For all the investment poured into analytics, automation and transformation programmes, today’s finance leaders are facing a growing contradiction. They have access to more information than ever before, yet many feel that clarity is getting harder to achieve. The latest Finance Leaders Barometer captures this tension clearly.
77% of CFOs say the sheer volume of data is now clouding judgment rather than improving it. Almost half say instinct still plays a larger role in decision making than data does.
This is not a rejection of data. It’s a signal that decision making has not caught up with the amount of information organisations now produce. When data is inconsistent, fragmented or poorly governed, leaders revert to what feels most reliable. Human judgment. Experience. Gut feel. Pattern recognition. In moments of ambiguity, instinct still feels safe. In many organisations, the data does not.
The acceleration of AI only increases the stakes. AI won’t magically turn messy data into insight; it multiplies whatever it’s given. If the information is inconsistent, AI will create inconsistency at scale. This is why the conversation is beginning to shift from being data led to being data influenced.
Data influenced leadership recognises that data provides direction, context and challenge, while human judgment continues to interpret the grey areas that data can’t resolve.
As organisations prepare to adopt AI at scale, CFOs are realising that data availability is not the same as data readiness. AI relies on information that is clean, structured and well governed. Without these foundations, AI only introduces faster noise and faster risk.
Two priorities are emerging:
Across the organisation, every business area must work closely with IT teams and relevant third-party vendors to shape what good data looks like and why. When the purpose is clear and the data quality is addressed at the source, the benefits of AI can be realised much faster and with far less risk.
Even with strong data foundations, insight still needs interpretation. This is where finance business partnering plays a decisive role. Partnering brings context. It reconciles the numbers with the reality of the business. It explains why trends look the way they do, and what might change them. It helps move the conversation from the “what” to the “so what” and prompts the “now what”.
One of the most powerful things business partners do is highlight the limits of the data. They help leaders understand where judgment is required and where instinct can add value. This is the essence of a data influenced approach. It is not about diminishing the role of experience. It is about pairing experience with a clearer and better-grounded view of the business.
Alongside the focus on decision making, the Barometer reveals another concern that is just as important. 77% of CFOs say their transformation programmes are starting to affect morale.
The pace of change in finance is intense. New operating models, new systems, new tools, new expectations and new skills are being introduced almost simultaneously. It is no surprise that this is creating pressure.
CFOs are prioritising capabilities such as strategic thinking, AI literacy and business intelligence. These are the skills the function needs for the future, but the transition can feel unsettling for teams who have built their careers around more traditional finance work. When the work changes faster than people can adapt, confidence drops and performance follows.
Morale becomes more than a cultural issue. It becomes a structural risk to transformation. A team that is overwhelmed or uncertain cannot drive data quality, support AI implementation, or partner effectively with the business. Transformation cannot succeed if the people delivering it are struggling.
The finance leaders who will thrive over the next few years will be the ones who can align data, judgment and people. They’ll elevate business partnering so that insight is translated into understanding and action. And they will invest in morale by giving teams a clear sense of purpose, achievable expectations and the skills to succeed in a more digital environment.
Data influenced leadership fits naturally into this direction of travel. It encourages better use of information without ignoring the human expertise that makes finance valuable. It prepares organisations for the opportunities and risks that come with AI. And it creates a decision-making environment that is both confident and grounded.
The question is no longer whether instinct outweighs data. It is how CFOs can bring the best of both together to make smarter, faster and more resilient decisions in the years ahead.
