(by: Asavin Wattanajantra)
After speaking with CFOs in a variety of industries around the world, we learned growth is a common objective.
However, ‘growth’ is defined relative to a business’s needs and objectives. In some cases the levers simply need to be adjusted, and in other cases they need to be created. In all cases insight-providing data was key to confidently knowing the best option to take. We all feel more in control with facts at our fingertips, and insights from fellow finance leaders are invaluable.

Are other CFOs facing the same challenges? What keeps them up at night, and what are they planning to do about it? Networking could offer some answers. But that takes time—a precious commodity you may not have to spare.

We can help. We spoke to over 280 manufacturing and distribution senior finance leaders for our report, Secrets of Successful CFOs. They told us how they’re redefining their roles in the face of change, and what works when transforming potential hurdles into stepping stones to innovation and strategic leadership—for the business and for themselves.


Mind the gap
Interestingly, the findings highlight a significant gap between manufacturing and the global average of other industries when it comes to operational involvement, strategic influence, and collaboration. Manufacturing CFOs are currently 10% less likely than their peers in other sectors to be part of operational decision-making.

They’re also less likely to report significant involvement in strategic planning and collaboration with the C-suite and board.
Opportunities do indeed exist for manufacturing finance leaders to expand their influence in decision-making and strategic direction— however, it’s not only the business that can benefit.

With just 24% of senior manufacturing finance leaders happy with their work-life balance and job satisfaction, it’s clear a change is necessary.
A culture of flexible working provision and active wellbeing initiatives helps to promote a healthy work-life balance. The report identifies two additional opportunities to nurture this culture, in essence by creating time.

As automated as the manufacturing industry can be, that automation does not always make it to the greater finance and accounting teams.
In fact, only 60% of manufacturing CFOs said that over half of their finance processes could be automated, compared to a cross-sector average of 74%. And just 51% of manufacturing finance leaders are adopting new technology such as automation, machine learning, and artificial intelligence (AI), as opposed to 64% across the business world as a whole. Accelerating and integrating the adoption of this technology equips you and your teams to manage complexity and drive innovation.

Access to real-time data gives you and other leaders across your business the information you need to make confident decisions faster.
It all starts with automation. By automating tasks, you can connect different workflows, centralize data, and capture valuable information.
That data then fuels your machine learning and AI, driving even more insight as to how to improve efficiency and productivity.


Turn challenges into advantages
If the rewards of technology are so great, why the low uptake? CFOs across all industries continue to cite business interruption and cost as the
main barriers. Yet, increasingly, the cost of not equipping your business with a modern enterprise resource planning system may lead to longer-term opportunity costs and competitive losses.

Make a plan, and you make it happen. Here are some practical, forward-looking recommendations to help you reframe challenges into advantages, enhance your influence, and drive positive change across your organization.


Become future-ready
Enable your company to modernize with an Enterprise Resource Planning (ERP) built with configurable options. It should be designed for manufacturers and informed by a deep understanding of the people who’ll be using it.

Choose your platform and your vendor wisely. Opting for a cloud-native ERP means easy integrations for resilience, adaptability,
and scalability. Unlike legacy systems, cloud-based solutions handle updates and releases seamlessly, reducing the risk of business interruptions from broken integrations.

And remember, when you choose your platform, you’re also choosing your vendor and implementer. Ensure your strategic partners are committed to your long-term success and align with your company’s strategic initiatives. They should be experienced and trusted in the manufacturing industry.


Connect automation
Connecting financial and operational insights will connect you and fellow leaders with a single line of sight across your entire business.
With anywhere, anytime accessible real-time data you will have cross-functional alignment for easier collaboration and quicker decision making.


Expand strategic roles
Fostering collaboration with a secure, connected source of real-time data along with self-serve reporting, easy-to-use reporting wizards, and configurable dashboards across functions will enhance your strategic input and help you be seen as an efficiency enabler.


Tip work-life balance in everyone’s favor
Support flexible and hybrid working environments with cloud-native technology. Ensure that everyone feels connected and up to date, no matter where and when they’re working. And use the time freed up by new technology to focus on strategies for increasing job satisfaction and reducing team turnover.


​Simplify your operations—meet SDMO
SDMO—Sage Distributions and Manufacturing Operations—is designed to evolve and grow with small and mid-sized discrete manufacturing and distribution companies. As a flexible solution, it acts as your tool to find key efficiencies and opportunities.

It does this by being easy to use, it makes the day-to-day flow smoother for your teams. SDMO also helps you access the future now. You’ll avoid your company being left behind in this rapidly evolving world.  SDMO empowers teams from the warehouse to the back office to get more done, more efficiently.

Teams will achieve this with advanced, multi-site inventory management, fast, accurate reporting, and easy-to-use materials resource planning (MRP). All backed by the expert support and industry resources that come with being a member of the Sage community.  Simplified workflows, optimized performance, and a work-life balance that’s back
on your side.

What’s not to like?

Executive summary: Manufacturing

These critical insights, drawn from the responses of CFO-level leaders across the manufacturing sector, highlight significant disparities and opportunities. Consider how the findings can inform and influence your strategic decision-making processes.

As businesses evolve, managing finances becomes increasingly complex. Sage AI offers a cutting-edge solution, leveraging artificial intelligence to streamline financial operations and drive business growth. By automating routine tasks, Sage AI reduces human error and frees up valuable time, enabling businesses to focus on strategic decision-making.

Implementing AI in the workplace can be transformative, but it requires a strategic approach. Here are five key strategies to successfully integrate AI into your financial operations:

It is crucial to approach AI with a growth mindset. Rather than avoiding these technological advancements, leverage them to your advantage and integrate them where feasible. AI is not merely a future solution; it is a present reality. Embrace AI as a tool for growth and innovation. 

