Future of Finance Digital Finance Academy · How can the KPMG Digital Finance Academy help? Designed for finance professionals with at least four years of work experience in finance

Future of finance

28 April 2020

2© 2020 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG

International”), a Swiss entity. All rights reserved..

One column textAgenda• Dealing with the ‘new’ normal

• KPMG Digital Finance Academy

Dealing with the ‘new’ normal



Cross-sector business disruptors

Experience

centricity

New business

models

Big

data

Convergence

of industry

models

Changing

workforce

demographics

Emerging

technology

Shifting

geopolitical and

regulatory

environment

“Growth

or die”

Finance

COVID-19



The CFO agenda for disruptionLeading strategy and

capital allocationIncreasing role in innovation

Trends and economics behind disruption

Approaching disruption at the organisational level

Maintaining an innovation portfolio

Disciplined portfolio process and structure

Extreme

automation

Insights

and analysis

Organisational

simplification

Skills

and talentIntegrating new technologies:

Cloud ERPs

Robotics

Artificial intelligence

Blockchain

Mobile

New insights through:

Automated descriptive and

diagnostic analytics

New predictive and

prescriptive analytics

Integrated business planning

Local decision support

Changing work:

Fewer people

Less hierarchy

Fewer offshore locations

Changing requirements:

Both strategy and finance skills

Process and control leaders

Relationship and collaboration

Leading finance organisations have developed an agenda to deal with disruption

Risk managementResponse to disruption impacts how risks and

controls are managed in an organisation and

the need to continuously evolve.



Finance has to respond to the COVID-19 economic impactA new factor to consider on the finance agenda

Establishing the finance agenda COVID-19: Significant economic

impact

Resilience

Recovery

New Reality Adapting to the

new world

Aligning the

journey

What to do

now

KPMG has been helping finance organisations develop

an agenda to deal with evolving business disruption

COVID-19 infuses a new consideration

for finance which requires a staged

agenda as we work through local and

global business challenges



The finance ‘new’ normal

Financial impact Recovery measuresCost-consciousness

The new normal

Preparing for a longer

recovery

• Permanent disruption

• Structural change in ways of

working

• Changing business models

• What might change: The way

we work, customer interactions

Workforce management

• Managing employee morale

• Ensuring productivity

• Assessing workforce resilience

• What might change: remote

working, reduced down time.

Cost consciousness

• ‘Cash is king’ – a revelation

• Liquidity crunch and cash flow issues

• Conscious expenditure spend

• Working capital optimization – need of

the hour

• What might change: Short to medium

term focus on conserving value

Financial reporting guidance and

disclosures

• Financial reporting matters to consider

• Changes in accounting and reporting

issues

• What might change: Materiality

thresholds, potential impairment, going

concern assumption

Finance leaders are on the corporate frontline – their time to act is NOW.



Evolution of finance

Business

profitabilityGrowth

Responsible for driving long-term business

performance and enabling agility to flex quickly

as the business changes

Collaborate with the business to

perform integrated finance processes

Act as a strategic thinker—decisive, challenging,

innovative, and ambitious—to enable an

“art of the possible” mind set

Conduct critical analytics to maximize the

business portfolio and promote sustained growth

Finance of the future has an evolving role, broader than we have seen before, with new expectations, interactions, and evolving

priorities, which help drive business profitability and growth for the organisation



What you need to start considering?A fit-for-purpose organisational structure for finance with clear alignment to evolving business strategies is critical to

navigate the disruption. For sustainable success, finance organisations need to consider the following design priorities.

What works gets done:

Higher-value services

Sophisticated data modelling and virtual visualization

Innovation and new capital allocation approaches

Management of digital workforce (robots and

artificial intelligence)

End-to-end process management

Who does the work:

Reshaped support structure

Outsourcers as partners vs. doers

Flexible, more contingent workforce

Transactional layer is marginalized

Emphasis on partnerships and reducing silos

High skill set employees / digital skill set

Where work gets done:

Geography no longer matters

Virtual delivery centres/ “no shore”

Local need highly reduced or eliminated

Globally controlled

How work gets done:

Automation and integration

Experience centricity

Robotics and artificial intelligence everywhere

Language neutralization removes barriers

One-office combined (back, middle, front)



Where do you begin?

