The future of CFOs: Five predictions for 2025 and beyond
As we approach 2025, the role of the Chief Financial Officer (CFO) continues to evolve rapidly, particularly in Australia. Investors and business leaders are looking beyond traditional financial oversight, demanding strategic vision, digital savvy, and the ability to navigate uncertainty. Here are five key predictions for the future of CFOs and finance functions in 2025, based on emerging trends and insights from the recent Finance 2035: Return to Investment survey.
Investors are prioritising CFO competence over CEO leadership
For the first time, Australian investors are placing greater emphasis on CFO competence than CEO leadership. Companies with CFOs driving strategic growth saw an average increase of 2.6% in initial investor funding, rising to 3.6% among top asset managers. This reflects a growing recognition of the CFO's role as a primary driver of innovation, business growth, and investor confidence.
What this means for CFOs: Australian CFOs must sharpen their strategic capabilities and demonstrate leadership beyond financial stewardship.
The CFO's strategic value is skyrocketing
Globally, 88% of investors believe the CFO's influence will continue to grow over the next decade. This sentiment is even stronger in Australia, where 83% of investors rate CFO competence as a key factor in investment decisions. CFOs are increasingly seen as vital navigators of economic volatility and global risks.
What this means for CFOs: Embrace a broader leadership role that integrates financial expertise with strategic decision-making and risk management.
Data overload is a mounting challenge
As businesses generate and rely on unprecedented volumes of data, 79% of Australian CFOs identify data overload as their top challenge. Moreover, nearly 70% struggle to balance the technical and strategic demands of their role, signalling an urgent need for better tools and streamlined processes.
What this means for CFOs: Implementing unified data platforms can alleviate these challenges by enabling real-time insights and more effective decision-making.
AI and automation will redefine finance functions
Seventy-five per cent of business leaders agree that AI and automation will reshape the finance function by 2035, with a significant impact already evident by 2025. Unified data is seen as the linchpin for leveraging AI to drive efficiency, accuracy, and agility in finance operations.
What this means for CFOs: Invest in AI-driven tools and upskill teams to adapt to new technologies that will drive the next wave of transformation.
Case Study: Web Travel Group's growth through digital transformation
Australian travel giant Web Travel Group exemplifies how CFO-led digital transformation can yield tangible results. By implementing OneStream's unified data platforms Web Travel Group streamlined its finance operations across multiple systems, achieved significant cost savings, and fuelled post-COVID growth, culminating in record earnings in FY24.
What this means for CFOs: Digital transformation is no longer optional. CFOs must champion technological innovation to enhance operational efficiencies and drive sustainable growth.
Conclusion
In 2025, the CFO will be more than just a financial steward - they will be a strategic leader, a technology advocate, and a key driver of business growth. To meet rising investor expectations and overcome the challenges of data overload and economic volatility, Australian CFOs must embrace innovation, prioritise unified data, and take a proactive role in shaping the future of their organisations.
