Business & Industry

5 steps toward the future of finance

Technology underpins finance’s role, but CFOs also need to consider data governance, managing change, and championing the move from cost to value.

Editor’s note: The following article is reprinted with permission of the New Jersey Society of CPAs.

BY OLIVER ROWE

It comes as no surprise that James Miln, ACMA, CGMA, senior vice president for finance and investor relations at Yelp, the U.S. crowdsourced business reviews publisher, is a tech advocate. On a recent Journal of Accountancy podcast interview, “Why a CFO Needs to Wear Two Hats,” at the end of the Future of Finance Summit in Nashville in December, he said: “Finance needs to have the tools at our disposal to better help make decisions around how we create value, and technology really underpins that.” Miln, who co-presented at the summit and has a CV that also includes stints with Unilever, Yahoo, and eBay, said, “To be a great finance business partner and value partner, we have to understand those technologies.” At Yelp, fundamentally a cloud-based technology company, artificial intelligence and machine learning models are used, he said, to “help us project data on traffic, on

“Finance needs to have the tools at our disposal to better help make decisions around how we create value,

and technology really

underpins that.”

business, on retention, on acquisition that can help inform our forecast models.” He said moving ERP systems to the cloud and connecting it to other applications “where we can get insight into our providers, our customers, our vendors, and what’s going on within the operations of our business” creates opportunity for the business.

As well as technology, Miln highlighted four further areas discussed at the summit that finance leaders need to champion.

Data governance

Miln stressed the critical role of data governance. “When you think about data and this huge amount of data that’s out there, data governance is key,” he said. “From the CFO down, [it’s important to have] a point of view on how we store, use, keep the quality high on the data that we have in the business and understanding … data engineering and data science.” Finance, he suggested, can “own more of that” while looking for opportunities to partner with colleagues working under the chief technology officer or chief information office within an organization.

Cost to value

When it comes to managing cost, Miln said finance leaders often feel a need “to lead by example and being very careful about the budget and … championing opportunities to save cost.” He added: “But we have to flip that … to value. Let’s move from cost to value.”

Trust

A “huge part” of Yelp’s customer proposition is about trust, Miln said. “As a finance leader and as a finance team at Yelp, we have to understand how to value trust,” he explained. There are other elements of the business — such as engagement, employee diversity, inclusion, supply chain, data center environmental impact — that were traditionally viewed as intangible, he said. “Today, we know that people make decisions based on … where the company is on those and how effective we are at managing them and driving value through those. I think finance needs to be a value partner on that journey.”

Managing change

The summit discussed the difference between managing change that you know is coming and that enforced upon you, such as the global pandemic. Miln said: “Are we ourselves and our teams and our profession, are we training people to have that adaptability almost built in?” He added: “Sometimes when you have a crisis … you’re able to drive change even more effectively and more significantly than you ever thought.”

Two hats

CFOs need to wear two hats, Miln suggested: “On the one hand, there’s a lot of what we’ve done traditionally that is important and critical to the business and needs to continue around governance, compliance, sort of our stewardship.” But, he said, there is “that other hat, which is about creativity. It’s about the future. It’s about uncertainty, and it’s about embracing that.” Oliver Rowe is a senior editor with The Journal of Accountancy.

Member Benefit Provider CPACharge has made it easy and inexpensive to accept payments via credit card. I’m getting paid faster, and clients are able to pay their bills with no hassles.

– Cantor Forensic Accounting, PLLC

Trusted by accounting industry professionals nationwide, CPACharge is a simple, web-based solution that allows you to securely accept client credit and eCheck payments from anywhere.

22% increase in cash flow with online payments

65% of consumers prefer to pay electronically

62% of bills sent online are paid in 24 hours

Client Invoice #0123-A

Your Client

**** **** **** 9995 ***

TOTAL: $3,000.00

PAY CPA

Get started with CPACharge today cpacharge.com/macpa 866-455-3424

CPACharge is a registered agent of Wells Fargo Bank N.A., Concord, CA, Synovus Bank, Columbus, GA., and Fifth Third Bank, N.A., Cincinnati, OH..

BUSINESS AND INDUSTRY

The AICPA CFF® credential is evolving to meet emerging global demands – are you?

Editor’s note: The following article is reprinted with permission from AICPA-CIMA.

