Benchmarking the accounting and finance function may be more important — and more difficult — than ever. Businesses have grown increasingly complex and global, while the pace of change has accelerated.
The result? Many finance organizations struggle to simply keep pace.
Amid these growing demands, it’s not easy for financial executives to make time for benchmarking their accounting and finance operations. Yet information about how other firms manage their accounting and finance function can help them evaluate and improve their own operations to keep their organizations moving forward.
The newly released report is based on a survey of nearly 1,400 financial executives across the United States and Canada.
Some of the key findings from the report include the following:
The median cost for internal finance staff as a percentage of revenue held steady at companies with revenue under $499 million but grew at the largest companies.
Approximately half (49 percent) of U.S. companies and 55 percent of Canadian companies report that they don’t use cloud-based solutions and do not plan to do so in the future.
More than half of respondents surveyed said they still reconcile accounts manually — 54 percent of U.S. firms and 55 percent of Canadian companies. This is a decrease from last year, when 59 percent of U.S. firms and 66 percent of Canadian companies reported manual reconciliations.
Payroll and tax, in almost equal measure, are the most commonly outsourced functions for both U.S. and Canadian companies.