Could your company afford a $9 million loss?

That’s the average cost of a data breach in the US, as Ninad Purohit, managing partner with accounting advisory firm CFGI, pointed out during his talk at the 2024 AICPA & CIMA CFO Conference. Companies need solid plans, which he terms cybersecurity roadmaps, to prevent and manage such events, he said. While public companies need to report annually on their cybersecurity strategies to the SEC, private and smaller companies will benefit from having good, well-documented roadmaps as well.

Roadmaps can also serve as documentation. Other parties are starting to scrutinize companies’ cybersecurity plans more closely, Purohit said. Due to the increase in cybersecurity attacks, cybersecurity insurance has “gotten very expensive,” he said. And “about a third of cyber insurance applications are rejected outright,” he said, the primary reason being “absence of basic protections.”

For more on creating a cybersecurity roadmap, click here.—CV

Did ya hear? Ardent Partners’ latest research reveals that 71% of CFOs believe leveraging "smarter" systems is the way to go to elevate organizational performance.

Their CFO's Guide to Digital Innovation in Financial Operations explores how completely automating your Accounts Payable (AP) department with platforms like Basware can keep orgs compliant and safe.

Download the report to:

• Discover why agility is the foundation of financial operations and how it can foster collaboration and flexibility.
• Learn the role of Big Data intelligence and AI tools in shaping the strategy of financial operations.
• Gain proactive tips for navigating cross-border invoicing challenges, ensuring compliance, and avoiding penalties.
• See the competitive advantage of embracing cutting-edge technology for a best-in-class AP operation.

Achieve true digital transformation.

Another economic report, another sign that the economy is still too hot for the Fed’s liking.

The Fed’s main measure for tracking wage growth had its biggest quarterly jump in a year, while overall compensation rose more than anytime since 2022, the Labor Department reported Tuesday—just a day before the Fed is expected to leave rates at 5.33% for the next six weeks.

Compensation for private sector and civilian government workers grew 1.2% in the first three months of the year, the largest quarterly increase in the Employment Cost Index (ECI) since Q3 2022. A 1.1% increase for wages or salary alone, not counting benefits, was the largest since Q2 2022.

The 1.2% compensation jump—larger than the consensus estimates of economists surveyed by Bloomberg—“is just evidence that the inflation data, the wage growth data, is moving in the wrong direction to be consistent with their target,” Citigroup economist Robert Sockin told Bloomberg. The indicator follows three months in a row when the Core Consumer Price Index came in hotter than forecast.

For more on rising labor costs, click here.—GD

We here at CFO Brew think it’s time to stop saying that the CFO’s role is changing and start saying that the CFO role has changed. The evolution of the role isn’t complete, but it’s certainly irrevocable. CFOs are now powering the strategic engines of their organizations as they take on an expanding number of key responsibilities. We might be biased toward our audience, but it feels accurate to say that the CFO is at the heart of almost everything a company does now.

TL;DR: CFOs find themselves with new responsibilities, new challenges, and new tools. But it isn’t clear how all these factors are going to unfold over the next five to 10 years.

That’s where tomorrow’s live event, Next-Gen Finance: Future-Proofing Your Business Operations, comes in. We gathered some of the top finance thinkers, leaders, and innovative CFOs from across the country to share what they’ve learned about navigating finance’s future challenges. Jack McCullough, president of the CFO Leadership Council, will be diving into the CFO’s new strategic playbook; McKinsey’s Ankur Agrawal will share how top finance teams are dealing with the talent crisis; and CFO advisor Tanya Andreev-Kaspin will offer best practices for post-merger tech integration.

Other speakers will explore balancing efficiency and opportunity as well as finding the right tech tools for your organization. As a bonus, all of your favorite CFO Brew reporters will be there, too.

It’s not too late to join us. If you’re in the New York City area, there are still tickets available for the in-person event, and livestream tickets are available for those who can’t make it to the Big Apple.

Click here to get your ticket to our live event.—DA

Accounting gets personnel. The accounting talent pool has dwindled. So much so, industry pros are calling it “the great accountant shortage.” But Oracle NetSuite is ready. Their free business guide contains five action items that’ll help CFOs avoid a staffing crisis and find the right personnel. Download your copy.