Define

your CFO’s

vision and

organisation

goals

Establish

your new

“ways of

working”

Determine

your talent

strategy,

including roles

and risks

Assess your

learning and

development

Strategy

Begin

considering

people and

change

impacts

The list below outlines key activities required to strategically

engage and prepare your workforce for disruption:



Inversion of existing paradigms in the finance functionFinance can leverage extreme automation to play an enhanced business partnering role to drive value

Insight delivery

Cognitive andanalytics

Data normalizationand governance

Foundationaland transactional

Current knowledge-work Value distribution

Future knowledge-work value distribution

Finance professionals will have to understand, create and leverage a symphony of digital tools and platforms

Finance capabilities

Platform based centralisation and digitisation of all operational finance processes – P2P, O2C and R2R

Data governance and digital controls enablement of operational and specialised finance processes –Reporting, Treasury, Tax etc

Leveraging data and cognitive tools to deliver predictive analysis and actionable insights

Enhancement of the business and corporate finance role to action the improvements in working capital and costs



Transitioning to be true business partners

Most finance business partners are operating as administrators or cost managers.

Lifting the performance of finance business partners can help drive value and overall business performance.

How are you preparing your organisation to make the leap?

Month end coordinator

Transactional processing

and accounting

Standard and ad-hoc

reporting

Valu

e

Typical finance business

partnering organisations

today

Time and cost

Budget vs. actual

variance

Cost/project accounting

Short-term planning

Reviews and writes

commentary

Shareholder value

analysis

Root-cause analysis

Budgeting and

forecasting

Driving decisions

Strategic planning

Capital management

Value-based

management

Multi dimensional

profitability analysis

Operational and financial

perspective

Enterprise portfolio

perspective

Involved in major

business transactions

Profit and Loss

accountability

Statistical decision

modelling tools

Administrator

Cost manager

Partner

Performance driver

Strategist

Low

High

High



Skills

and talentChanging requirements:

Both strategy and finance skills

Process and control leaders

Relationship and collaboration

Organizational

simplificationChanging work:

Fewer people

Less hierarchy

Fewer offshore locations

New skillsIn a rapidly changing environment, finance organisations must assess new

work to be done, and how this translates to the skill sets of their workforce

Data modeling, analytics,

and visualisation

Robotic share (RQ)1

Strategic trend analysis

Research capabilities

Design thinking

background

Programming expertise

Data utilization

and technology

Strategic thinking

Service management

Relationship management

Impactful storytelling

Feedback, communication,

negotiation

Program management

Navigation skills

Ambiguity and white space

Behavioral

Business modeling

Core financial driver

analysis

Process design and

navigation

Finance

technical

1Source: Man and Machine: The Future of Jobs, Forrester Podcast

Polling questions

KPMG Digital Finance Academy



How can the KPMG Digital Finance Academy help?Designed for finance professionals with at least four years of work experience in finance or a finance-related role.

increased on the job performance

fungibility

talent pipeline

Core finance skills - 14 hours• Financial reporting:

accounting fundamentals, financial statement analysis

• Financial planning and

analysis: budgeting,

decision support reporting

• Treasury: risk management,

fundamentals of treasury

• Investor relations: Effective

communication of company

equity story, latest trends

• Internal audit: life cycle,

fundamentals

Data technology skills- 12 hours• Robotic process

automation: challenges,

risks, benefits, lifecycles

• Machine learning/ artificial

intelligence: constituents,

role of data

• Digital finance close:

Automatic reconciliations,

Balance Sheet Certifications

• Fintech

• Data analytics

• Big data and Power BI

Behavioral Skills- 9 hours• Design thinking: strategy,

capability, application

• Agile methodology: need,

basis, principles

• Digital mindset: importance

in businesses

• Introduction to change

management: change

impact analysis, designing

matrix



Indicative learner’s journey – Eight weeks

WeeksOne and two

Weeksthree and four

Weeks

five and six

Weeksseven and eight

On completion on weekeight

Future of Finance webinar

Access to blended e-learnings from the modules opted

Assessments

‘Impact of disruptions in the market’ webinar

‘Ask me anything’ with KPMG Leader - Webinar

Participants who undertake thee-learnings will be awarded aKPMG in India certificate ofparticipation.



KPMG Digital Finance Academy | Snippets











KPMG Digital Finance Academy | FAQ

➢ Access to the e-learnings shall be provided for 8 weeks

➢ Certificate of completion only on successful completion of all or single cohort

➢ Hosted on KPMG’s Learning Management System (LMS)

➢ Option to cherry pick individual courses – however, a minimum of three courses have to be selected

➢ Reach out to [email protected] for registration related queries

Polling questions

Q&A

Thank you

home.kpmg/in/socialmedia

The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to

provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in

the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation.

© 2020 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International

Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

The KPMG name and logo are registered trademarks or trademarks of KPMG International. This

document is for e-communication only

Documents

Future of Finance Digital Finance Academy · How can the KPMG Digital Finance Academy help? Designed for finance professionals with at least four years of work experience in finance