TALKING

Vibhu Kapoor, Regional Vice President,

Middle East, Africa and India, Epicor

How CFOs should leverage CPQ digitally

One decision maker who, today, bears the brunt of stresses is the Chief Financial Officer, CFO. Do they choose to price more competitively? To cut down response times for proposals? Perhaps. But whatever they choose to do, the time lag between stimulus and response is stretched by the tools finance professionals use for analysis.

ERP platforms have long been a CFO’ s best friend. As technologies have emerged, ERP systems have onboarded some of the most advanced ones in service of the finance function. CPQ, configure, price, quote, a digitalisation of the sales specialist that streamlines the quotation process, is one such tool.

Where complexity can lead to error in humans, CPQ is not susceptible. A lengthy task is taken from the plates of salespeople who can dedicate that time to more value-adding activities. And since the quote is delivered quickly, the customer is also happier.

Being a visual tool, CPQ empowers sales reps, web visitors, distributors, and partners to configure and sell products easily and accurately in a variety of digital environments such as 2D, 3D, or augmented reality. With its powerful in-built automations, it drastically reduces the time spent on labour-intensive tasks, allowing it to directly impact revenue growth and cashflow management, especially since digitalising the quotation process can minimise human errors and the costly misquotes that they cause.

CPQ can also be easily integrated with a range of other digital tools such as process-automation and streamlining systems which then positively impacts related areas such as make-to-order, MTO, configure-to-order, CTO, engineerto-order, ETO, and make-to-stock, MTS. Integrations like these can end up allowing CPQ automation to have a positive influence on operational efficiency across the enterprise, not just in the quotation process.

It makes products more appealing to customers because customisation options give buyers control over precise functionality, and yet policies can be set to ensure customers do not stray outside the bounds of manufacturing standards and regulatory restrictions.

CFOs are expected to see round corners and over horizons. Forecasting is a part of commercial life, but its accuracy is heavily reliant on timely access to high-quality data. Because of CPQ modules’ integration capabilities, they can merge with ERP systems, giving CFOs the real-time visibility into sales pipelines they need to make informed decisions. With more accurate revenue forecasting, the business can bob and weave with the market, pleasing customers regardless of externalities.

Access to ERP data has further perks. Historical data on quotes, order conversions, and lead times, allows the organisation to refine predictions even further to align them with financial targets. And predictions can subsequently be used to continually ensure accuracy in pricing by introducing new predefined rules and costing structures.

This goes on to bolster the reduction in risk of under-pricing or overcommitting on capabilities, which is another way of saying better forecasting. test drives at home, instant valuations, and buyback guarantees, thereby removing traditional pain points from the car-buying experience.

The region’ s growing interest in electric vehicles, EVs is another crucial factor affecting the used car market. The UAE and Saudi Arabia are leading the transition, with EV penetration expected to reach up to 75 % by 2035.

However, affordability remains a key challenge, and many cost-conscious consumers are turning to the used car market to access used EVs at lower price points.

Another emerging trend is the shift in vehicle ownership preferences. Younger consumers, in particular, are moving away from traditional car ownership toward subscription and leasing models. The rise of new mobility solutions, such as ride-hailing and car-sharing services, is also changing how consumers view vehicle access.

This has significant implications for the used car sector, as fleet operators and leasing companies increasingly play a central role in the supply and demand dynamics of used vehicles.

In response to these trends, automotive players are expanding their offerings beyond just vehicle sales. The rise of certified pre-owned, CPO programmes, extended warranties, flexible financing, and aftersales services are all enhancing consumer confidence in the used car market.

Additionally, Middle Eastern dealers and distributors are increasing their investment in digital tools that improve customer engagement, including AI-driven pricing models, blockchain-based vehicle histories, and predictive analytics for resale values. These advancements are creating a more seamless and trustworthy used car ecosystem.

So, what’ s next for MENA’ s used car sector?

As the region’ s automotive industry evolves, the used car sector will continue to gain prominence. The increasing digitalisation of vehicle transactions, coupled with a shift toward sustainable and flexible mobility solutions, will further accelerate this growth.

Sector players that leverage technology, enhance customer experience, and build trust through transparency will emerge as the leaders in this new automotive era. p

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