Digital technology will be the biggest priority for public sector chief financial officers (CFOs) over the next five years, according to new research.
A survey of public sector CFOs by chartered accountants EY revealed 58% of respondents ranked improving performance through the use of digital technology as their most important strategic priority for their organisation.
The survey also showed driving cost efficiencies through automation and outsourcing was a distant second priority with only 26% of CFOs citing it.
EY’s research demonstrated that as the public sector is transformed, CFOs are increasingly being called on to support chief executives and other organisational leaders in planning, testing and monitoring reforms.
More than two-thirds (68%) of survey respondents said that they were spending more time on providing analysis and insight to support senior leaders and decision makers than they were five years ago.
A majority (63%) of finance chiefs said that they spent more time supporting their organisation’s development and its strategic goals and 53% said they were increasingly taking the lead in developing and defining overall strategy.
EY also discovered it is increasingly difficulty to recruit people with the necessary skill set to take on this expanded role.
Almost three quarters of CFOs (74%) agreed or strongly agreed that organisations are facing a growing talent challenge to find finance leaders who can thrive in this new environment.
Nine out of ten said organisations would need to recruit from a more diverse talent pool to find the next generation of finance leaders.
The survey also revealed 95% of CFOs are keen to see collaboration or partnering across organisations.
‘We’ve gone beyond the isolated back office view of the finance profession,’ said Darra Singh, head of UK government and public sector at EY.
‘Today’s CFOs are in a unique position to bring together a strategic view of the finances, performance and meeting future needs of their organisations. It is an exciting and challenging time to be a CFO the public sector.’