9 Reasons Finance Leaders Should Care About Disclosure Research

9 Reasons Why Finance Leaders Should Care About Disclosure Research

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There’s ONE primary reason why finance leaders should care about Disclosure Research


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Performing consistent disclosure research helps improve your business


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HOW???

? ??

?


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why disclosure research matters and how it can improve your business

Read on to discover

8 more reasons


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Reason

2 #

Disclosure filings are the best source for meaningful competitive intelligence


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Reason: 1 2 3 4 5 6 7 8 9

Last year alone,

10,049 10-Ks were filed

26,852 10-Qs were filed1

1 “The Anatomy of 10-K & 10-Q Filings.” DisclosureNet™. DisclosureNet™, Apr. 2013. Web. 15 May 2013. <http://go.disclosurenet.com/The-Anatomy-of-10K-and-10Q-Filings.html>.

http://go.disclosurenet.com/The-Anatomy-of-10K-and-10Q-Filings.html


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Reason: 1 2 3 4 5 6 7 8 9

Crucial information about your peers is contained in these documents

✓ company summary

✓ current financials

✓ plant and property

✓ directors and o�cers

✓ foreign operations


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Reason: 1 2 3 4 5 6 7 8 9

of Fortune 500 companies conduct competitive intelligence.290 %

2 Finnegan, Orlaith. “Top Tips: Setting up a Market or Competitive Intelligence Function.” Setting up a Market or Competitive Intelligence Function. Market Intelligence Hub, 30 Aug. 2012. Web. 15 May 2013. <http://digimind.com/blog/best-practices/setting-up-an-intel-function/>.

http://digimind.com/blog/best-practices/setting-up-an-intel-function/


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Reason: 1 2 3 4 5 6 7 8 9

“In a competitive marketplace, up-to-date information can make the dierence between keeping pace, getting ahead, or being left behind.” 3

3 Helm, Burt. “How to Use Competitive Intelligence to Gain an Advantage.” Editorial. Inc.com. Inc.com, Apr. 2011. Web. 13 May 2013. <http://www.inc.com/magazine/20110401/how-to-use-competitive-intelligence-to-gain-an-advantage.html>.

http://www.inc.com/magazine/20110401/how-to-use-competitive-intelligence-to-gain-an-advantage.html


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A good disclosure research solution provides quick, easy access to this information so your company can keep tabs on competitors and stay in the know.


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Reason

3 #

It’s an eective benchmarking tool


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A study from CFO Research and Genpact shows that external benchmarking is on trend in 2013.

2013


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Reason: 1 2 3 4 5 6 7 8 9

&of companies surveyed make extensive use of external benchmarks

of companies surveyed make some use of external benchmarks4

33% 50%

4 Surka, Matt, and Josh Hyatt. “The Long and Winding Road Is There a Way to Improve the Path to Better Business Processes?” Editorial. CFO.com. CFO Magazine, 8 Oct. 2012. Web. 13 May 2013. <http://www3.cfo.com/article/2012/10/benchmarking_cfo-research-benchmarking-business-processes?currpage=1>.

http://www3.cfo.com/article/2012/10/benchmarking_cfo-research-benchmarking-business-processes?currpage=1


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Reason: 1 2 3 4 5 6 7 8 9

“Third-party performance benchmarks can be especially useful as catalysts for change and as sources of guidance on areas that are ready for improvement.”5




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You can also use this data to benchmark your company’s general health and success against peers.


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Which leads us to…


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Reason

4 #

Disclosure research can help you make educated business decisions


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Reason: 1 2 3 4 5 6 7 8 9

Step

Conduct disclosure research and gather relevant data1


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Reason: 1 2 3 4 5 6 7 8 9

Step

Analyze data to identify trends, formulate forecasts, and make conclusions


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Step

Based on this analysis, form a strategy for upcoming business decisions that will improve the bottom line3


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Reason: 1 2 3 4 5 6 7 8 9

“Forecasting the future is risky, but businesses that fail to look forward will almost certainly be left behind in an increasingly competitive, globalized world.”6

6 Business Pulse: Exploring Dual Perspectives on the Top 10 Risks and Opportunities in 2013 and beyond. Rep. Ernst and Young, 2013. Web. 14 May 2013. <http://www.ey.com/GL/en/Services/Advisory/Business-Pulse--top-10-risks-and-opportunities>.

http://www.ey.com/GL/en/Services/Advisory/Business-Pulse--top-10-risks-and-opportunities


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Reason: 1 2 3 4 5 6 7 8 9

Reason

5 #

It can help your company identify risks


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Reason: 1 2 3 4 5 6 7 8 9

In a recent survey,

of companies reported loss of income from one/some of the Top 10 risks.

