Digital technologies, such as social media, mobile, analytics, or cloud, are revolutionizing the way that businesses interact with their customers, their suppliers, and their partners. Companies in all industries are challenged to adapt their business and technology strategies as well as their operational processes to these fundamental changes – they have to undergo a ‘digital transformation’. This also affects the finance function and will change operations, processes, and structures within this business unit over the next few years. It will not only have an impact on the way the finance function operates and interacts with other parts of the business, but will also change the role of the CFO – and the way external service providers for finance & accounting are being used. To analyze these effects and the way they are being approached by organizations, PAC - commissioned by HP - interviewed 301 CFOs in mid-sized and large companies in 12 countries globally and across all industry sectors.

1. © PAC
The CFO Agenda 2020:
Getting Ready for the Digital Age
2014
Worldwide
EXECUTIVE SUMMARY

2. This Executive Summary highlights the key findings of a
recent independent global survey of 301 CFOs.
The full report, as well as regional analyses (for the Americas, Europe and
AsiaPac) and a number of Spotlight Analyses, will be published over the
coming weeks.
The survey addresses the following questions:
● What are the key challenges and strategic priorities for the
finance function and how will these change over the next
years?
● How are the importance and impact of different digital
technologies for the finance organization perceived, and how
well are organizations prepared to take advantage of these
technologies?
● To what extent are different digital technologies perceived as
enablers for the finance function to achieve its key objectives?
● What capabilities are required within the finance function to
achieve its key objectives, and how well can organizations fulfill
these capabilities?
● How will the role of the CFO change and what are the
implications for decision processes and cooperation with
other parts of the business?
● Which role do external business process service providers
play and how is this expected to change? In which areas are
they being perceived as adding benefit? How can they support
digital transformation initiatives?
© PAC
About this report
Digital technologies, such as social media, mobile apps, analytics,
or cloud, are revolutionizing the way in which businesses interact
with their customers, their suppliers and their partners.
Companies in all industries are challenged to adapt their business
and technology strategies, as well as their operational processes, to
these fundamental changes – they have to undergo a ‘digital
transformation’. Cloud, mobile, social and analytics/big data
technologies are important drivers and enablers of this change.
This also affects the finance function and will change operations,
processes and structures within this business unit over the next
few years.
It will not only have an impact on the way in which the finance
function operates and interacts with other parts of the business, but
will also change the role of the CFO – and the way external
finance & accounting service providers are being used.
To analyze these effects – and the way they are being approached
by organizations, PAC – commissioned by HP – conducted a
survey among 300 finance decision-makers (CFOs or their direct
reports) in mid-sized and large companies of all industry sectors
around the globe.
2 The CFO Agenda 2020 - Executive Summary 2014

3. Manufacturing
Banking & Insurance
Public Sector & Health
Telecom & Utilities
Retail & E-Commerce
Transportation
Services
Composition of sample by number of countries
10 countries and more
© PAC
Survey of 301 CFOs in companies with more than US$ 1bn
turnover, around the world and across all industries
Composition of sample by country
8%#
8%#
9%#
8%#
8%#
8%#
8%# 8%#
8%#
8%#
8%#
8%#
US
Canada
Mexico
Brazil
UK
France
Germany
Spain
Hong Kong
Japan
Singapore
Australia
©#PAC#2014#
Share#in#percentage#of#all#companies,#n#=#301#
Americas
Europe
APAC
Composition of sample by industry
31%$
7%$
5%$
8%$
26%$
18%$
4%$
©$PAC$2014$
Share$in$percentage$of$all$companies,$n$=$301$
in which business is conducted
17%$
47%$
37%$
1 country
2-10 countries
©$PAC$2014$
Share$in$percentage$of$all$companies,$n$=$301$
Composition of sample by number of
employees in the finance function
41%$
27%$
32%$
Less than 100 people
100-299 people
300 people and more
©$PAC$2014$
Share$in$percentage$of$all$companies,$n$=$301$
3 The CFO Agenda 2020 - Executive Summary 2014

