How Finance department automation will enhance Finance roles, not reduce them
One of the most common underlying reasons why Finance leaders decide not to embrace automation is the very real concern that it will limit the role of Finance and that jobs will inevitably be lost over time. In fact the opposite is more likely. In this article, we examine how Finance department automation has the potential to enhance and raise the profile of the Finance team.
Many people have a hesitant attitude towards automation solutions, and many try to discourage it for fear of losing their jobs or being replaced. But the most talented workers actually use automation as a tool to their advantage.
Less manual processing means increasing the amount of time for much more important and interesting tasks, and this creates a better situation for everyone involved.
Automation and AI in finance doesn’t simply replace jobs, they create them by changing the focus to more analytical and strategic projects where human intervention, perspective and problem-solving capabilities come to the fore. The importance of developing different skills and learning how to use the technology to gain advantage shouldn’t be underestimated.
Let’s look at the four core areas where automation provides opportunities for the Finance team members.
1. Reduce the admin burden
It’s fair to say that the old ways of running a Finance department spawned a whole host of administrative tasks which were necessary but also laborious and labour intensive.
One of the biggest benefits of the automation of core processes that are built into modern Finance software is that your staff will be able to shift their focus away from administration and onto the areas that will really make a difference to your business.
There are plenty of areas that do require the human touch and a certain level of understanding: monitoring markets and competitors, identifying opportunities, and finding ways to make your money more productive are all examples.
The following areas are all examples of time-consuming manual accounting tasks that would significantly benefit from the introduction of finance automation solutions.
- Data entry
- Bookkeeping
- Invoicing and payments
- Expense management
- Bank reconciliation
- Financial reporting
- Cash flow forecasting
- Data analytics
A powerful cloud-based accounting system like Access Financials helps you automate these tasks within one single platform — Access Workspace.
2. Free up time for advanced analysis and strategy
People that go into Finance as a career by their nature are often strong on analytic skills or have an aptitude with numbers that can be developed further with training. Once automation is introduced, it’s possible to up the ante on expectations from the Finance team. Now is the time when their analytical skills are needed and you’ll find out what they’re really capable of. Bear in mind too that when boredom is so commonly cited as a reason for changing jobs, refocussing Finance on more engaging, higher level work is likely to result in a happier, more motivated and more loyal team.
2. Improve productivity
Although automation can greatly streamline accounting processes, it's important to note that human oversight and expertise are still crucial.
Finance professionals play a vital role in interpreting financial information, ensuring accuracy, handling exceptions, and providing strategic insights based on the data generated by automated systems.
Automation introduces speed into the admin heavy elements, and allows more time for problem-solving. For instance, finance automated reporting solutions enable you and your team members to have a clear overview of your financial information in real time, improving visibility, productivity, and long-term decision making.
4. Add value
It’s not uncommon for the Finance department to feel a little ‘in the background’ compared to other departments such as Sales which are highly visible. One of the less obvious advantages of introducing an automated and integrated system is that it unlocks a host of opportunities for Finance to raise their business profile and dedicate time to added value activities. Forecasting, identifying trends and opportunities, scenario planning and what if analyses: these are all examples of the kind of reporting that will give new insight to the senior leadership team. And in doing so, raise the profile and perceived value of Finance.
In conclusion
Ultimately, moving towards a more automated Finance function is good news for your business and for the individuals working in the Finance team. And making the switch can be a positive and value-adding experience too as it unlocks the tools needed to make the Finance team more productive, more streamlined and better able to give professional support as it’s needed.