The Future of Finance Has Arrived
20 July, 2021
2020 has put a toll on many businesses. Uncertainty, risks, and volatility have reached an all-time high, demanding companies’ unrestricted attention. These troubling circumstances have proven that even profitable, long-established companies should always look out for what is lying ahead. In 2021 organizations should focus on overcoming inefficient processes and past mistakes by adopting long-term strategies which ensure their future growth and profitability. One key area to focus on is the emerging trends in finance and future opportunities, requiring the time and attention of finance teams.
The most pressing trends finance teams face now and in the future include:
Due to a combination of emerging technologies and digital processes, remote work, often seen as a disturbance before, has proven to be an important, beneficial component for various companies. With the right technology, connectivity, and communication, finance teams working remotely could still deliver top-quality results – An important silver lining taught by the pandemic. Whether from home or the office, employees will remain responsible for completing their work in a sustainable and cost-effective manner. However, certain challenges come along with remote work. Firms need to consider cybersecurity measures to avoid costly data breaches.
Automation depicts another leading trend. In 2021 more than 91% of organizations have already improved compliance through effectively implemented automation. By adopting technology to automate tasks and processes, finance teams can save time, energy, and resources that were previously spent on repetitive and tedious manual tasks involving spreadsheets or number crunching. Time can now be dedicated to value-adding tasks requiring human-to-human interaction or careful analysis. Automation is undoubtedly here to stay, one of the main reasons being its role in freeing employees of time-consuming low-value tasks, such as data aggregation. Automation can eliminate confusion, minimize errors, reduce time-wasting and make slow-moving processes a relic of the past by increasing productivity levels.
Furthermore, the cloud is a popular choice for finance teams due to its ability to allocate digital resources better and reduce the need for physical hardware. Finance teams are no longer bound to internal networks or far-off data centres. Cloud-based service providers support finance teams by taking responsibility for any software updates or system integration, effectively reducing server downtimes.
Digitalized Payment Processes
Across the globe, the rapid move towards digital payment adoption is changing the essence of payments. More software solutions allow transferring invoices in bulk to generate payments into companies online banking tools. This can be done either via APIs or file uploads. Digital business payments stand to eliminate any unnecessary back-and-forth of invoices processing and payment creation while saving significant time across the entire operation.
Data analytics is also anticipated to have a tremendous impact on the finance sector along with cloud-based technology and automated processes. Using extensive data analytics helps finance teams uncover valuable financial insights and identify process improvements that can increase efficiency or assist organizations in managing risk better. Data analytics’s value lies in its ability to give organizations a much clearer perspective on their performance, facilitating better decision-making.
The future of treasury is clearly digital. Finance teams must advance and embrace digital transformation. Cloud solutions are becoming the dominant building blocks for modern finance and treasury professionals. Adopting innovative solutions helps companies become more robust and enables future growth. A352 offers precisely such a cloud-based solution for finance teams – the Financial Navigator.