Monday Morning Impact – February 12
Gartner: Transformation Is a Top Priority for CFOs in 2024
Leading digital transformation efforts in the finance function is the top area CFOs are focused on in 2024, according to a recent survey by Gartner.
The survey of 185 CFOs, conducted through September and October 2023, revealed that improving finance metrics, insights and storytelling, leading change management efforts, and optimizing costs were also priorities that over 70% of CFOs considered to be critical to their success.
“The focus on transformation efforts aligns with the increased interest in GenAI and other disruptive technologies,” said Marko Horvat, vice president of research in the Gartner Finance practice. “Transformation and functional improvement are the predominant themes through the top 10 priorities for 2024,” added Horvat. “Leading change, improving the strategy design and function of the finance team, and leading transformation are three of the top five critical priorities.”
At the same time, however, CFOs foresee considerable difficulties ahead when modernizing finance department structure because efficiently deploying and integrating new finance technology can be time-consuming and disruptive to day-to-day activities.
Gartner advises that successful transformation efforts in finance tend to require that the CFO actively leads technology delivery efforts, rather than simply engaging and collaborating with IT departments.
“What we hear broadly from CFOs is that digital initiatives aren’t meeting their expectations,” said Horvat. “Unless CFOs reassess how they and their teams lead digital initiatives, those initiatives will continue to disappoint.”
Gartner clients can learn more in: “CFO & Finance Executive Priorities for 2024.” Non clients can watch: “Top 5 Finance Trends and Priorities for CFOs in 2024.”
Channel Impact®
As the number and scope of these projects grow, it becomes increasingly difficult for companies to adequately address the needs of these projects. Channel partners are in prime position to help.
IDC and GTDC: IT Distribution Revenues Remain Under Pressure
IT distributor revenue declined 6.2% year over year to $20.6 billion in the fourth quarter of 2023, according to IDC. This marked the fifth consecutive quarter of year-over-year revenue decline coming after nine quarters of growth that followed the beginning of the COVID pandemic in early 2020. During this period, enterprise spending, including software/services and networking, has seen consistent growth. Consumer categories, meanwhile, enjoyed a surge during the pandemic but have recently been declining from pandemic highs.
“Recovery and repercussions of the pandemic continue to impact the IT distribution market going into 2024,” said Ruth Flynn, research vice president of IDC’s Tracker & Data Products. “From macro conditions like stabilizing inflation to the drivers of technology spending in enterprise and slow consumer markets we continue to see the market adapting to the pandemic disruption. Despite the difficult current environment, we expect overall IT distribution spending to see growth later in the year, and to see much stronger growth from some categories and vendors.”
While December 2023 sales came in a bit soft, software sales through distribution for the quarter grew 1.1% year over year to $4.27 billion. Over 50% of software sales through distribution were for System Infrastructure Software.
After five consecutive quarters of double-digit year-over-year growth, the Network Infrastructure product group has cooled off to just to just 1.7% year-over-year growth as pandemic backlogs have been cleared. The quarter closed with $2.37 billion in sales with Ethernet Switches still showing year-over-year growth of 9.5% but Wireless LAN contracted significantly with a 30% year-over-year decline in revenues.
IDC’s North America Weekly Distribution Tracker and North America Monthly Distribution Tracker are based on a partnership between IDC and the Global Technology Distribution Council (GTDC) leveraging sales data collected weekly from large North American distributors. This data is mapped to more than 200 product categories.
Channel Impact®
The report provides useful data on where MSPs and other partners should place their bets for the current year.
Check Point Software Unveils New, Growth-Driven Partner Program
Check Point Software Technologies, a San Carlos, California-based cybersecurity vendor, has launched a new partner program offering streamlined quote processes, encouragement for specialization, and easier access to essential tools and resources that promote cross-sell and upsell for SASE, email security, cloud environments, SD-WAN, and mobile security.
Features include a new, consolidated tiering model in which partners are given an Advanced, Professional, Premier and Elite status depending on size of business opportunity. Deal registrations have been increased by 100%. Free certifications address partner-level compliance, providing customized tracks based on partner go-to-market strategies. Additional training and certification enables discounts up to 20%. In addition, an updated app provides new use cases, and access to training, subject matter experts, and deal registrations.
“In light of the current climate and increasing rate of cyber threats, we are launching a new, partner program to help our partners accelerate their efforts in providing the best cyber security,” said Francisco Criado, Check Point’s VP of Global Partner Ecosystem Organization. “We are excited to continue this journey with our partners, providing them with the best tools, resources, and support they need to thrive in our dynamic industry.”
Channel Impact®
Organizations worldwide are increasingly turning to the channel for guidance not only on their cyber security solutions, but also for regulations and building cyber resilience. Channel partners are well positioned to effectively communicate the value of cyber security solutions, while addressing specific needs and concerns regarding existing and future threats. The program’s upgrades are geared toward leveraging cutting-edge technologies to ensure partners are equipped to meet diverse cyber security challenges.
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