While CFOs in the world’s various regions are facing differing financial and geopolitical realities, they’re united on their top two strategic priorities at the moment.
Leading the way is “business model optimization.” In a global poll of 655 senior finance executives by FTI Consulting, those in all three broad regions — North America, EMEA (Europe/Middle East/Africa), and APAC (Asia/Pacific) — all cited it as their leading strategic imperative.
“As we enter 2025, many CFOs are playing a critical role in steering their organizations through uncertainty and transformation,” FTI wrote in its research report. “The focus on business model optimization “underscores the importance of adapting to market shifts and maintaining competitiveness in a fast-paced global economy.”
Additionally, survey participants in all three regions also placed cybersecurity as their second-highest strategic priority. Almost two-thirds (62%) expressed worry over potential vulnerabilities. Enhanced threat detection systems and frequent security audits can protect financial data and maintain stakeholder trust, the report noted.
However, it seems that other, more purely financial activities may be siphoning CFOs’ time away from the top two strategic priorities. For example, North American finance executives indicated that the top activities monopolizing their time were longtime basics of the profession: financial planning and analysis, management reporting and strategic planning.
The biggest time-robbers differed by region. In APAC, they were capital structure, management reporting, and cash flow. In EMEA, the culprits were cost management, reporting and analytics and ESG strategy/reporting.
Other highlights from the research included the following:
- Almost three-fourths (72%) of CFOs expect double-digit revenue growth in 2025. While that was down three percentage points from slightly rosier predictions a year ago, “there’s still widespread confidence in the ability of businesses to expand,” the report said.
- A large majority (85%) of finance chiefs identified forecasting accuracy as a primary area needing improvement, with rolling forecasts and scenario planning gaining increased importance. The integration of AI and data analytics into forecasting presents a transformative opportunity, according to FTI; 87% of CFOs said they are using AI tools in finance or will within the next 12 months.
- Despite such continuing digital transformation efforts, 23% of CFOs reported a reduced focus on them compared to last year because of budget constraints and talent shortages in key areas. In addition, 79% of survey respondents indicated that outdated technology and tools hamper their finance function.
- The proportion of finance chiefs who believe the average tenure in the position is more than five years increased to 42%, up 5 points from a year ago. This could be due to stabilizing economic conditions, increased focus on long-term strategy, or CFOs staying put for a promotion to chief executive, FTI suggested.
