Page 169 - E2 Integrated Workbook STUDENT 2018

The finance function

The position of finance

5.1 Business partnering

The finance function plays a critical role in providing information for decision-making.
In the new business environment where competition is global and fierce, companies
need better information than ever before in order to remain competitive.

Finance professionals are expected to add value to the business by becoming more
involved in matters of production, distribution and sales and to play a fuller role at a
strategic management level, in particular helping to decide which markets to serve
with which products.

One way of achieving this is to set up a dedicated finance function within each
business area.

Advantages Disadvantages

 Information can be provided as  Duplication of effort across the
and when required for business organisation.
decision making.
 There is no sharing of
 Increased knowledge of the knowledge which can happen
business area and its needs. within a larger, more diverse
team.
 Strong relationships can be
built up between the  Best practice may not be being
accountants and the employed and practices within
management of the business some business areas may
area. become outdated.

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