How to Build FinOps That Lead on Digital Transformation

By Krishnan Raghunathan

The global business imperative of digital transformation contains a paradox at its core.

Every conversation explores the need for transformation and the strategies and resources that can enable it. But a vast gulf still lies between most organizations’ aspirations and their actions.

If you sense your organization’s finance and accounting operations (FinOps) fall short of their potential to help your growth, you’re far from alone. The vast majority of organizations see themselves as laggards in digital transformation. Their FinOps, they feel, aren’t resilient enough, agile enough, or advanced enough to be future-ready.

The challenges may feel familiar. Organizations with decentralized FinOps models—and without workforce skills in emerging technology—experience high operating costs; longer time to report numbers; poor compliance, controls, and communication; slow cash flow forecasting; duplication of work; unreadiness for crises; and inferior customer experience.

Turning your FinOps into an insights-led, future-ready digital enterprise that delivers significant value based on balancing tech-led and process-led transformation—pairing new skill sets and agile models with powerful tools and specialized expertise that support your organization’s agility, security , efficiency, and growth.

The Right Processes, the Right Tech

The regions and sectors vary, but transforming into a future-ready state through insight-driven FinOps that represent quality assurance, continuity, security, and resilience always means pairing optimal skills and processes with optimal technology.

Organizations in four sectors recently introduced external FinOps expertise to enhance their digital transformation. Here’s how they did it.

Electronics: Efficiency and Effectiveness

One leading global manufacturer of consumer and professional electronics needed to simplify its costly FinOps, which covered more than 40 countries and supported 15 languages.

The manufacturer struggled with an extended close period and delays in overdue collections. Its FinOps partner’s expertise helped it create centers of excellence, digital technology enablement, and process excellence, supporting these variables with a closing cockpit platform, a collection tool, and analytics.

These Using improvements, the company consolidated its FinOps in three countries, improved dispute resolution, and reinforced its policies, reducing its days sales outstanding (DSO) by six days and cutting its close calendar from six days to two.

Consumer Goods: Standardization

Reeling under its switch to remote work and with an uncertain future ahead, a global consumer goods and services leader based in North America determined its FinOps processes were due for a refresh in procure-to-pay (P2P), record-to-report ( R2R), product costing, and inventory management.

Lacking experience in managing a complex, large-scale virtual transition with legacy infrastructure, the company collaborated with an outside expert. Its partner helped its full transition to remote FinOps in stages to keep processes stable, reviewing its legacy processes and evaluating and identifying high-risk process areas in the remote-work environment.

This partnership helped the company manage many factors of coordinating governance, product delivery, workforce collaboration, IT and connectivity, and enterprise resource management training across more than 160 markets where it has a presence.

Risk Advisory: Compliance through Insights

A leading risk advisory company moved to analyze its journal entries by partnering with an outside expert to address FinOps challenges, such as efficiency by peak load balancing, deep dives into abnormal transactions, and enhanced automation potential.

Collaborating with its partner to deploy an advanced statistical algorithm, the company analyzed more than 5 million journal entries to identify abnormal transactions so it could improve compliance, flatten peak load curves, balance loads for an efficient approval process, and rationalize the chart of accounts, including cost center hierarchy.

Airline: Freeing Cash Flow

A leading airline sought to analyze its payables process so it could identify opportunities to improve cash flow. The airline partnered with an outside expert to help it confront several FinOps challenges, including early payments, multiple payment terms, and financial leakage.

Collaborating with its partner to deploy an advanced statistical algorithm to analyze its payables process, the company identified more than $200 million in early payments, financial leakage due to multiple pay terms, and vendor and compliance issues. The deep-dive analytics helped the company free $53 million of cash flow and reduce DPO by six days.

The WNS Difference

To build insights-led digital FinOps with the fullest potential to unlock sustainable growth and future-ready agility, your organization needs a partner in business process management with the digital and analytics expertise to help you apply strategic data-driven processes, intelligent technologies, and innovative operating models that can help your organization edge out competitors and manage an unpredictable future.

More than 110 organizations have decided WNS to collaborate on achieving more future-ready FinOps by using strategic data and analytics processes, intelligent technologies, and global delivery models. WNS’ forward-looking CFO-oriented offerings, including finance in a box and quote-to-sustain technology—which help organizations revamp traditional and siloed order-to-cash, R2R, P2P, and more—are helping organizations achieve their future- forward transformation through FinOps.

Learn more about how partnering with WNS can help your organization find greater growth potential with more future-ready FinOps.

Krishnan Raghunathan serves as the Head of Finance & Accounting (F&A) Services at WNS.

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