Software as a Service (SaaS) is increasingly popular among CFOs as a tool to gain business information on demand. Headland Machinery is the latest company to adopt SaaS-based enterprise resource planning, gaining insight into both its consumers and internal organization. SaaS has allowed Headland Machinery to unite its remote locations through a single system instead of allowing geographical boundaries to dissipate team effort.
Headland CFO Lucas Vear says he’s already seen massive improvement with the implementation of SaaS. One of the most immediate benefits was improved customer service, as Headland could orientate and segment customers to service them accordingly. The complexity of invoicing through a different system was removed, which also reduced costs.
Vear is in a unique position in that he works as both the CFO and CIO of Headland. Since he has oversight into both departments, Vear has experienced first-hand how SaaS can positively transform the CIO-CFO dynamic. Software optimization and business security perfectly accompany the cost efficiency that CFOs are trying to accomplish. Furthermore, real time reports are improving business mobility as methodical monthly reports slowly lose their weight.
CFOs Uncover and Address Hidden Costs
As SaaS increases internal transparency, CFOs are suddenly discovering hidden internal costs. While hidden costs are draining the coffers of major corporations with large data center outsourcing businesses, industries like banking, retail, and healthcare have all been impacted.
SaaS is giving CFOs more insight before their organizations enter rapid-growth markets. While expansion is a tempting strategy to grow a business, rapid-growth markets are often inundated with hidden costs, thereby eroding growth opportunities. A new Ernst & Young survey reveals that rapid growth markets are an integral component of growth. Whether or not you’re in a “smokestack industry,” it’s clear that implementing SaaS has many benefits.
The main issues that CFOs face include financing, market entry, operational, regulatory, human capital, and political issues. While SaaS can’t solve everything, increased data makes it easier to oversee every stage of internal operations. As data integrity is improved and made available to more key players, businesses will be able to make better financial and strategic decisions.
Has your organization thoroughly integrated SaaS solutions?