The annual CFO Survey has become tradition at CFO Day, and 2024 was no different. South Africa’s top finance leaders revealed how they use storytelling in their roles.
What is the biggest challenge that CFOs face at board level?
Transparency, trust and managing expectations top the list of challenges CFOs face. Crafting a compelling story can assist in addressing many of these – helping CFOs to improve transparency and credibility, and getting stakeholders to understand their perspective and support their decisions.
“Boardroom success is driven by clear communication, a shared strategic vision and a culture of collaboration and respect,” said Rowan Pillai, Inqolobane Investment Managers CFO. “Authenticity, transparency and mutual trust are the cornerstones of this success. It’s essential to have a diverse mix of skills and perspectives, combined with data-driven insights, to make well-informed decisions. Additionally, fostering an environment where all members feel valued and heard contributes significantly to successful outcomes.”
What can CFOs do to ensure that the board reaches the right decisions?
Tapping into the theme of the day, which focused on narrating a story well to connect with one’s audience, the majority of CFOs said that engaging board members ahead of the meeting can help to ensure the board makes the right decision.
As CFO Awards judge Claudelle von Eck has previously noted, the narrative needs to be tailored to the listener to ensure it connects with them.
How do you manage the different levels of financial expertise among board members?
One of the challenges CFOs face is managing different levels of financial expertise among board members. Or, as King Price Insurance CFO Paul Stedall put it during a panel discussion, “to convey the technical stuff without dumbing it down” when complex topics need to be conveyed in a way that non-technical people will understand.
An overwhelming majority (62 percent) of CFOs said they abide by KISS – Keep It Straight and Simple – to assist.
To what extent do you use storytelling as a communications tool for your organisation?
While 36 percent of CFOs noted that storytelling is part of their organisational culture, a close 30 percent pointed out that it is not a key communications tool.
As Ashona Kooblall, CFO at iOCO, said, “Finance should never present numbers they cannot explain from source to fact. It is important to be a respected leader and drive conversations.”
Who is the custodian of your corporate story?
Interestingly, 71 percent of CFOs said that the CEO is the custodian of their corporate story, while 22 percent said they, as the CFO, serve that role. However, if the discussions from CFO Day proved anything, it’s that CFOs have an important role to play in narrating the story, whether it’s telling the board something they don’t necessarily want to hear, or helping the organisation to explain key numbers to external stakeholders.
Arno Daehnke, Standard Bank chief finance and value management officer, said, “We’re key mediators among different business units, clients, shareholders and regulators, but if we don’t have the ability to tell our story with passion and conviction, then we’re only doing half of our job.”
Does your culture story shine through no matter who your audience is?
Many of the discussions at CFO Day focused on how to craft a compelling narrative and deliver a story with impact to different audiences. Reassuringly, 65 percent of CFOs said that their culture story shines through, regardless of who the audience is.
And in some cases, CFOs believe that the finance function underpins rather than reacts to the corporate culture. “I believe we, as finance, are integral in the ethical culture of the business. All transactions done by the business are transacted via the wider finance team, so it’s imperative that we review and analyse things objectively and report items timeously and transparently,” said El Kope, Cell C CFO.
What are your boardroom superpowers?
With a crowd of respected and successful CFOs in the room, it was necessary to know the boardroom superpower of each attendee – with transparency, authenticity, facts, preparation and assertiveness topped the list.
“Having difficult conversations to break the barriers between functions is the first step to actually working together and making collaborative business decisions,” said Tammy Narain, BMI Coverland FD. “A roadmap providing guidance, risks and opportunities is imperative. Out-of-the-box thinking and not always saying no, hold credibility and create openness.”
