can serve as a trusted advisor, helping finance leaders weigh the pros and cons of potential decisions—and the risks that might arise during each step forward.
Stepping into a more strategic role is easier with the right support behind you. U.S. Bank works with finance executives at every stage, from strengthening cash flow and managing risk to providing the insights you need to advise the C-suite with confidence.