42%

This is a 14% increase from 20117

7 Global Risk Management Survey 2013. Rep. Aon Risk Solutions, 2013. Web. 15 May 2013. <http://www.aon.com/2013GlobalRisk/2013-Global-Risk-Management-Survey-updated-05-01-2013.pdf>.

http://www.aon.com/2013GlobalRisk/2013-Global-Risk-Management-Survey-updated-05-01-2013.pdf


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Reason: 1 2 3 4 5 6 7 8 9

What’s more,

risk readiness has dropped

7% from 66% to 59%8

8 Global Risk Management Survey 2013. Rep. Aon Risk Solutions, 2013. Web. 15 May 2013. <http://www.aon.com/2013GlobalRisk/2013-Global-Risk-Management-Survey-updated-05-01-2013.pdf>.

http://www.aon.com/2013GlobalRisk/2013-Global-Risk-Management-Survey-updated-05-01-2013.pdf


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Reason: 1 2 3 4 5 6 7 8 9

A 2013 Ernst and Young survey reports that the following issues are among the Top 10 biggest risks facing organizations:

1. Managing talent and skill shortages2. Regulation and compliance9




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Disclosure filings can be leveraged to explore:

1. Executive profiles for recruiting purposes

2. Templates for best practice disclosures, helping to ensure compliance


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Researching best-practice financial disclosures is crucial because it helps mitigate the risk of companies having to issue restatements.


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Reason: 1 2 3 4 5 6 7 8 9

One 2011 study found that when restatements occur, companies replace CFOs 17% more often than under normal circumstances.10

10 Chapelle, Tony. “We Restated? You’re Fired.” Editorial. Agenda. Financial Times, 6 May 2013. Web. 16 May 2013. <http://www.agendaweek.com/c/513751/57241?highlight=tony%20chapelle>.

http://www.agendaweek.com/c/513751/57241?highlight=tony%20chapelle


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Reason: 1 2 3 4 5 6 7 8 9

Reason

6 #

Conversely, disclosure research can help identify opportunities


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Two of the Top 10 opportunities identified by surveyed companies for 2013:

1. Innovation in products, services and operations

2. Investing in process, tools and training to achieve greater productivity11




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Capitalize on these opportunities by using a disclosure research tool to:

1. Leverage insights from successful competitors to drive innovation

2. Enhance the financial reporting process, save time and increase productivity


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Reason

7 #

Disclosure research saves time, increases productivity and enhances work quality


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In a recent user survey, 82% of respondents said their disclosure research tool saves them time12

12 “0% Is the Best Result to Get on a Customer Feedback Survey.” DisclosureNet™. DisclosureNet™, May 2013. Web. 14 May 2013. <http://go.disclosurenet.com/Zero-Percent-is-the-Best-Result-to-Get-on-a-Customer-Feedback-Survey.html>.

http://go.disclosurenet.com/Zero-Percent-is-the-Best-Result-to-Get-on-a-Customer-Feedback-Survey.html


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Reason: 1 2 3 4 5 6 7 8 9

of respondents said their disclosure research tool improves their financial reporting1354%




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Reason: 1 2 3 4 5 6 7 8 9

say their productivity has increased by 51-75%

It increases productivity, too!

say their productivity hasincreased by 75-100%14

36%

23.2%




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Reason: 1 2 3 4 5 6 7 8 9

Reason

8 #

It can help ease internal transitions related to business process or workflow


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In a survey of financial executives, over 60% strongly agreed that improving internal processes would yield meaningful financial benefit to their companies15




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of companies that often use external benchmarks agree that this can help with improving internal processes1678%




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When a company wants to improve its internal processes and workflow, it’s beneficial to look at examples from predecessors.


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This is where disclosure research comes in:

Your company can assess a third party organization’s processes to determine the e�ciency of its own operations and adapt accordingly.


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Reason

9 #

It’s scalable and easy to implement


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Reason: 1 2 3 4 5 6 7 8 9

The best disclosure research solutions

• O�er enterprise wide licenses, to simplify pricing and usage rates

• Have di�erent modules that address specific needs

• Are cloud-based and automatically updated so therefore don’t require intervention from your IT department


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Reason: 1 2 3 4 5 6 7 8 9

So not only is disclosure research extremely useful from a business improvement perspective...


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But the best solutions are also cost-e�ective and scalable, allowing it to e�ortlessly grow with your business.


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Reason: 1 2 3 4 5 6 7 8 9

20+ million public disclosure filings that contain rich content are available in one place – so why not start benefiting from it?

Request a DisclosureNet™ live tour today.

http://www.disclosurenet.com/get-a-live-tour/


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Read this: Top Priorities for Financial Professionals

Print this: From Awareness to Execution: 3 Ways Automation will Help you Monitor Financial Rules and Regulations

Know this: 0% is the Best Result to get on a Customer Feedback Survey

Resources

http://go.disclosurenet.com/Top-Priorities-for-Financial-Professionals.html

http://go.disclosurenet.com/From-Awareness-to-Execution-3-Ways-Automation-will-Help-you-Monitor-Financial-Rules-and-Regulations.html




http://go.disclosurenet.com/Top-Priorities-for-Financial-Professionals.html



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Economy & Finance

9 Reasons Finance Leaders Should Care About Disclosure Research