But as geopolitical unrest, tariff turbulence and continued volatility disrupt global logistics, many CFOs are finding that their biggest supply chain breakthroughs don’t come from artificial intelligence (AI). They come from a renewed focus on financial fundamentals.
From renegotiating supplier contracts and deepening cross-functional planning, finance chiefs are optimizing supply chains in ways that have nothing to do with machine learning and everything to do with cash visibility and discipline.
When supply chains falter, CFOs feel it first. And today’s supply chains are increasingly looking as though they might be faltering, as key choke points suffer from rising uncertainty.
There’s a recognition among many CFOs and finance leaders that advanced technologies can enhance processes, but they can’t replace the foundational work of building a financially sound, operationally resilient supply chain. This is especially true across B2B commerce, where relationships, payment terms and timing are crucial.
As a result, many finance executives are managing for the macro uncertainty by turning to tried-and-true levers such as inventory reduction, vendor consolidation, payment optimization and rigorous forecasting discipline to reduce costs and restore resilience.
It’s not glamorous, but it just might end up working.
Read also: CFOs Reimagine Flow of Funds as Volatility Becomes the Norm
CFOs Embrace Payments as the Forgotten Supply Chain Lever
PYMNTS Intelligence data has found that tariffs and other supply chain disruptions have forced most middle-market U.S. goods and retail companies into reactive mode. Their responses range from adjusting global supply chains and altering product design, pricing and market strategies to delaying or cancelling product development plans.
“Tariff anxiety is driving a wave of reactive behavior across global supply chains. Companies are pulling forward inventory, rushing sourcing shifts or freezing decisions entirely because they lack the visibility to plan strategically,” Scott Macfee, CEO of SpendHQ, told PYMNTS in an interview.
And while logistics and sourcing tend to dominate supply chain conversations, many CFOs are turning their attention to a less obvious lever: payments.
In B2B commerce, how and when companies pay suppliers can significantly impact both cash flow and supplier relationships. Dynamic discounting, supply chain finance programs, and automated payables platforms are becoming tools of choice, not to chase efficiency, but to better manage liquidity.
For instance, some CFOs are offering early payments to small suppliers in exchange for discounts, while deferring payments to larger vendors with whom they’ve negotiated favorable terms. Others are investing in payment analytics tools that provide real-time visibility into outflows and working capital impact.
In today’s environment, the timing, method and terms of payment can be the difference between hitting a free cash flow target or missing it.
See also: Tariff Turmoil Puts Supplier Risk, Supply Chain Management Under Microscope
CFOs Take on Role as Supply Chain Architects
To be clear, CFOs aren’t rejecting technology. Most view AI and automation as enablers of supply chain resilience. But what they need right now is visibility. Sophisticated forecasting models require accurate, up-to-date data on inventory movement and demand patterns, which is often lacking in fragmented systems.
According to “Virtual Mobility: How Mobile Virtual Cards Elevate B2B Payments,” done in collaboration with WEX, almost 73% of businesses have yet to automate supplier payments, significantly limiting their ability to gain a comprehensive view of money movement.
“This contributes to substantial challenges, with 51% of firms reporting excessive manual data entry, 47% experiencing data errors and process delays and 23% noting a lack of visibility in their AP processes,” PYMNTS wrote.
Rather than waiting for AI to stitch together disparate enterprise resource planning platforms, some CFOs are investing in better governance around demand planning and cross-functional collaboration between sales, operations and procurement.
Another lever CFOs are pulling: supplier consolidation. Rather than managing dozens of small vendors, many finance chiefs are encouraging procurement teams to double down on strategic suppliers. The benefits are twofold: lower administrative burden and better negotiating power.
CFOs are also getting more involved in supplier contract negotiations — not just on price, but on payment terms, liability and inventory commitments. Five years ago, contracts were procurement’s problem. Now, finance is co-piloting.
At high-performing companies, finance leaders are embedded in sales and operations planning, procurement meetings, and even supplier site visits. Their goal? Align strategic sourcing with the company’s broader financial goals.