4. Top priorities for CFOs globally include risk
management and the provision of financial information
for strategic decision support
Which are the key priorities for the finance function in the
© PAC
Strategic priorities for the CFO
● Strategic priorities for CFOs in mid-sized and large
companies around the world center on strategic, business-oriented
topics, such as the provision of financial
information for decision-support, business risk
management or greater control and transparency.
However, operational tasks such as efficiency
51%
36%#
improvements and cost reduction are also increasingly
important.
44%
40%#
● Consequently, the key challenge for CFOs is to successfully
master the balancing act between necessary cost reduction
47%
37%#
and effective support of strategic business activities.
Furthermore, the demands on the finance function are
53%
30%#
increasing over time, thus putting greater pressure on
CFOs: more than 50% of CFOs see the provision of financial
50%
32%#
information for decision support and the efficient handling of
operative processes as rising in importance over the next 5
years.
48%
34%#
● Improvements to business outcomes and the management
49%
30%#
of business risk are considered highly important
capabilities required in the finance function. Most CFOs are
39%
33%#
confident that their finance function is effective in achieving
these capabilities, and more than 80% of CFOs are also
satisfied with the operational capabilities in their finance
function
4 The CFO Agenda 2020 - Executive Summary 2014
0%# 20%# 40%# 60%# 80%# 100%#
Provision of financial information for
strategic decision-support
Measurement / surveillance of business
performance
Cost reduction within the finance function
Management (and reduction) of business
risk
Achieving greater control and transparency
across finance processes
More efficient handling of operative
processes and transactions
Fulfilment of Compliance requirements
Support for business activities (growth) in
new geographies or new markets
coming year?
High#priority# Some#priority#
©#PAC#2014#
Share#in#percentage#of#all#companies,#n#=#301#

5. The majority of CFOs see digital technologies as
having a major impact on the finance function. This
will also imply a change in the role of the CFO.
How do you rate the impact of new
digital technologies on the finance function?
Quite significant
30% Minor
© PAC
Impact of digital technologies on the finance
function
● There is high awareness among CFOs that
digital technologies, particularly automation
and mobile, as well as the cloud, analytics
and social media, are having a major impact
on the finance function. 59% of CFOs see
digital technologies as having a “quite
significant” or even “disruptive” impact on
the finance function.
● The majority of CFOs recognize that digital
technologies bear value for the finance
function to achieve its strategic objectives –
and they feel well prepared to make use of
such technologies. Not surprisingly, process
automation is valued highly by 84% of CFOs,
although it is interesting to note that mobility
is also a highly rated technology (77%) –
implying that the use of mobile devices and
mobile access to data is rising in importance.
6%
53%
Disruptive
11% No impact
© PAC 2014
Share in percentage of all companies, n = 301
5 The CFO Agenda 2020 - Executive Summary 2014

6. The role of the CFO is changing towards business-oriented
priorities, enabled through technology.
● The role of the CFO is
changing towards business-oriented
priorities: more than
80% of CFOs – across all
regions – see a need to
enable revenue growth,
ensure risk management
and support a positive
customer experience.
● Technology will act as an
important enabler in this,
requiring the CFO to
collaborate more closely with
the CIO on technology
deployment decisions, but
also with other parts of the
business, such as sales and
marketing or customer
service.
© PAC
The changing role of the CFO
“The CFO has to work
more closely with the
sales, marketing and
customer service lines
of business to support
a positive customer
experience.”
“The CFO has to
collaborate more closely
with the CIO on
technology investment
decisions.”
“The CFO has to focus
more on analytics for
effective decision
support than on
transaction
processing.”
85%
83%
“The CFO has an ever
greater role in supporting
and enabling sustainable,
profitable revenue
growth for the enterprise.”
91% of CFOs fully agree or agree
with this statement.
“Managing and
mitigating risk for the
enterprise is becoming
an increasingly
important task for the
CFO.”
91%
89%
6 The CFO Agenda 2020 - Executive Summary 2014

