You’ve likely heard of Maslow’s Hierarchy of Needs: humans must focus on basic needs first before we can start to focus on growth.
What does this have to do with corporate finance? It operates in a similar way. There are basic accounting and finance requirements that must be met before teams can start to focus on business enablement and growth.
Here at Routable, we’ve built a Hierarchy of Accounting Needs: a framework for understanding how to progress from the basics to strategic activities.
Today, finance organizations spend 80% of their time contending with tasks on the bottom of the pyramid. This makes sense – having precise and accurate accounting is the most important requirement for an accounting team. If you don’t get that right, none of
the rest matters.
It’s critical to have a solid foundation before thinking about more advanced topics. However, 80% of the value to the organization is at the top of the pyramid.
This guide explores the levels of the hierarchy and discusses ways that new technology can help you unlock the higher-value parts of the pyramid for better business results.