There are many areas of change for leaders in law firm finance. As automation increases, the business as usual processing of financial transactions has become less of a focus, but compliance, the constant changes to regulatory regimes and ever increasing compliance burden has grown to replace that. Access to data, not just internally generated and processed, but external sources as well, has opened up huge opportunities to seek competitive advantage.
The opportunity for the CFO in this changing environment is to move from financial gatekeeper to essential business advisor. The future focused CFO can develop a new role advising the Managing Partner; supporting Heads of Department; and educating fee earners. The focus of the role changes from tactical to strategic.
Owning the data
In order to truly add value in this strategic role, it is essential that the CFO starts to own the key to sound decision making – the data. Traditionally, electronic data has been owned by IT – purely because they were the only people with the knowledge and ability to manage and access it.
That is (or should be) no longer the case. With the right systems in place, and the right people on board, finance can, and should own the firm’s data.