Implementing Sage AI’s capabilities can significantly enhance your financial management processes. As your company scales, Sage AI’s flexible architecture ensures that your financial management processes can adapt to new challenges. Whether you’re expanding into new markets or managing increased transaction volumes, Sage AI provides the tools needed to maintain financial control.

With Sage Timeslips, managing your practice becomes a breeze—streamline client relationships, enhance your billing processes, and keep your accounts receivable in check with ease. It’s like having a dedicated assistant who never sleeps, always ready to help you stay organized and efficient. So why not give it a try and see how Sage Timeslips can transform your practice? After all, when it comes to making your work life simpler and more successful, every little bit of help counts!

In today's fast-paced business environment, companies in the distribution and manufacturing sectors face unique challenges that require agile, efficient, and scalable solutions. Traditional on-premise enterprise resource planning (ERP) software often falls short in meeting these demands, creating bottlenecks and hindering growth. If you're looking to optimize your operations and stay ahead of the competition, it's time to consider Sage Intacct with Sage Distribution and Manufacturing Operations (SDMO).

Connect all operations from accounting to the warehouse: Sage Intacct with SDMO provides a tailored suite of capabilities designed to meet the specific needs of distribution and manufacturing businesses.

• Connection of Operations: Sage Intacct with SDMO enables seamless integration across your entire operation, linking accounting, inventory management, and warehousing functions. This unified approach enhances visibility and coordination, driving efficiency throughout your business.

 

• Sage Intacct Core Financials: This feature allows distribution and manufacturing companies to achieve new levels of agility and resilience. As a cloud financial solution, it offers streamlined financial management that adapts to your needs, regardless of the scale or complexity of your operations.

 

• Cut Complexity and Ease Integrations: Sage Intacct with SDMO simplifies the integration of various systems and streamlines day-to-day functionality. By reducing complexity, it ensures smooth operations from accounting to warehouse management, making it easier to handle diverse operational needs.

 

• Automate Accounts Payable/Accounts Receivables: The platform automates key financial processes, including accounts payable and receivable, optimizing cash management, order processing, and purchasing workflows. This automation reduces manual effort and increases accuracy across financial transactions.

 

• Gain Deep, Real-Time Insights: Sage Intacct provides configurable dashboards and unique, user-defined dimensional reporting capabilities. These tools offer deep, real-time financial and operational insights, allowing you to monitor performance and make informed decisions effectively.

 

• Utilize the Exclusive Intelligent GL: This feature enhances anomaly detection and audit efficiency, ensuring greater accuracy and reliability in financial reporting. The Intelligent GL helps identify and address potential issues before they become significant problems, maintaining financial integrity.

By leveraging these capabilities, Sage Intacct with SDMO delivers comprehensive solutions that address the unique challenges distribution and manufacturing companies face, driving operational efficiency and financial clarity.

Profitably manage your production: Managing finances in distribution and manufacturing can be complex, with multiple variables affecting profitability. Sage Intacct with SDMO simplifies this by offering powerful financial software tools that provide clarity and control. ​The platform supports multi-entity consolidations, currency conversions, and complex financial reporting, enabling you to streamline your accounting processes and gain a comprehensive view of your financial health.

Sell and Distribute: Sage Intacct Core Financials enables distribution and manufacturing companies worldwide to gain new levels of agility and resilience with cloud-native, streamlined financial management. This capability aligns with the robust suite of capabilities within SDMO designed specifically for the distribution and manufacturing industries.

• Enable users to take control of the entire order process: With embedded guidance and single-screen task completion, Sage Intacct with SDMO streamlines the order management process, making it easier for users to handle tasks efficiently and accurately.

• Manage items with sales attributes: Sage Intacct with SDMO supports detailed item management, allowing you to customize pricing and manage inventory effectively with sales attributes and customer-specific rules.

• Facilitate customer management: The platform simplifies handling orders, invoices, stock issues, and credit memos, improving customer interactions and ensuring smooth operations by efficiently addressing issues.

​

• See each step of the order through delivery: Gain comprehensive visibility into each stage of the order process, from initial entry to final delivery, allowing you to make necessary adjustments and ensure timely and accurate fulfillment.

Streamline Procurement: In distribution and manufacturing, delivering exceptional customer service is crucial. Sage Intacct with SDMO empowers you to enhance the customer experience by optimizing various aspects of your operations:
​

• Streamline Internal Communications: Sage Intacct with SDMO facilitates a more guided and flexible process for ordering materials from suppliers and vendors, ensuring that everyone is on the same page, and improving collaboration between suppliers and internal teams. 

• Improve Cycle Times and Remove Complexity: With streamlined and automated workflows, Sage Intacct with SDMO helps you reduce cycle times and eliminate complexity. This leads to faster processing and more efficient operations, allowing you to better meet customer demands and deadlines.

• Enhance Supplier Relationships: By automating the analysis of supplier requirements, Sage Intacct with SDMO enables you to make strategic decisions on what to buy and when. This not only improves supplier relationships but also ensures that you have the right materials at the right time.

• Pay & Get Paid on Time: Sage Intacct with SDMO simplifies the invoicing process by allowing you to send invoices and credit notes with just a few clicks. This ensures timely payments and helps maintain positive relationships with both customers and suppliers.

​

• Manage Purchase Requests and Supplier Returns: The platform streamlines the management of purchase requests and supplier returns, making it easier to handle these processes efficiently and keep operations running smoothly.

​
By leveraging the features in Sage Intacct with SDMO, you can significantly improve the customer experience through enhanced operational efficiency, better supplier management, and streamlined communication.