The Modern Finance Function: Driving Strategic Value Through Data and Analytics

Article

Today’s finance leaders and their teams must navigate a complex array of intense demands. Economic volatility, rising global competition, tighter regulatory oversight and mounting digital transformation pressures are redefining what it takes to lead—and work within—a modern finance function. Once focused on compliance, reporting and budgeting, leading finance teams are now at the center of strategic decision making—leveraging advanced data and analytics for insight, helping to drive profitability and playing a crucial role in enterprise-wide transformation efforts.

Research for the recent Global Finance Trends Survey Report from global consulting firm Protiviti, a Robert Half subsidiary, shows the chief financial officer (CFO) and other finance leaders, such as the vice president (VP) of finance, are prioritizing more sophisticated business analytics and financial planning and analysis (FP&A), enhanced strategic planning, and stronger data security and privacy. These capabilities have become baseline requirements for finance functions operating in a business environment where data—especially, data in finance—is a primary source of value and competitive advantage.

The Data-Driven Finance Function: From Ops to Strategy

How is the finance function evolving?
Leveraging data and analytics to drive financial and operational performance
Where does finance transformation typically start?
The role of finance leadership in fueling transformation
Beyond data and analytics: the role of organizational culture in finance transformation
Turning the finance function into a strategic engine—with help from contingent resources

How is the finance function evolving?

Finance has been shifting from a back-office function that reports on past performance to a strategic partner that helps senior leadership shape the future of the business. This evolution began in the late 2000s and early 2010s, when advances in enterprise resourcing planning (ERP) systems, business intelligence tools and process automation started making real-time analysis and forward-looking planning possible. More recent advances in technology, particularly generative AI and advanced analytics, are accelerating finance transformation by enabling teams to provide more immediate and granular insights, anticipate market changes, and help guide decisions across the enterprise.

However, the transformation journey for finance isn’t just about adopting AI-powered data and analytics tools or modernizing enterprise systems—it’s also about fundamentally expanding the function’s role in the business. Whether in the C-suite or on the front line, today’s finance professionals are expected to pair financial expertise with the ability to work effectively across the enterprises—translating data into strategies that drive results.

In many leading organizations, modern finance teams work frequently with other business units, including procurement, product management, sales, marketing, IT and human resources (HR), to:

Deliver real-time visibility into financial and operational performance

Use predictive analytics to anticipate risks and opportunities

Support scenario planning and strategic forecasting

To help visualize this shift in responsibilities for finance, consider this example: A VP of finance in a modern finance function is tasked with helping business leadership evaluate a potential acquisition. Instead of simply modeling returns to project how much value or profit the deal is expected to generate over time, the VP of finance must also now consider market dynamics, company cultural fit, supply chain resilience and other factors. More than likely, they will also need to collaborate closely with operations, HR, legal and other functions to construct a deal that can drive long-term value.

Leveraging data and analytics to drive financial and operational performance

In the modern enterprise, data in finance is more than a historical record—it serves as a lens for bringing the company’s future into focus. By connecting financial and operational insights, finance teams can detect market shifts early, forecast with greater precision and shape strategies ahead of the curve.

Tools, including AI-powered solutions, that once required specialist skills are now widely accessible to finance professionals:

Business intelligence platforms like Power BI, Tableau and Qlik help visualize trends, track key performance indicators (KPIs), and make critical insights available across the organization.

Predictive analytics tools, powered by machine learning, help finance teams forecast revenue, optimize pricing, perform profitability analysis, assess customer lifetime value, detect anomalies and flag potential fraud.

Cloud-based planning solutions enable dynamic, cross-functional budgeting and forecasting—allowing teams to model scenarios and align strategic priorities before committing resources.

Data and analytics maturity often follows a natural progression—from describing what happened to diagnosing why it occurred, to predicting what’s likely next, and ultimately, prescribing the best course of action. Leading finance teams go even further, blending internal data with external sources such as environmental, social and governance (ESG) metrics, social sentiment, competitor activity, and commodity price forecasts to create richer, more forward-looking models for the business.

The results of the modern finance team’s work with data and analytics can be transformative for a business. A retail company, for example, might detect early signs of slowing demand for a product line by combining predictive analytics with market sentiment data—weeks before sales numbers alone would reveal the shift. Marketing can pivot campaigns, operations can adjust inventory and the business can avoid risk, and potential losses, while capturing new opportunities.

Discover how AI and analytics tools for finance teams can help small businesses sharpen their competitive edge.

Where does finance transformation typically start?

