Evolving Finance Business

Partners for
Autonomous Finance
Nick Duffy

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A Leaner, Digital, Data-Driven Vision for 2025 …
Risks the Demise of Finance Business Partners
Data Delivery Models Process & Technology People

On-demand data Enhancing functional Digital acceleration FBPs lack required

diminishes the value scale undermines enables finance to skills to fulfill their
of custom, localized traditional FBP provide “faceless” decision support
finance business organizational models. decision support. mandates.
partner (FBP) support.

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 What Is the Value Proposition for
Business Partners in an
Autonomous Finance Environment?

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Key Issues

1. Why have FBP models fallen short in the past?

2. What opportunities does an autonomous future present for
FBP models?
3. How can we optimize FBP roles to suit a more
autonomous environment?

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Key Issues

1. Why have FBP models fallen short in the past?

2. What opportunities does an autonomous future present for
FBP models?
3. How can we optimize FBP roles to suit a more
autonomous environment?

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Historical Agreement on Finance Business
Partners’ Ideal Mandates

• Support for strategic or operational decisions.

Where FBPs • FP&A-supportive insight generation and performance

Should management support.
Spend Their Time • Development and management of decision-enablement tools.

• Transaction processing activities.

Where FBPs • Mandatory “governance” activities.

Should Not
Spend Their Time • Routine recurring internal reporting activities.

FP&A = Financial Planning and Analysis

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A Broken Finance Business Partnering Record

Timeline 2012 2015 2018 2021

Only 6% of 25% of financial Only 13% of the 87% of finance

analytically analysis goes decisions supported professionals state
immature finance unused by by FBPs are their FBP roles align
teams were viewed stakeholders.b deemed with mandates that
as decision-support financially sound.c only 11% of
Gartner partners.a 61% of finance respondents
Research stakeholders aspire to.d
Only 57% of “cherry pick”
Highlights
analytically mature finance’s data for
teams were viewed decision making.b
as decision-support
partners.a
• \\
Source: a 2012 Gartner Business Analytics Benchmarking Survey (n = 70);
b 2015 Gartner Financial Analysis Impact Assessment (n = 2,305 business decision makers; 635 FP&A directors);
c 2018 Gartner Decision Making Model (n = 469 business decision makers);
d 2021 Gartner Finance Webinar (October) (n = 104 respondents, including corporate and business finance leaders and their teams).

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3 Enduring Shortcomings

1 2 3

Unsustainable Scope Unclear Decision Siloed Working

of Responsibilities Support Brand

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Key Issues

1. Why have FBP models fallen short in the past?

2. What opportunities does an autonomous future present for
FBP models?
3. How can we optimize FBP roles to suit a more
autonomous environment?

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Autonomous Finance Will Focus FBP Scope

Democratization of Growing stakeholder Enhanced availability

data and analytics. comfort with of on-demand data.
self-service use and
interpretation of data.

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Autonomous Finance Will Refine FBPs’ Brand

Higher bar for people Digitally driven reshaping

resourcing allows for of business models creates
FBPs to have clearer clearer finance decision-
decision-support mandates. support “swim lanes.”

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Autonomous Finance Will Necessitate a
Portfolio View

New business models

Clearer data ownership
require portfolio-level
distinctions enabled.
decision support.

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Autonomous Finance’s Role in Helping FBPs

1 2 3

Autonomous Finance Will Autonomous Finance Will Autonomous Finance

Focus on FBPs’ Scope Refine FBPs’ Brand Necessitates a Portfolio View

• Democratization of data • Digitally driven reshaping of • New business models require

and analytics. business models creates portfolio-level
• Enhanced availability of clearer finance decision- decision support.
on-demand data. support “swim lanes.”
• Clearer data ownership
• Growing stakeholder comfort • Higher bar for people distinctions enabled.
with self-service use and resourcing allows FBPs to
interpretation of data. have clearer
decision-support mandates.

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 Autonomous finance won’t just enable,
but propel finance business partners to
meet a new value bar.

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Key Issues

1. Why have FBP models fallen short in the past?

2. What opportunities does an autonomous future present for
FBP models?
3. How can we optimize FBP roles to suit a more
autonomous environment?

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There Are 4 Types of Finance Business Partners
Decision
Support

Decision Expert Co-Pilot

Provides deep finance support on Financial partner to business leaders,
a narrow set of business decision(s) providing finance expertise to critical
requiring specific/technical expertise. business decisions.

Type of
Support

Operational Data Expert Plan Evaluator

Organizes financial and operational Helps business leaders perform
data into formats and narratives planning, budgeting, forecasting and
that help business leaders understand business-case-development processes.
Process their performance.
Support
Operational Primary Perspective Strategic

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Despite Our Bias Toward Legacy Archetypes …
Question:
What Is the Most Prevalent Finance Business Partner Archetype in Your Organization?

