Paul Barnhurst argues that chasing a level-five FP&A maturity model fails if your data and technology foundation is weak. Real impact comes from lifting the whole organization's maturity, not just FP&A's internal rating.
One of the big things I've emphasized about a maturity model is not everybody needs or should be at a 5. If it's a scale out of 5, should be at a 5. You're going to be at different areas on different things based on your business's need, where its data's at. If your data and foundation is a complete mess, there's no point of trying to be a 5 in technology for just FP&A. You got to go back and bring everybody along. Again, the change management, and maybe you need to get to a 5 as an organization, but FP&A as a 5 doesn't do you a whole lot of good if everybody else is a 2 in their technology.
Right, right. Then I think where you're actually adding value is by influencing the rest of the organization and helping guide them to get to a level of maturity where then the FP&A process can apply and be relevant. And so you actually get to play a role outside of finance in driving the organization towards what you're able to then add value after they get there. It's actually pretty awesome to think about how that trains you as an individual.
Trust and Leadership Lessons for FP&A From 100+ Top Leaders with CFO Jon Laudie
