CFO challenges in scaling tech across business units: overcoming tech scaling hurdles with AWS & SAP
As organizations expand across geographies and business units, Chief Financial Officers (CFOs) face significant challenges in scaling technology consistently. The complexity of integrating financial tools, ensuring data uniformity, and maintaining compliance across diverse operations can hinder growth and efficiency. However, leveraging solutions like AWS in conjunction with RISE with SAP can address these pain points effectively.
Global CFO challenges in scaling technology across business units
1. Inconsistent Financial Processes and Tools
Expanding organizations often grapple with disparate financial systems across units, leading to inefficiencies and errors. A study by IBM revealed that 65% of CFOs feel pressured to accelerate ROI from technology investments, highlighting the urgency for streamlined financial processes.
2. Data Silos and Lack of Real-Time Insights
Operating in silos, different business units may use varied systems, impeding real-time data access and decision-making.This fragmentation can result in delayed reporting and hinder strategic planning.
3. Compliance and Regulatory Challenges
Global operations expose organizations to diverse regulatory environments. Ensuring compliance across all units becomes complex, especially when financial systems are not unified, increasing the risk of non-compliance and associated penalties.
Navigating technology scaling challenges for CFOs in Asia
CFOs in Asia, particularly in Southeast Asia, encounter distinct challenges when scaling technology across diverse business units. A Deloitte study reveals that 80% of CFOs in Southeast Asia identify the global economic slowdown as their top external risk, surpassing the Asia Pacific average of 57% . Despite these concerns, 50% remain optimistic about their company’s financial prospects, aligning closely with the Asia Pacific average of 49%.
To navigate these complexities, many CFOs are prioritizing technology automation and predictive capabilities. The same Deloitte study indicates that 74% of Southeast Asian CFOs are adopting technology automation, and 59% are enhancing predictive capabilities, both significantly higher than the Asia Pacific averages of 51% and 30%, respectively . However, the lack of clean, consistent, and consolidated data remains a significant barrier to the adoption of advanced AI technologies.
Implementing solutions like RISE with SAP on AWS can address these challenges by providing a unified, cloud-based ERP platform that ensures data consistency and supports advanced analytics. This integration enables CFOs to gain real-time insights, streamline financial processes, and maintain compliance across various jurisdictions, thereby facilitating more effective technology scaling across business units in the Asian context.
Leveraging AWS and RISE with SAP to overcome challenges
RISE with SAP, integrated with AWS’s robust infrastructure, offers a comprehensive solution to these challenges:
Unified Financial Systems
RISE with SAP provides a standardized ERP platform, enabling consistent financial processes across all business units.This uniformity reduces errors and enhances efficiency.
Real-Time Data and Analytics
By utilizing AWS’s capabilities, organizations can achieve real-time data processing and analytics. This integration facilitates timely insights, aiding in strategic decision-making and performance monitoring.
Enhanced Compliance and Security
AWS offers advanced security features, ensuring data protection and compliance with global regulations. RISE with SAP’s built-in compliance tools further assist CFOs in navigating complex regulatory landscapes.
Quantifiable benefits
Implementing RISE with SAP on AWS has demonstrated significant benefits:
- Cost Savings: Organizations have reported a 26% reduction in total cost of ownership by migrating SAP workloads to AWS.
- Improved ROI: Companies achieved a 503% three-year ROI and an average annual benefit of $11.19 million per customer after adopting SAP S/4HANA on AWS.
- Operational Efficiency: Businesses experienced 60% faster migrations and upgrades, along with 29% lower three-year operational costs.
For CFOs aiming to scale technology across diverse business units, integrating AWS with RISE with SAP offers a strategic pathway. This combination addresses core challenges by unifying financial systems, providing real-time insights, and ensuring compliance, all while delivering measurable financial benefits.