60%

41% 41%

30%

9% 9%

0%
Operational Data Expert Plan Evaluator Decision Expert Co-Pilot

n = 104
Source: Gartner Finance Webinar (21 October 2021)
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… We Know Where We Want to Go
Question:
What Is the Most Desired Finance Business Partnering Archetype for Your Organization?

60%
52%

37%

30%

7%
4%
0%
Operational Data Expert Plan Evaluator Decision Expert Co-Pilot

n = 104
Source: Gartner Finance Webinar (21 October 2021)
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 What Will a Best Practice Finance
Business Partnering Team Look Like
in Autonomous Finance?

An Early Gartner View

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The Typical FBP Team in 2023 …
Company

Newly Integrated
Region A Product Line A Region B Product Line B FP&A COE
Acquisition

Co-Pilot Co-Pilot Co-Pilot

Planning Evaluator Planning Evaluator Decision Expert
Group BI
Planning Evaluator Planning Evaluator Planning Evaluator
Operational Operational
Data Expert Data Expert Decision Expert
Operational Operational Cost Analysis
Planning Evaluator
Data Expert Data Expert

Operational Operational Operational

Data Expert Data Expert Data Expert

Operational
Data Expert

Operational
Data Expert
FP&A = Financial Planning and Analysis
COE = Center of Excellence
BI = Business Intelligence
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… Will Look More Like This in 2026
Company

Newly Integrated
Region A Product Line A Region B Product Line B FP&A COE
Acquisition

Co-Pilot Co-Pilot Co-Pilot Co-Pilot

Decision Expert
“Off the Shelf” Group BI
Planning Evaluator Finance Support
Planning Evaluator
Decision Expert Decision Expert
Customer Analysis Customer Analysis Decision Expert
Cost Analysis
Planning Evaluator

Decision Expert
Planning Evaluator Planning Evaluator Operational Pricing Analysis
Data Expert

Operational Decision Expert

Data Expert Inventory Analysis

Decision Expert
Asset Analysis

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The Future Summarized

Significantly fewer Significantly more Enhanced

FBP roles built decision support roles co-pilot role
around transactional built to deliver deep predominantly
data support. expertise in areas of owned by
biggest need. finance leaders.

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 How Will We Get There?

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1. Invest in Self-Service Reporting
5 Actions to Mitigate Low Adoption of Self-Service Dashboards

Loading Speed Rationalize Intuitive UI Culture Data Literacy

Rationalize the Be Proactive Develop Data

Optimize Data Create an Intuitive
Number and in Managing Literacy
Models for Speed User Interface
Density of Reports Cultural Change Initiatives

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2. Determine Which Decisions to Support

Value Outcome
(1 to 3 Quantifiable Shareholder Value (E.g., Earnings per Share)
Targets)

Strategic Drivers
(Aim for 3 to 5;
Should Map Asset Operating New Digital
ESG Revenue Margin Business Venture
Closely to Efficiency
Organization’s
Strategy)

Tactical Drivers
(Aim for 3 to 5 per Product Average Sale Customer
Strategic Driver) Improvements Price Acquisition

ESG = Environmental, Social and Governance

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2. Determine Which Decisions to Support

Value Outcome
(1 to 3 Quantifiable Shareholder Value (E.g., Earnings per Share)
Targets)

Strategic Drivers
(Aim for 3 to 5;
Should Map Asset Operating New Digital
ESG Revenue Margin Business Venture
Closely to Efficiency
Organization’s
Strategy)

Tactical Drivers
(Aim for 3 to 5 per Product Average Sale Customer
Strategic Driver) Improvements Price Acquisition

ESG = Environmental, Social and Governance

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2. Determine Which Decisions to Support
Narrower Scope Broader Scope

Financial Decision Experts

Commercial Decision

Operational Decision Makers

Experts
Product Customer (E.g., Discounting,
Pricing Inventory
Improvements Acquisition Promotions, Product
Design Changes)

Operational Decision Makers

Commercial
Optimization Experts
(E.g., Vendor Selection,
Part-Time Contractors,
Project Rationalization)

Source: Gartner (May 2019)

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3. Position Finance Leadership as Co-Pilots

BU CEO

BU 1 GM CHRO CIO CFO

Head of FP&A Controller

GM = General Manager
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3. Position Finance Leadership as Co-Pilots

Source: Adapted From Nielsen

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Recommendations

Map your current business partner roles to the four profiles in order
to realize current state
Consult with FBP customers to determine the biggest need. Build
your perfect world finance business partner model based on
this need.
Take incremental action to redefine finance business partner roles
toward that desired state. Start by eliminating or moving other work
away from FBP.

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