In many organizations, the first signs of finance transformation appear in FP&A. Here, the push for sharper forecasts and faster decision making helps drive the adoption of cloud-based planning platforms that combine advanced analytics with AI-enabled predictive modeling. By embedding data in finance planning models, teams can forecast with greater precision, respond quickly to market changes and give leaders the timely insight they need to make investment and performance decisions confidently.

Scenario planning shows the power of this more dynamic, data-driven approach. Instead of working from a static annual budget, finance teams can create multiple models that anticipate changes in interest rates, commodity prices or labor costs. With advanced analytics pulling in the latest market intelligence, these models stay relevant and actionable. Rolling forecasts and insights delivered in near real time allow leadership to pivot in weeks rather than quarters—and help finance leaders secure a seat at the strategy-setting table.

Read our success story

Find out how Robert Half and Protiviti helped a national eyecare chain implement process automation for FP&A, helping the company significantly reduce its data collection time—and more.

The role of finance leadership in fueling transformation

While finance transformation touches the entire enterprise, chief financial officers and their leadership teams—often including the VP of finance—are typically the catalysts that help turn vision into reality. At the strategic level, the VP of finance connects finance, IT, operations and commercial teams, aligning priorities and ensuring data and analytics flow seamlessly across the business. They champion targeted technology investments that expand access to trusted insights, strengthen governance and enhance analytical capabilities.

From a talent perspective, these leaders help develop finance professionals who combine financial expertise with analytical skills, fostering curiosity, critical thinking and problem-solving abilities. They also create career paths for team members that help them become as knowledgeable about the latest tech tools for finance as they are with accounting standards and regulatory requirements.

Crucially, leaders like the CFO and VP of finance can also help bridge the gap between metrics and execution, translating complex analyses into clear, actionable guidance for boards, investors and senior leadership. By tying recommendations to operational performance and market realities, they enable confident decisions—whether the company’s objective is growth, cost optimization or risk mitigation.

Beyond data and analytics: the role of organizational culture in finance transformation

Technology and talent may power finance transformation, but the company’s culture determines whether it takes root—and flourishes. For finance to become a true strategic partner to the business, the broader organization must prioritize cross-functional collaboration and commit to continuous learning in data, analytics and digital tools.

Embedding shared accountability into team structures helps ensure every department owns a stake in achieving financial and operational goals. An organizational culture of curiosity—where teams question assumptions and test new approaches—opens the door to innovation. Early wins, like shortening the budget cycle or improving forecast accuracy, can build confidence across the business and set the stage for further transformation.

Success metrics for finance should evolve as well, valuing the function’s influence and forward-looking analysis, not just accuracy and timeliness in reporting. Tracking the return on investment of strategic initiatives and the true bottom-line impact of financial insights helps underscore the finance team’s role in shaping the future rather than just documenting the past.

Turning the finance function into a strategic engine—with help from contingent resources

The modern finance function is becoming a strategic engine for businesses of all sizes—helping to fuel growth, innovation and resilience through insights derived from data and analytics. Over the next three to five years, expect finance teams to become even more deeply embedded in enterprise wide data strategies, with AI-powered planning and forecasting, natural language tools that make analytics accessible to all, and autonomous forecasting that can compress cycle times from weeks to days.

Reaching this level of impact requires more than technology. It demands the right mix of skills, the ability to translate data into action and an organizational culture that positions finance as a true strategic partner. Yet many teams lack the in-house expertise to fully harness data in finance or integrate advanced tools into their daily decision-making. This skills gap often spans both technical and strategic capabilities—from data engineering to predictive modeling.

To close this gap, leading organizations are turning to targeted, flexible talent strategies, including:

Interim finance and business analytics professionals who can help guide transformation initiatives or step into critical roles during transitions

Analytics specialists such as contract data scientists, BI developers and data engineers who design and maintain the systems that bring data in finance to life

Fractional CFOs and FP&A experts who provide high-level strategic guidance without the cost of a full-time hire

Beyond delivering immediate skills, contingent resources can fast-track technology adoption, mentor internal teams and embed best practices that endure long after their engagement ends. They also offer an external perspective that helps finance leaders uncover new efficiencies, strengthen links between financial and operational performance, and deliver insights that drive sustainable growth.

Robert Half can connect you with skilled finance professionals at all levels who can help you achieve your finance transformation goals. Get in touch to learn more about our flexible, scalable talent solutions for the modern finance function.

Robert Half can connect you with skilled finance professionals at all levels who can help you achieve your finance transformation goals. Get in touch to learn more about our flexible, scalable talent solutions for the modern finance function.

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