Another major factor leading companies toward FAO is digital finance transformation. Technology advances rapidly and it can be confusing for companies to get their arms around. From using robotic process automation, automated bill pay and enterprise resource planning solutions, to adapting operating models to account for globalization and regulatory, tax and accounting pronouncement changes, increased digital automation can help companies steer away from unnecessary time and resources spent on manual bookkeeping.
FAO is not meant to replace the finance function; in fact, most organizations that utilize FAO still have a chief financial officer and financial employees in place, but outsourcing allows them to integrate more effective technology solutions and reduce headaches around the closing process. An FAO platform enables organizations to better manage complicated tasks, drive down costs and transition employees to focus on operations and sales rather than day-to-day repetitive tasks.
How can outsourcing and digital finance transformation help your business?
Companies are embracing the concept of continuous accounting, where employees no longer need to process transactions at various points of the month. By utilizing technology, an FAO platform enables companies to spread activity out throughout the month so they can close the books faster and generate more effective and timely compliance and data analytics. A digital platform brings value by providing information seamlessly, allowing companies to make agile decisions rather than performing manual work that requires substantial manipulation.
The goal behind financial reporting is compliance and management, and an FAO technology platform allows companies to do both more effortlessly. In many cases, organizations have a spectrum of disparate internal systems that don’t talk to one another and employees with varying skill levels. An FAO platform presents a standard and efficient platform that can scale and grow as the company matures and continuously improves.
Ultimately, FAO utilizes leading cloud technology proven to interact seamlessly to provide a comprehensive finance solution, whether it is designed for a specific function or the entire back office. That technology provides key performance indicators and metrics which lead to better reporting and processing times by leveraging workflow and financial reporting automation to work in a consistent and controlled fashion. Companies save time by not performing analysis between multiple spreadsheets, but instead getting accurate, timely answers with automated back-office transactional processes and reporting.
A subscription-based pricing model is often another key consideration for companies when moving to an outsourced technology platform. This structure is typically a lower-cost option than internal solutions, because of an FAO provider’s preferred pricing, packaged solutions and relationships with vendors. Instead of performing a selection process and choosing what works together, FAO providers have already done that work and created a seamless approach. They can get companies up and running quickly. A subscription model also inherently creates more scalability, with the ability to quickly adjust resources up or down as necessary.
What to consider next in your outsourcing journey?
Executives have many critical issues to think about, including the growth of their business, regulatory requirements and people issues. RSM’s FAO platform provides an integrated solution that takes the complexity out of these challenges, providing real-time data to facilitate decision making that drives strategy and moves the business forward. It brings emerging innovation and a fractional workforce that provides the right level of support to manage regulatory and reporting requirements and allows companies to comply and focus on the business.
If your company continues to get mired in workflows or processes that are simply not working and if you are spending significant time closing the books, you likely have little time to analyze information and provide it to key stakeholders. By leveraging an established FAO platform that has options and flexibility to model to your organization, you can get the benefits of both an extensive technology platform and support through outsourcing back-office functions.
