CFOs today are under pressure to reduce G&A costs while growing their company; however, less than 10% of organizations can consistently expand both revenue and margins.
Two factors drive overhead costs and make maintaining margins difficult:
- Changing Nature of G&A Work: G&A functions must evolve to deliver more strategic value to businesses.
- Growing Complexity of Organizations: Organizations are becoming more complex, both geographically and organizationally.
Unfortunately, traditional cost management tools cannot provide the depth of granularity or value assessment needed to improve efficiency of G&A work.
Organizations that transform their approach to cost management in line with the changing nature of G&A expenses are significantly more likely to succeed.