7. The large majority of CFOs plan to increase their use of
external service providers, as these are considered a
means to help reach strategic objectives as well as
support deployment of digital technologies.
How do you plan to increase the use of external
service providers in the next 2-3 years?
45% Plan to keep it the same
18% Plan to decrease usage
Plan usage No external service
provider in use**
© PAC
Current and planned use of external service
providers
● Experience with external service providers,
such as consultants or F&A outsourcing providers
in the finance organization is still limited. One in
three companies currently works with external
service providers. While the share is higher in the
Americas and Europe, it is particularly low in
External service
AsiaPac.
provider already in use*
33%
● When external service providers are used today,
they are primarily called upon for consulting
projects, such as process optimization. Only
14% of the companies surveyed have
outsourced finance processes.
● However, the majority of CFOs are planning to
increase their use of service providers within
the next 2-3 years. 65% of CFOs plan to start,
continue or expand their work with external
service providers. Outsourcing F&A processes is
a focus for an increasing number of CFOs –
especially in AsiaPac.
7 The CFO Agenda 2020 - Executive Summary 2014
37% Plan to increase usage
68%
57%
33%
© PAC 2014
Share in percentage of all companies, n = 301
*Share in percentage of all companies that use external service providers, n = 100
**Share in percentage of all companies that do not use external service providers, n = 201

8. CFOs acknowledge not only the importance of digital
technologies for the finance function, but also the fact that
service providers have the know-how and capability to help
them deploy such technologies.
in helping your finance function take advantage of digital technologies?
High benefit
Some benefit
How beneficial are external service providers
© PAC
CFOs benefit from service providers when
deploying digital technologies
22%
55%
20% Little benefit
3% No benefit
© PAC 2014
Share in percentage of all companies, n = 301
● The survey illustrates that F&A service
providers have reached a high level of
acceptance. 80% of the CFOs surveyed
stated that service providers can help them
achieve their key priorities. 77% confirm
that service providers can help take
advantage of digital technologies.
● PAC believes that the increasing
penetration of digital technologies will
drive the use of external service
providers – initially for topics around
process automation or analytics for
operational improvements, before
progressing to broader approaches
towards a comprehensive digital
transformation of the business, too.
8 The CFO Agenda 2020 - Executive Summary 2014

9. Dr. Katharina Grimme
Principal Consultant
Pierre Audoin Consultants (PAC)
The finance organization is of critical importance for businesses. In today‘s economic environment, which is characterized
by uncertainty and volatility in increasingly global markets, CFOs are under increasing pressure to support business
performance and effectively manage business risk. At the same time, being a “back-office” function, there is constant cost
pressure and little investment available.
Technology is becoming an increasingly important enabler to help fulfil the growing demands on the CFO. However, new
digital technologies also have a broader impact on the business as a whole: they enforce a digital transformation, with
changes to business models, organizational structures and decision-making. This survey shows that CFOs have
understood the value that technology can bring towards their strategic objectives – and they believe they are well
prepared to make use of this. However, the wider impact of digital transformation is still gradually emerging.
The role of the CFO is changing away from operational tasks and towards business-oriented objectives. Technology acts
as a key enabler. However, to assume a truly driving role in ensuring business success, CFOs will also have to change
the way in which they collaborate with other parts of the business, such as IT, sales & marketing or customer service, if
they are to overcome the increasing challenges of digital transformation.
External service providers can be of valuable help. It has been seen that their technology and business process expertise
are well acknowledged. The analysis also reveals that they are increasingly sought by CFOs to support them in reaching
their strategic objectives, as well as to help master the challenges arising from digital transformation.
The stakes are high for the CFO, but a proactive approach towards digital technologies and transformation will not only
help to fulfil the requirements of the business, but will also position the CFO as a key driver and enabler for the future
competitiveness of the organization.
© PAC
Analyst Conclusions
9 The CFO Agenda 2020 - Executive Summary 2014

