Automation wasn’t possible for finance departments a few years ago. The advancements in technologies like cloud and robotics, however, make it more likely that finance automation solutions will soon become the norm. It’s an opportunity for the industry to free up the workforce from repetitive tasks and move into more high-value endeavors. Forward-thinking financial departments are already using emerging technologies like cloud computing and robotics to automate their processes. It’s crucial for the finance departments of all businesses to start thinking about the effects of automation.
Reasons Behind Finance Automation
Today, data is the most valuable business resource. Historically, finance departments have been the central processors of large data sets. Various departments like sales, marketing, IT and human resources depend on the finance department to supply them with customer information. Managers rely on the expertise of accountants and analysts to make sense of the data.
Finance departments use ERP and CRM solutions to resolve the considerable demands of data processing. This helps them provide other departments with the necessary data in structured formats. The addition of Internet-based channels like mobile, social media, and the Internet of Things (IoT), though, has created a data explosion. It’s not possible for any finance department to process the terabytes of raw data manually. It has increased the need for automation.
This means that finance departments are seeking out solutions that can combine the power of the cloud and artificial intelligence to provide faster and more accurate reports and analysis. The insights are displayed through dashboards to the whole organization, so everyone has the pertinent information on-demand. Automation is the only way to achieve such fast results.
Automation and the Finance Departments
The landscape has already started to shift. Automation will take over 40 percent of transaction accounting tasks by 2020. It means finance workers will have more opportunities to concentrate on business strategy tasks. It also means that businesses will have to look for workers beyond accountants and analysts. Finance departments will have to hire more programmers, data scientists, entrepreneurs, and other professionals to help with automation tools.
Preparing for the Future
Companies who integrate automation into their finance processes will be better prepared for the future. The automation processes are still in early development. Business leaders should keep an eye on the progress of automation in the finance industry.
David S. Chang is an entrepreneur, wealth manager, keynote speaker, consultant and Chairman/CEO of Chang Holding Company. David is also the editor of The Art of Thinking Smart, a blog and finance column in The Star-Advertiser’s weekly Midweek with a readership of over 400,000 people. He is also proud to serve as an Intelligence Officer in the Hawaii Army National Guard.
A longtime expert in finance, David uses his executive roles in various companies under Chang Holding Company in order to help people achieve their personal financial and business goals throughout all phases of their lives:
A wealth management firm (which has become ranked as one of the top in the nation and featured in Forbes)
WealthBridge Private Equity
A private equity and venture capital fund
Care for Life
A private-duty home and senior care company
Other companies under Chang Holding include GreenTech Pacific LLC and Pacific West Import/Export Hawaii.
David S. Chang is the founder of The Art of Thinking SMART, The Art of SMART Money, and The Art of SMART Stocks. He created the Simple 4-Step System to Wealth and Financial Freedom. Supported by over a decade of research and driven by David’s desire to help others excel in all areas of their lives, this step-by-step online training program enables people to take control of their wealth immediately.
Everyone should have a financial plan, regardless of age, income or net worth.David S. Chang
David has always loved to learn and seek out opportunities to achieve the American Dream– so it comes as no surprise that he has taken numerous continuing education courses in finance, investments, and insurance. He also completed the Chartered Financial Consultant® (ChFC®) program at The American College.
In 2015 David was chosen as a member of InvestmentNews’ 2015 40 Under 40 list of top young advisers and associated professionals in the financial planning industry. He has been featured in Forbes as one of America’s Select Financial Leaders. In 2013, David S. Chang was selected as 40 Under 40 Military by CivilianJobs.com, 2011 Pacific Edge Young Professional of the Year, 2010 Business Leader of the Year from the Pacific Business News Forty Under 40 and 2011 finalist for The Business Leadership American Savings Bank Business Leader of the Year.
In addition, WealthBridge Inc. was selected as a FIVE-STAR Wealth Manager for the State of Hawaii in 2014 through 2011, representing the top 2% of Wealth Managers statewide. In 2014 through 2012 WealthBridge Inc. was also selected by The National Association of Board Certified Advisory Practices (NABCAP) as a Premier Adviser.