Rising Cyber Threats Drive CFOs to Prioritize Data Security and Privacy, Increasing Focus on FP&A and Gen AI, States Protiviti's Latest Global Finance Trends Survey

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Protiviti's 2024 Global Finance Trends Survey reveals that data security and privacy have become top priorities for CFOs and finance leaders, with 61% rating them as high priority. This shift is driven by new cybersecurity disclosure requirements and rising cyber threats. The survey also highlights the increasing adoption of generative AI in finance departments, with 44% of public organizations employing this technology.

Key findings include:

• Financial planning and profitability analysis is the second-highest priority
• 34% of finance organizations are using generative AI, primarily for process automation and financial forecasting
• 57% of finance leaders report meaningful progress in cost optimization
• 59% of public organizations feel highly prepared for ESG reporting

The survey, conducted among 950+ global finance leaders, shows a shift in CFO responsibilities towards data governance and cybersecurity investments.

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Generative AI is becoming table stakes, with 44% of finance departments in publicly held organizations employing this technology

MENLO PARK, Calif., Sept. 10, 2024 /PRNewswire/ -- The pressure of new cybersecurity disclosure requirements and the rising threats of cyber warfare and extortion have pushed data security and privacy to the top of the priority list for finance leaders. The annual Global Finance Trends survey conducted by consulting firm Protiviti finds that 61% of CFOs and finance leaders rate data security and privacy as a high priority in the coming year, followed by financial planning and profitability analysis and strategic planning.

The finance function is increasingly feeding the demands of stakeholders hungry for non-financial, structured and unstructured data. Coupled with the growing need for sophisticated controls, accuracy assurance and compliance savvy to safeguard this data, there is a shift in the role of CFOs, to elevate their responsibilities for data governance and for ensuring appropriate investments are made in cybersecurity capabilities. The survey also found that generative AI is now being employed by one in three finance organizations, with process automation and financial forecasting representing the most common uses of the technology.  

"In previous survey years, many would have raised their eyebrows at CFOs partnering with CISOs on security and privacy data concerns, as these would have fallen in the CISO's purview," said Christopher Wright, global leader of Protiviti's Business Performance Improvement solution. "Now, new cybersecurity disclosure and reporting requirements, along with customers' and vendors' growing expectations for organizations to keep data private and secure, also require the CFO's hands on the wheel to remain compliant and maintain high data governance standards."

Generative AI Moves Forward in Finance
CFOs and other finance leaders are focused on advancing generative AI deployments that can support increasing revenue and improving profitability. The survey found that among those finance organizations employing generative AI (34% of all respondents), 58% have achieved meaningful and measurable progress in their cost optimization efforts. In addition, 44% of public organizations are employing generative AI in finance, whereas only 29% of private organizations are doing the same.

"Generative AI has immediate benefits for financial organizations, such as process automation and financial forecasting," said Wright. "CFOs and finance leaders have been using AI tools to generate valuable returns in both budgeting, forecasting and cash flow management and cost optimization. The Finance Trends Survey points out that the finance functions are using AI to help process large data pools in efficient ways. This is especially crucial within a function that is so data heavy and for which it is imperative to process both structured and unstructured data."

Financial Planning and Analysis (FP&A) is Second Highest Priority
Effective FP&A practices have become essential as companies continue to satisfy the mandate to drive value and optimize costs. Results indicate that 69% of finance leaders and professionals in public organizations consider financial planning and profitability analysis and reporting to be a top priority for the upcoming year.

A majority of CFOs and finance leaders (57%) report achieving meaningful, measurable progress in cost optimization in both technology rationalization and utilization of cloud-based systems.

ESG reporting also continues to be a priority for finance leaders, with 59% of publicly held organizations indicating a high level of preparedness for ESG reporting, compared with 47% of private organizations.

Top 10 Priorities

In the survey of over 950 global finance leaders, including CFOs, vice presidents, directors and managers, conducted online in the second and third quarters of 2024, participants ranked their priorities for the coming year. The results indicate the top 10 finance priorities are:

2024 Rank		2023 Rank
1	Security and privacy of data	5
2	Financial planning and profitability analysis and reporting	N/A
3	Strategic planning	6
4	Routine reporting and closing activities	10
5	Process improvement	11
6	Leadership (within your organization)	23
7	Enhanced data analytics	7
8	Cloud-based applications	9
9	ESG metrics and measurement	1
10	Changing demands and expectations of internal customers	15

*In this year's survey, we consolidated and reduced the number of finance areas that respondents rated from 24 to 15.

Survey Resources Available
Key findings of the Protiviti 2024 Finance Trends Survey are available here for digital exploration on the firm's website. The site also offers a complimentary download of the full survey report in PDF format, including recommended action items for CFOs, and an infographic. On Sept. 24 and Oct. 24, Protiviti will host two complimentary 60-minute webinars to discuss the survey results and their implications.  To attend the webinars, register here.

About Protiviti
Protiviti (www.protiviti.com) is a global consulting firm that delivers deep expertise, objective insights, a tailored approach and unparalleled collaboration to help leaders confidently face the future. Protiviti and its independent and locally owned member firms provide clients with consulting and managed solutions in finance, technology, operations, data, digital, legal, HR, risk and internal audit through a network of more than 90 offices in over 25 countries.

Named to the Fortune 100 Best Companies to Work For^® list for the 10th consecutive year, Protiviti has served more than 80 percent of Fortune 100 and nearly 80 percent of Fortune 500 companies. The firm also works with government agencies and smaller, growing companies, including those looking to go public. Protiviti is a wholly owned subsidiary of Robert Half (NYSE: RHI).

 

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SOURCE Protiviti

FAQ

What is the top priority for CFOs according to Protiviti's 2024 Global Finance Trends Survey?

According to Protiviti's 2024 Global Finance Trends Survey, the top priority for CFOs and finance leaders is data security and privacy, with 61% rating it as a high priority for the coming year.

How many finance departments in public organizations are using generative AI?

The survey found that 44% of finance departments in publicly held organizations are employing generative AI technology.

What are the main uses of generative AI in finance departments?

The most common uses of generative AI in finance departments are process automation and financial forecasting.

What percentage of finance leaders report progress in cost optimization?

According to the survey, 57% of CFOs and finance leaders report achieving meaningful, measurable progress in cost optimization in both technology rationalization and utilization of cloud-based systems.

How prepared are public organizations for ESG reporting?

The survey indicates that 59% of publicly held organizations report a high level of preparedness for ESG reporting.