Data science & analytics: the top priority for financial leaders in 2019
In finance and procurement, data is paramount to success
Six out of ten finance leaders place leveraging data science and analytics for strategic insights and tactical decision making as top priorities for the coming year.
The ability to utilise data analytics and “big data” to achieve a competitive advantage and manage operations and strategic plans ranks among the top issues for board members and C-suite executives worldwide.
According to Protiviti’s latest Finance Trends Survey; analysis, strategic planning capability and profitability insight are top priorities for finance leaders going into 2019. These top priorities are the foundations of procurement excellence and all have some link with data, with enhanced data analytics highlighted as very important by 62% of CFOs. The paper surveyed close to 400 finance leaders and professionals, including CFOs, vice presidents of finance, and a broad range of finance directors and managers, data is the dominant theme in the finance landscape.
The quality challenge
One key area that CFOs and finance leaders are struggling to manage is data quality.
For the delivery of procurement excellence this has always been (and remains) a challenge.
Accounts payable data simply doesn’t provide a level of data quality that enables procurement insight. However, through procurement data science, using tools such as ProIntell, poor quality accounts data can rapidly be converted to high-quality procurement insight.
The challenge in 2019 for finance leaders is to bridge the gap between the “big data” that already resides in accounting systems and the organizational objective to improve profitability.
Procurement Spend Analytics provides that bridge and the clear, actionable insight to turn analysis into commercial impact.
Points to consider:
- Spend analysis is the foundation of procurement excellence
- Creating excellent spend analytics can be a challenge but is possible given the right resource
- It isn't just about technology - its about turning financial data into actionable procurement insights. In many cases this will require expert consultancy support
- Getting it right can be an excellent way of identifying quantified opportunities for savings and engaging stakeholders in any programme of cost reduction
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