Press Release Detail
Upbeat View From Nation’s Finance Execs Prior to Election Day; Fiscal Cliff, Budget Deficit and Job Creation Remain Concerns
Quarterly Volatility & Variables Poll of 540 Corporate Executives Indicates Many CFOs Are Stressed and Plan to Be More Diligent in Planning and Forecasting
(Mountain View, CA – November 1, 2022)
While there may be mixed views of the U.S. economic outlook by the two Presidential candidates, three quarters of America’s corporate financial executives are relatively bullish about the economy and expect it will stay the same or improve over the next six months. Perhaps, irrespective of who takes office in the White House.
Most of the 540 financial officers surveyed in a new poll released today see the current economic conditions in their industry as the same (45 percent) or better (29 percent) than six months ago. Yet unemployment (55 percent), the deficit (44 percent), and the fiscal cliff (43 percent) are on the list of top current economic concerns. Possibly as a result of these ongoing economic challenges, the CFO role has become more strategic (74 percent), stressful (53 percent), and innovative (52 percent) over the last five years.
The results are part of the findings of a quarterly Business Variables and Volatility Poll conducted in the third quarter by Adaptive Planning and the Business Performance Innovation (BPI) Network. Despite some disappointing earnings and recent swings in the stock market, CFOs are relatively upbeat about the economy, with only 20 percent predicting a probable recession over the next 12 months. And though, most don’t foresee sustained jobs growth in the overall U.S. economy until at least the second half of next year (34 percent) or even 2014 (45 percent), more than a quarter (28 percent) expect to hire additional staff within their own companies within the next six months.
“While the country is still feeling guarded in this time of economic uncertainty, it is clear that financial executives are seeing the need to plan and prepare for growth in 2013,” Said Dave Murray, Executive Vice President of the BPI Network.
“Historically, CFOs have tended to be more guarded and cautious, yet in this case we are seeing surprising optimism for the future of the economy,” said Greg Schneider, Vice President of Marketing for Adaptive Planning. “As financial professionals continue to increase the frequency of forecasting and planning due to volatile conditions, they are able to gain more insight into where they are and where they want to be.”
Some 41 percent see the current uncertainty facing their company as high or very high. In order to cope in current volatile times, 29 percent re-planned or re-forecasted three times or more in Q3, and 49 percent will need to do so more frequently this quarter.
With some indications of a recovering economy (consumer spending, housing market revival, GDP growth), over half of those surveyed plan for revenue growth within their companies over the next six months.
“While CFOs are indeed planning for growth and hiring within their own firms, they are not predicting a lot of short term hiring in the overall US economy,” added Schneider. “Moreover, they do seem to be getting more prepared to deal with the economic fluctuations and extremes so they will be able to make quick, intelligent decisions whether the economy picks up or slows down in the coming year.”
The online poll conducted in September of 2012 surveyed more than 540 financial professionals from companies in over 20 industries and ranging in size from under $10 million to over $1 billion in revenues. This is the 11th poll examining perspectives on key economic conditions, individual company performance, and the role of planning and forecasting in the current economy. The Business Volatility and Variables Survey is conducted quarterly, with results tallied against those of previous quarters and years to identify trends in overall economic conditions and planning practices.
For more information on the summary report of the findings, visit: http://www.bpinetwork.org/report-detail.php?pid=44
About the BPI Network
The Business Performance Innovation (BPI) Network is an influential group of senior-level executives driving transformation, process re-invention, organizational innovation, lean operation, and competitive adaptability in multi-national enterprises worldwide. Members of this change-centered affinity network represent companies with combined annual revenues of more than $1 trillion. The aim is to share thinking and advance best practices in how enterprises can “transform to better perform” as they seek to tap more complex, cost-sensitive, growth markets with large, diverse and evolving consumer and infrastructure needs. More information is available at: www.BPINetwork.org.
About Adaptive Planning
Adaptive Planning is the worldwide leader in cloud-based corporate performance management (CPM) solutions for companies and nonprofits of all sizes. The company’s software as a service (SaaS) platform allows finance and management teams to work together to plan, monitor, report on, and analyze financial and operational performance. With capabilities for budgeting, forecasting, reporting, consolidation, dashboards, and business intelligence, Adaptive Planning enables finance, sales, and other business leaders to make better, faster, more collaborative decisions that drive a true competitive advantage.
Adaptive Planning is used by over 1,400 organizations worldwide, from midsized companies and nonprofits to large corporations, including AAA, Boston Scientific, CORT, Konica Minolta, NetSuite, Philips, and Vail Resorts. The company is the 8th fastest growing company in Silicon Valley on the Deloitte Technology Fast 500™ list; has the #1 brand in midmarket CPM; and ranks #1 in customer satisfaction in independent industry surveys. With customers and partners in 65 countries worldwide, the company has the strongest channel ecosystem in the cloud CPM space, with over 200 worldwide partners including Armanino McKenna, Intacct, IntuitiveTek, Plex Systems, SAP, and NetSuite, which offers a specialized version of Adaptive Planning as the NetSuite Financial Planning module. Adaptive Planning is headquartered in Mountain View, Calif. and is funded by Norwest Venture Partners (NVP), Royal Bank of Canada (RBC), ONSET Ventures, Monitor Ventures, and Cardinal Venture Capital.Back to Press Releases