The acceleration of digitization in the enterprise has given chief financial officers (CFOs) a much bigger say in the direction that transformation takes, according to Airbase Chief Financial Officer Aneal Vallurupalli. Whereas CFOs have traditionally had more of an administrative role, these days they’re much more involved in the strategic decision-making at the companies they serve.
“The CFO and those on the operations side have a much more critical say in terms of driving the 2.0 transformation,” Vallurupalli told PYMNTS in an interview. “In terms of data mapping, in terms of visualization, and in terms of how you can drive decisions quickly. And because we have that seat at the table, we’re better able to drive strategic decisions for the company that materially impact revenue.”
Vallurupalli said the rush to digitize the enterprise has created a new role for CFOs, who are now being tasked with prioritizing which processes need to be automated. That responsibility has become especially important at high-growth companies, where processes that work today can rapidly become obsolete, sometimes within months or even just weeks.
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“One of the biggest benefits we’re seeing now is we’re at a point where we can automate so much of our accounting processes, our spend management side, and our sales invoicing,” he said. “And we can do it to the extent that we’re able to drive efficiency and create a better experience for everyone involved.”
CFO Evangelism
Vallurupalli agreed that CFOs also require a degree of salesmanship to be able to get their initiatives approved and implemented, noting that it’s especially important to forge strong partnerships with the sales team and go-to-market team leadership.
“We have to think, ‘What can we, as the finance team, do to help you as a sales leader or marketing leader de-risk?’” he said. “We all have the best intentions for this company, so how can we help one another?”
“If I can help you by spearheading an effort in terms of digital transformation to help you make decisions faster about hiring that next sales rep in one region or another based on some data I have, then I’ve helped you execute on your goals,” he explained.
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In addition to spearheading digital transformation, Vallurupalli said he believes the CFO’s role at any company these days is to ensure the organization remains resilient in the face of other changes. Change, he said, is something that happens all the time and is unavoidable for any company.
“Obviously the markets are doing great now, and funds are being raised at record clips,” he said. “But everything ebbs and flows, and it could quickly become difficult in the next six to nine months. As an operator, our job is to weather any storm that comes in our direction.”
Constantly Adapting to Change Is the Constant
Vallurupalli said his time working as an investment banker over a decade ago served him well in that respect because it helped familiarize him with working in an uncertain environment.
“I think about change as a constant,” he said. “And ultimately being able to deal with change and handle change requires resilience.”
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And how does a CFO know when he or she has been successful in driving that transformation and ensuring that resilience?
“The biggest ‘wow’ for me is when I see how happy our customers are,” Vallurupalli said. “If customers feel like we’ve made their days better, that’s because their job has become easier. It’s a big part of what motivates me to bring my best self to work every day, to see how much customers love our products.”
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