Automation is transforming finance operations

Finance teams across industries have lately seen a significant change with the advent of automation.  A lot of organisations were relying on manual and semi-manual processes in finance operations.  The technology around  automation is rapidly revolutionising these processes by providing faster, cheaper, more accurate and reliable options.

Automation software products utilise a combination of rules engine, machine learning algorithms, and artificial intelligence to automate business operations.  This can include data processing, multiple-source reconciliation, reporting, monitoring, auditing, and even compliance.  

The automation products are transforming finance operations in several ways.  Here is a closer look at some of the significant benefits offered by them.

1. Efficiency Gains

Automation products can exponentially reduce the time taken to accomplish complex tasks especially involving large amounts of data.  Due to ever-increasing payment infrastructure, finance teams are receiving reams of data from different sources like payment gateways, order management systems (OMSs), enterprise resource planning systems (ERPs), bank statements, etc.  Crunching and analysing the data manually or semi-manually via spreadsheets invariably takes a lot of manhours.  But automation products can seamlessly manage and analyse the data almost instantaneously.

Automation products can complete tasks with much less effort and in a shorter amount of time.  Once the user programs the products appropriately, the products can be left to complete the task without any further intervention or assistance.  With more usage, the automation products tend to improve in quality and accuracy by covering corner cases.

2. Cost Reduction

One of the primary advantages of automation products is their ability to reduce cost.   Not only mundane and repetitive tasks but even complex tasks also can be automated.  Tasks such as the following can be managed through such products: data gathering and formatting, reconciling accounts receivables and receivables, payments, auditing, and record-keeping.  According to a BCG report, automation products can optimise finance operations while reducing costs by up to 75%.

3. Workforce Enablement

A report by Bain & Co. highlights that the automation products not only enhance the quality of results but also prepare a reliable and efficient workforce. The personnel become equipped with better tools to carry out even the most challenging tasks.  This whole process boosts the efficiency of the workforce and helps in retaining them while delivering better outcomes.

When automation products perform under the training and supervision of the user, they gain complete control over the process.  They specifically perform under the instructions given by the user, which ensures that the desired results are obtained.  This means that users can perform more scenario-based analyses.

Automation Products: Complementary Tools

While automation products offer several benefits, some may wonder whether it will take over the common workforce.  The answer, however, is quite evident - a skilled workforce will always be needed.  Automation products can and should be used to help finance teams become more swift and efficient.  These products should be seen as a way to lessen the burden of the working personnel, freeing up their time to decision-making and sorting choices.  A certain psychological perspective can only be identified by humans.

In conclusion, automation products are transforming finance operations by providing faster, cheaper, and more efficient processes.  They reduce the need for extensive paperwork, increases efficiency and productivity, and boosts employee confidence. It should be used as a tool to make working in the financial sector easier and more effective, with humans playing a critical role in the decision-making process.