Managing digital transformation is a way of life for the modern CFO. It is an essential rite of passage for companies that aim to automate the routine tasks that finance teams have traditionally performed, while ensuring that finance professionals have the analytical acumen to understand the impact of changes to the business model such as adoption of new revenue streams, expansion of offerings, and new delivery options for products and services.

As the organization’s financial steward, the CFO plays an important role in determining the feasibility of rolling out a new business model, said Bryan DeGraw, Associate Principal, The Hackett Group. “There needs to be a disciplined approach to evaluating new business models and the technology to support them. If you want to offer a new bundle or service, and it will take some heavy lifting with legacy systems, that can hamper the organization’s ability to grow. But you also want to be sure that there will be a return on this new offering.”

As businesses look to modernize, they often contemplate launching new business models or building on existing recurring revenue offerings, including subscriptions and usage-based plans. While this is often a smart business move, these initiatives require a new look at the order-to-revenue process and technology.