Trouble in the C-suite: CFOs are feeling overworked and frustrated
The majority of CFOs say they suffer from the most intensive daily manual workload of any role in the C-suite.
A new study finds that chief financial officers (CFOs) are reporting relatively high levels of stress and overwork.
The report was released by DataRails, a financial planning and analysis platform for users of Excel software. It was based on a survey of 200 CFOs at businesses of up to 500 employees. The results show that 81% of CFOs say they suffer from the most intensive daily manual work, compared to any other role in the C-suite. The study said this burden is reducing the time CFOs are spending with family and friends. It also results in higher levels of boredom and stress at work for CFOs.
High workloads, inefficient systems
The survey found that while CFOs are relatively pleased with how their budgets are surviving ongoing challenges such as the COVID 19 pandemic, they feel the financial side of the c-suite is suffering from inefficiencies and outdated systems.
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The researchers said that the Financial Planning and Analysis function, one of the key parts of budgeting, is still relying on manual processes—with 41% of the work done manually. “This translates as 10 hours each week of skilled finance talent spent on this manual work, including consolidations and fixing errors, rather than strategic analysis or value-creation for companies,” the report said.
And as companies get bigger, the complexity increases. The report found that on average, 17 people are involved in a company’s budget, with that number rising to 23 people in companies of 500 or more employees. “Sharing financial documents and spreadsheets across so many stakeholders adds complexity and creates delays,” the report noted. “Consequently, for 78% of companies, the budget process takes between 1-3 months to complete, while 92% of CFOs are frustrated with the process.”
Excel is king, but…
It seems that the Excel platform remains highly used by CFOs, but there are still issues with it. For example, although 70% of companies are using Excel for financial budgeting and forecasting, only 18% of CFOs consider themselves experts with the software. And many said they are sticking with Excel partly because of its flexibility—and partly because the cost and disruption that a change of systems would represent.
The DataRails analysis said there is a missed opportunity when companies don’t have a policy of updating software and training personnel on it. The report quotes Wyn Hopkins, co-author of the book “Excel Insights: A Microsoft MVP guide to the best parts of Excel,” on this lack of support: “Companies are wasting so much money by not training their staff in the latest version of Excel, not updating their versions, and not providing suitable hardware.”
Inefficient systems can also lead to mistakes—nearly one-third of CFOs (31%) said the ongoing challenging of fixing errors leaves them fearful of mistakes creeping in.
DataRails officials said that the survey outlines some serious problems for CFOs—and the companies they work for.
“While CFOs have emerged as a catalyst for change, particularly since COVID-19, the reality is that daily processes are preventing finance leaders from achieving their maximum impact,” said Didi Gurfinkel, co-founder and CEO of DataRails. “In particular, fixing errors and chasing down data is ever present, leading to dissatisfaction with performance and harming CFOs’ overall quality of life. This constant frustration is creating a detrimental personal impact while preventing businesses from harnessing much-needed talent within the CFO’s office.”
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