Current and Future Needs
Overcoming the limitations of legacy enterprise software remains a primary challenge for business leaders.
Leaders need to analyze the gap between current system capabilities and the “future-state” systems the company would need to grow new revenue streams, better support customer expectations and capitalize on areas of improved efficiency.
At BillingPlatform, we see companies that are perfectly fine using spreadsheets and legacy systems to perform all their billing and revenue management tasks at their current volume inside their current portfolio. Problems don’t arise until volume increases or they want to offer additional products, services or business models.
Legacy systems and outdated processes are simply not sustainable in the long term
Outdated legacy systems can actually become a hindrance to business growth. However, implementing new systems and processes takes time and can delay taking advantage of available opportunities. As the gap widens, it becomes more difficult for companies to bridge. Smart leaders need to look forward and anticipate the changes we are talking about and begin planning for any upgrades well before needing the additional capabilities.
There is one other way that sustainability is relevant to the office of the CFO, and that is in customer retention.
Because the economy is shifting away from long-term contracts, it becomes even more important to do whatever is necessary to retain existing customers and keep them happy. Happy subscription customers become more profitable over time, leading to higher customer LTV and increased spending, higher retention and lower churn, all of which are important factors for the CFO to consider in making investment decisions.