Are businesses more or less confident
these days? Robert Half Management
Resources recently took the pulse of U.S. companies and discovered that 40 percent of chief financial officers (CFOs) were
more confident in their companies’ technology capabilities today than three years
ago. One-third (34 percent) said they also
are more optimistic about the accuracy of
their companies’ financial reporting, and
28 percent were more confident about the
loyalty of their employees.
The survey, developed by Robert Half
Management Resources, was conducted
by an independent research firm and
included responses from 1,400 CFOs from
a random sample of U.S. companies with
20 or more employees.
“Four or five years ago, companies
would not have responded this way,”
says Cecil Gregg, president of Robert
Half International’s Southwest District,
based in Houston. “The economy has
been doing well and businesses are benefiting. Overall, businesses can spend
more to support their accounting and
technology departments and also are
able to compensate their employees
competitively.”
Smart Business spoke with Gregg about
the reasons companies are feeling a surge
of confidence in the areas of technology,
financial reporting and employee loyalty,
and how businesses can best take advantage of this positive environment.
Confidence in technology ranked the highest
in the survey (40 percent). What factors have
contributed this?
With economic downturn in 2000 and
2001, there were many technology initiatives. The problem was that businesses
were not in a position to be able to afford
new technology. Today, not only is there a
better economic environment, but advanced technology now allows for greater
customization.
In years past, software firms would come
out with a package that would be very
generic, but now so many of the tools are
expected to have the ability to be customized to an individual business.
Businesses have been able to drive this
innovation, and there is no question that
businesses have the money now to buy it.
So as businesses purchase these customized tools, they are feeling more confident about the way technology is implemented in their companies.
Another factor is that companies are
growing and they need to accommodate
the increase in personnel, particularly in
finance and accounting because of the
increased need to meet compliance regulations brought about by the Sarbanes-Oxley
legislation. As a result, there has been a
need to upgrade computer systems.
How are companies improving to ensure
greater accuracy in financial reporting?
Because of Sarbanes-Oxley, all public —
and some private — companies have
worked to improve best practices, including the way they handle and track purchasing, inventory, credit management, collection, disbursement and accounts receivables. Old processes have been meticulously reviewed and improved in order to
avoid costly errors and fraud. This is happening across the board in not only a company’s internal network but with vendors
and clients as well.
Why do you think 28 percent of CFOs are
more confident about employee loyalty in
today’s market?
Businesses are acutely aware of the
increased competition for financial and
accounting talent. In fact, the demand for
these professionals has never been higher.
With that said, we are definitely seeing that
more companies are becoming savvy in
attracting and retaining employees and have
increased pay and bonus packages, training
commitment and working options (such as
flex time and telecommuting). The 28 percent that do feel confident have stepped up
to the plate and are doing what it takes to
attract and retain the best people.
In light of the competitive employment market, how are employers improving their
retention practices?
Employers are putting more measuring
tools in place and giving enhanced recognition to outstanding performance. The recognition can be done in a number of ways — for
individuals, a team or departments, and can
be given monthly, quarterly or annually. We
are seeing employers offer more tangible
rewards, such as iPods, cash and vacation
getaways. We’re also seeing cash bonuses at
year-end being enhanced or augmented.
Managers need to make sure their staff is
not overloaded with work. Some companies bring in consultants to buffer the
workload and augment the staff during
busy or stressful times.
Having work-life balance is very important to today’s professionals, so offering
benefits such as flexible schedules,
telecommuting and additional time off can
be an excellent retention strategy.
Another key practice is for company managers to sit down with their employees on a
regular basis to make sure that job satisfaction is understood and supported.
CECIL GREGG is the president of the Southwest District of
Robert Half International. Robert Half International (www.rhi.com)
is the world’s first and largest specialized consulting and staffing
services firm with six branches in the Houston area. Contact
Gregg at [email protected] or 281-296-2812.