Study: Compliance drives need for better performance management

Study shows how leading finance teams can leverage technology required for compliance to deliver better, more predictable performance results

26 January 2005 -  During a recent research study by CFO Research Services and SAS, the leader in business intelligence, senior finance executives from 10 leading US companies make it crystal clear that they need better data about their organisations' operating activities and more forward-looking information about their customers, employees, and suppliers so they can comply with new regulatory demands that extend into nearly all aspects of business.

These executives say they are going beyond data collection. By integrating these measurements with new analytical applications in performance management systems that feature innovative display and 'drill-down' capabilities, finance executives have a new appreciation for the way managerial decisions contribute to higher performance.

These results were unveiled today in a Webcast titled The Convergence of Compliance and Performance Management - Extending the Impact of Finance across the Enterprise. The Webcast encapsulated the results of a series of in-depth, one-on-one interviews with senior finance executives from Charles Schwab & Co. Inc., DuPont, Nissan Motor Co. Ltd., Pep Boys, PepsiCo Inc., TIAA-CREF, United Natural Foods Inc., Washington Adventist Hospital and Wells Fargo & Co. This Webcast demonstrated how CFOs and other senior finance executives are combating unacceptable performance surprises by expanding performance management beyond financial performance to include their customers, suppliers, workforce and IT infrastructure.

"New regulations such as Sarbanes-Oxley, the USA PATRIOT and Basel II have given finance managers new responsibilities and increased visibility throughout their organisations," said Phil Strand, global strategist for financial intelligence and corporate compliance at SAS. "Finance executives can meet the demands of their evolving roles while providing value to the organisation as a whole, through performance management systems that can demonstrate to senior management how their decisions can drive higher performance."

Available now at www.sas.com/events/cm/40449, the Webcast and a follow-up report provide valuable details on best practices employed by financial executives to integrate compliance with performance management, including:

• Practices adopted by finance departments to comply with government regulations and to improve the predictability of their operating and financial performance.
• Strategies for effectively finding and preparing for surprises before running afoul of regulators or investors.
• Efforts to use regulatory compliance to strengthen their relationships with the rest of the organisation.
• Achievements in financial improvements by expanding performance management to include non-financial data.
• Uses of technology to support the convergence of compliance and performance management.

About CFO Research Services
Original research and thoughtful analysis are the cornerstones of CFO Research Services, the sponsored research unit of CFO Publishing Corporation, which publishes CFO magazine in the U.S., Europe and Asia, including China. This team of research professionals dissects emerging trends in business strategy and financial management using mailed surveys and personal, on-the-record interviews with respected chief financial officers and other senior financial executives. The team's published white papers and research reports often provide a backdrop to conferences and seminars produced by CFO's Executive Programs group. For more information, please go to www.cfo-research.com.

About SAS

For further information, please contact the team at the SAS press office on:
Tel: +44 (0) 1628 490490
e-mail saspressoffice@suk.sas.com
For more information on SAS, please visit www.sas.com/uk

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