The financial world is evolving, alongside the role of financiers everywhere. The future of finance demands the end of wasting time on transactions, processing, and reporting. In other words, there is an urge to adapt finance functions to the constantly shifting corporate environment.
Although there is no end in sight for this transformation, forward-thinking CFOs are benefiting by being aware of what a productive, value-adding finance function looks like in ten years.
An Overview of the Financial Future
We understand that keeping up with new financial theories, models, and trends is challenging, even for financial experts at the top of their game. But here are some of the key features shaping the near future:
Transactions and payments that are contactless are referred to as touchless transactions. For instance, blockchain and automation sink into multiple financial operations, a major percentage of worldwide transactions are meant to be touchless.
Cloud-based ERP, automation, and cognitive innovation will advance quickly over the coming years, opening chances to drastically streamline procedures and release labor. Blockchain only makes this trend more pronounced.
Finance is now undoubtedly leaner, but operational finance staffing is the driver in determining this (order-to-cash, procure-to-pay, transactional accounting, etc.). Business finance (business partnering, reporting, planning, budgeting, forecasting, etc.) and specialist finance (tax, treasury, IR, etc.) support are expected to grow.
The End of Periodic Reporting
The traditional division between operational and analytical data is starting to blur. Outside investors are seeking more frequent performance reporting, but finance departments still need to meet their demands for cyclical information. There is no close, it is going to be the new operational principle for the top organizations. For instance, you don’t forecast every month or every three months. Everything takes place in real-time.
Limitations in data processing and technology are major drivers of many financial cycles today. Things take place according to a regular timetable because there is no other way for them to occur. Therefore, traditional cycles become redundant when information is readily accessible to those who need it. People are able to concentrate on learning new lessons and putting them into practice.
Embracing Algorithms and Robots
Businesses are comparing the advantages of automation to operations conducted onshore and offshore. Similarly, finance firms have the chance to review how they are structured, where work is done, and what kinds of activities no longer require human involvement. The popularity of finance-as-a-service is spreading beyond mid-market businesses.
Offshoring and outsourcing are experiencing major changes for businesses, with individual suppliers and their skills likely to look very different from how they do now. Consequently, finance firms that aren’t getting ready now for the future will struggle as a result of the requirement to create dynamic, cross-functional teams. Good leaders are crucial for navigating these transformations, as with all changes.
Role of Financers in the Future
So, what will the financiers’ role be? More strategic and concentrated on the things the organization needs most: fresh talent acquisition, business model change, transformation, and, most importantly, tangible outcomes.
In terms of the expanding duties of the financiers of the future, we consider four areas as being particularly crucial:
- Establish a conduit with government agencies to aggressively optimize tariffs and regulations
- Act as a financial application incubator or provide financial support for emerging company concepts
- Make sure that business needs are considered by actively participating in co-creating a company’s technology agenda
- Collaborate with new categories of stakeholders to create fresh methods for cash raising
It is evident that digitization is fundamentally upending the financial industry. It’s time to give data entry tasks that require laborious manual labor over to automation. Improve reporting so that it is quicker to prepare, easier to read, and more effective. Utilize every tool at your disposal to precisely forecast the growth and direction of your own company.
In conclusion, to the greatest extent possible, CFOs need to be ready and quick to adapt to changing business requirements. TheStaffed focus on driving hiring across the financial industry. From business & strategy to technology to operations and project/program management staff, our team knows how to find those talented individuals with the financial background to support you. Need the right team to help you reach those goals? Contact us right away!
TheStaffed is a visionary organization that fosters an environment where equal importance is placed on our clients – their success, and our staff – their professional and personal wellbeing. Headquartered in Florida, we support hiring from coast-to-coast supporting national, regional, and local finance companies. We specialize in Financial Services, focusing on Corporate & Investment Banking, Wholesale/Retail Banking, Asset & Wealth Management, and Commercial Banking.
Our differentiated approach entails utilizing industry leading tools and processes along with direct industry experiences to eliminate current staffing challenges, and to connect hiring managers with fully vetted, highly qualified job seekers.