This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Hackett: Jobless Recovery In Corporate Finance To Continue In 2012 As CFOs Expect To Operate With Smaller Budgets, Fewer Staff

The jobless recovery in corporate finance is likely to continue in 2012 and beyond, and CFOs can expect to operate with smaller budgets and fewer staff, according to new key issues research from The Hackett Group, Inc. (NASDAQ: HCKT).

The study also found that companies are heavily focused on improving accuracy and timeliness of information to enable improved decision-making, and on leveraging global standards, resources and organizational models.

The Hackett Group's new key issues Research Insight "2012 Finance Agenda: The Lean Years Continue" finds that CFOs are acknowledging that for 2012, the "New Normal" has been largely accepted as the status quo, or the "Now Normal." For most companies, this means that 2012 will require them to carefully balance the search for new revenue and preserving margins amid continued high volatility.

After several difficult years, The Hackett Group's study found that CFOs were expressing mild optimism about the prospect for enterprise growth in 2012. But finance departments are going to be expected to manage with smaller budgets and fewer staff. The Hackett Group's research found that the rate of corporate revenue growth is expected to increase by nearly 50 percent in 2012 (nearly 8 percent growth over 2011). But CFOs expect to see corporate finance budget cuts of 1.5 percent and staff cuts of nearly 1 percent. So CFOs will be required to do more with less and drive an effective 10 percent increase in productivity. Combined with increased offshoring and automation, the result is almost certainly a continued jobless recovery for corporate finance.

The Hackett Group's research showed that increased volatility has clearly become the new business as usual, and finance leaders are expected to be able to respond rapidly and effectively to sudden market reverses. Companies are expecting dramatically higher volatility in the availability of talent than was seen prior to the recent financial crisis, as well as higher volatility in output pricing, exchange rates, demands, and input pricing.

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $93.24 -0.41%
FB $117.81 -0.21%
GOOG $701.43 0.82%
TSLA $211.53 -4.96%
YHOO $36.94 2.61%


Chart of I:DJI
DOW 17,660.71 +9.45 0.05%
S&P 500 2,050.63 -0.49 -0.02%
NASDAQ 4,717.0940 -8.5450 -0.18%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs