Chief financial officers (CFOs) are struggling to keep pace with the many demands of their roles, burdened in particular by compliance issues, according to new research.
Sponsored by accounting firm RSM Bird Cameron, the study sought to reveal the chief issues facing CFOs today, which includes compliance, measurement of value, gearing, private equity and taxation.
RSM Bird Cameron national chairman Kim Hutchinson said: “CFOs are facing an enormous compliance task, and this is adversely affecting their ability to think strategically about their businesses.”
According to the research, 94 per cent of CFOs surveyed reported that compliance requirements consumed on average up to 50 per cent of their time.
Increasing compliance burdens have adversely impacted the ability of CFOs to add value to their business, with 78 per cent reporting that it has affected their ability to function more strategically and develop the capabilities required by their organisations.
The tax regime is also becoming a concern as Australia’s tax laws increase in complexity. Only 25 per cent of CFOs thought they understood the tax regime very well, and 47 per cent reported using outside advisers to assist them with navigating the tax rules.
