The Ledger

Achieve Business Process Optimization with End-to-End Visibility

Many businesses have found that their existing business processes have simply outlived the intended reason for which they were initially designed. Once business leaders realize the way they are doing business is not effective or profitable, they seek ways to improve and optimize their existing processes. This search for workflow optimization is prompted by a very real need to improve productivity and operational efficiency – a need that is evident across all business segments and vertical industries. Most can easily identify areas where improved efficiency is needed, but without a clear understanding of the problem, there is a general reluctance to simply throw time, money, and resources at a solution. The key is to implement a tool that can help the business clearly identify the issue and potential solutions.

Read More at Workflow Magazine >

Effective Cost Transformation Requires Buy-In From the C-Suite

Cost management is no longer simply a way for companies to improve margins and save money. Finance leaders are now using cost reduction as a powerful lever for digital transformation and to gain better insight into their business. Often times, CEOs delegate responsibility for cost reduction efforts to other leaders within the business. This hands-off approach could be costing their company a lot more money and strategic opportunities than they realize because CEOs have the clout and broad organizational reach to break down a lot of barriers that often hinder successful cost reduction efforts. By bringing a more strategic perspective to cost management, and directly encouraging teams to think bigger, CEOs can enable breakthroughs that are more impactful, such as re-configuring the business or changing the operating model. These strategic cost management approaches offer potential savings that are much larger − and much more sustainable.

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Modern Technologies Are Critical for The Success of Midsize Businesses

Businesses that are not making digital transformation a priority have a much greater risk of going out of business in the next decade than those that are. Why? Successful digital transformation allows businesses to operate with a level of agility necessary to adapt to a marketplace that is increasingly volatile, uncertain, complex, and ambiguous. The rising intelligence of enterprise technologies presents tremendous opportunities for midsize businesses to outpace the rest of their competition. However, their growth depends on the strength of a unified modern data platform, which is critical for turning data into insight. Finance and IT leaders must create a strong foundation of connected, real-time data that is integrated enterprise-wide and provides the necessary visibility for decision makers to ultimately maximize profit growth.

Read More at The Digitalist by SAP >

Climbing the Ladder to Successful Cost Management

“While, on average, 81% of a company’s costs are defined by the industry they are in, the remaining 19% are largely determined by executive decision-making.” – Jason Boldt, Gartner

According to Gartner, almost 90% of businesses suffer from poor cost visibility, and the same amount struggle with understanding their costs. These challenges are mainly symptoms of relying on outdated cost models – a major cost anchor that holds the majority of businesses back from gaining actionable insights. To overcome poor cost visibility, leading cost management executives encourage positive cost behaviors, or “cost ladders” that alleviate the strain that bad practices put on the business. These ladders include increasing cost agility, figuring out what cost models best fit the business goals, and detecting early cost warnings. However, Gartner found that only one in three companies practice any of these behaviors in their costing activities.

Read More at CFO Magazine >