10. © PAC
Disclaimer, usage rights, independence and
data protection
Disclaimer
The content of this study has been compiled with the greatest possible care. However, no liability for its accuracy can be
assumed. Analyses and evaluations reflect the state of our knowledge in July 2014 and may be subject to change at any
time. This applies in particular, but not exclusively, to statements made about the future. Names and designations that
appear in this study may be registered trademarks.
Usage rights
This study is protected by copyright. Any reproduction or dissemination to third parties, including in part, requires the
prior explicit authorization of HP. The publication or dissemination of tables, graphics etc. in other publications also
requires prior authorization.
Independence and data protection
This study was produced solely by Pierre Audoin Consultants (PAC). HP had no influence over the analysis of the data
and the production of the study. The participants of the study were assured that the information they provided would be
treated confidentially. No statement enables conclusions to be drawn about individual companies, and no individual
survey data was passed to HP or other third parties. All participants in the study were selected at random. There is no
connection between the production of the study and any commercial relationship between the respondents and the
sponsors of this study.
10 The CFO Agenda 2020 - Executive Summary 2014

11. © PAC
About HP Business Process Services
HP is a world leader in business process services (BPS), with 45,000 professionals serving more than 300 enterprise and
government clients and nearly 700 small/medium businesses in 26 countries. We provide strategy, solutions, services, and
products designed to solve complex business issues and achieve better business results. Our comprehensive portfolio
includes a variety of industry-tailored business services, including finance & administration, business analytics, customer
engagement management and HR/payroll services. Supplemented by applications and IT experience and in-depth, industry-specific
knowledge, our services provide business-focused solutions tailored to your strategic goals. Our scale is vast and
we serve clients around the globe:
• We serve F&A clients across all major industries with 10,500+ F&A professionals from over 20 global F&A BPS centers.
• We annually process over 42 million pay slips and maintain over 25 million employee data and eligibility profiles.
• We deliver contact center services in 51 languages and 42 countries.
• We print more than 4.6 billion images annually for clients.
Our services address your most pressing challenges, including increasing your operational agility, providing process
standardization and visibility, and gaining timely access into your ever-increasing store of enterprise data. We have the
global expertise, technology advantage and process leadership to help improve your business results.
hp.com/services/bps
11 The CFO Agenda 2020 - Executive Summary 2014

12. © PAC
HP Business Process Services – Finance & Administration Services:
HP F&A Services can improve your business outcomes and increase enterprise agility. These services range from high-resource,
low-complexity transaction processing activities to complex decision-making and analytics support. Our
services help you decrease operational costs, achieve operational excellence, improve information for decision-making,
and increase cash flow. Through our leading technologies and process expertise, we have helped clients improve cash
flow by more than 50%.
• HP Finance and Administration Services address four key areas for CFO organizations:
• Source-to-pay – Strategic sourcing, procurement operations, supplier invoice processing, and payment recovery
services
• Order-to-cash – Sales and credit management, billing, collections management, cash application
• Record-to-report – General accounting, financial planning, analysis and reporting
• Business analytics – Management dashboard, performance and trend analysis, and predictive modeling
The services are delivered through our global industrialized delivery network – an integrated group of off-shore, near-shore,
and on-shore leveraged centers. We work collaboratively with clients to develop a transformation roadmap that
meets their business objectives and timelines. Our offering drives improvements across client organizations and
provides the business insights required to deliver better business results.
12 The CFO Agenda 2020 - Executive Summary 2014

13. © PAC
About us!
From strategy to execution, PAC delivers focused and
objective responses to the growth challenges of
Information and Communication Technology (ICT)
players.
PAC helps ICT vendors to optimize their strategies by
providing quantitative and qualitative market analysis
as well as operational and strategic consulting. We
advise CIOs and financial investors in evaluating ICT
vendors and solutions and support their investment
decisions. Public institutions and organizations also rely
on our key analyses to develop and shape their ICT
policies.
Founded in 1976 and headquartered in Paris, France,
PAC is part of the CXP Group, the leading European
research & advisory firm in the field of software and IT
services.
For more information, please visit: www.pac-online.com
PAC’s latest news: www.pac-online.com/blog
2014
Dr. Katharina Grimme
Principal Consultant
+49 (0)89 23 23 68 43
k.grimme@pac-online.com
Melanie Flug
Analyst
+49 (0)30 285 296 24
m.flug@pac-online.com