KARI C. DAY DBA, MSA, CPA, CGMA, FCPA, CFE

As CPAs and their clients work through the massive business changes worldwide, they confront a variety of fraud schemes, business continuity issues and damages concerns. Fraud in particular thrives in times of crisis as bad actors take advantage of fear and confusion. Certified in Financial Forensics (CFF®) credential holders have the knowledge and expertise to assist clients during these unprecedented times. The CFF® credential is granted exclusively to CPAs and other recognized equivalents who demonstrate expertise in financial forensic accounting through their knowledge, skills, experience and adherence to professional standards. The CFF® adds credibility and indicates expertise and competency in areas that include:

• fraud detection, prevention and response • financial statement misrepresentation • digital forensics • bankruptcy and insolvency • damages calculations and dispute resolution • expert witness services • investigations • family law services

NOW IS THE TIME TO UPSKILL

Fraud and financial forensics are primary concerns for clients and employers across the globe. With specialized knowledge in fraud matters, dispute resolution, damages calculations, and bankruptcy; CFF® professionals are well positioned to guide businesses through crisis management, recovery of operations, and future preparedness. Earning the CFF® credential demonstrates the knowledge and business acumen of a CPA or recognized equivalent combined with financial forensic accounting expertise in a day and age where specialized knowledge has never been more critical.

CFF CREDENTIAL ELIGIBILITY REQUIREMENTS

To qualify for the CFF® credential, a candidate must:

• Be an AICPA member in good standing • Pass the CFF® Examination • Obtain 1,000 hours of forensic accounting experience in the CFF®

Body of Knowledge within the fiveyear period preceding the date of the credential application • Complete 75 hours of forensic-related continuing professional development (CPD) in the CFF® Body of Knowledge within the 5-year period preceding the date of the credential application • Hold a valid and unrevoked CPA certificate or license issued by a legally constituted state authority or recognized international equivalent There are multiple ways to earn the CFF® Credential. Study for the comprehensive exam using the CFF Exam Review Course or complete the Core and Specialized

Forensic Accounting Certificate

Programs. Successful completion of both certificate programs satisfies the 75 CPD requirement for CFF credential applications. 1000 hours of forensic related business experience and passing the CFF exam are also required. Start your path toward becoming a CFF® and register for the CFF® Exam today.

Dr. Kari C. Day, CPA | CGMA | FCPA | CFE is an AICPA Senior Manager for the Certified in Financial Forensics CFF® credential. She has earned four professional accounting credentials, a Master of Accountancy degree, and a Doctorate in Advance Accounting Theory with a Focus on Forensics. Kari began her career in public accounting, advancing to Senior Auditor before repositioning into higher education, earning rank and tenure as an Associate Accounting Professor in Oregon. While completing her dissertation on CPA Human Skill Competencies, she hired out as a subject matter expert and consultant for continuing professional education, university accounting programs, and course level editing and design. Kari thoroughly enjoys the creative intelligence involved in conceptual strategies for exemplary global accounting programs and worldwide proficiency for the accounting profession. It is her privilege to collaborate with friends and colleagues to promote forensic accounting awareness around the world.

Where can an AICPA C redential take your career next?

If you have a specialized interest, you can build on the value you offer clients by adding an AICPA advisory service credential: Personal Financial Specialist (PFS™), Accredited in Business Valuation (ABV ®), Certified in Financial Forensics (CFF ®) or Certified Information Technology Professional (CITP®). These credentials were developed for the profession by the profession. They set you apart, make a statement and get you noticed. And, they can seriously boost your career.

© 2017 Association of International Certified Professional Accountants. All rights reserved. AICPA and American Institute of CPAs are trademarks of the American Institute of Certified Public Accountants and are registered in the United States, European Union and other countries. The Globe Design is a trademark owned by the Association of International Certified Professional Accountants and licensed to the AICPA. 23438A-326

It's time to take charge of change.

The CGMA® Finance Leadership Program — your career accelerator

Ready to master the hottest finance, business, technical, people and leadership skills? The CGMA Finance Leadership Program is designed for you. We recognize your expertise and experience as a CPA by giving you a fast track to the world’s most widely held management accounting designation.

Level up today at cgma.org/flp.

The Association of International Certified Professional Accountants, powering leaders in accounting and finance around the globe

© 2021 Association of International Certified Professional Accountants. All rights reserved. 2102-49162