Survival and success - Setting the benchmark for smart finance

The UK has entered what could be a deep and prolonged recession, in which even the most well-established corporations may struggle to sustain profitability and investment. However, these testing conditions will also enable agile firms to steal a march on their competitors and emerge ready to take full advantage of the eventual upturn. As a result, the FTSE rankings may look very different in five years time.

The performance of finance functions and the audit committees that oversee them will be critical in the effective management of the downturn. The fundamental challenge they face is how to take cost out of the business without heightening risk or jeopardising the firm's ability to capitalise on opportunities - eliminating the flab without cutting away the muscle.

This report outlines some of the key findings from the assessment that PwC's team of Benchmarking specialists has been carrying out amongst the finance functions of leading UK companies. They have applied the skills they use to provide benchmarking services to a variety of organisations, to assess finance effectiveness across three dimensions: business insight, efficiency and compliance and control - attributes that are crucial to survival and success.

Our initial findings underline the vital importance of cutting through complexity. This means streamlining operations to reduce costs and improve efficiency. This means distilling a profusion of data into commercially valuable insights. Ultimately, it means equipping the corporation to move quickly and decisively, be this through acquisition, divestment or new market entry. This report examines how far finance functions have come and how leading firms are addressing the challenges ahead.

The benchmark analysis is one of the services offered to PricewaterhouseCoopers audit and non-audit clients. Further details of the offering can be found on page 9 of the report.

Please contact us if you would like to complete an assessment or would like to discuss any of the issues raised in this report.