Left Menu
Development News Edition

Automation a key tool for biz to maximise efficiency in finance functions: Report

PTI | New Delhi | Updated: 16-09-2020 20:26 IST | Created: 16-09-2020 20:26 IST
Automation a key tool for biz to maximise efficiency in finance functions: Report

Automation is a key tool for businesses that are expecting finance functions to maximise the operational efficiency and minimise the time spent on non-value activities, according to a report. In a joint report released on Wednesday, the Institute of Chartered Accountants of India (ICAI) and the Institute of Chartered Accountants in England and Wales (ICAEW) said efficiency in finance operations, data and digital transformation, and improved controls and compliance are among the benefits of automation.

The report also explored the correlation between automation and headcount. It found that most jobs are made up of a number of different tasks, and automation typically gets rid of some of those tasks, rather than the entire job. "As a result, it was often reshaping rather than eliminating jobs," the report, titled 'Automation in finance functions: lessons from India and the UK', said.

ICAI President Atul Kumar Gupta said, "With the introduction of artificial intelligence, robotic process automation, blockchain technology and IoT (internet of things), among others, it becomes imperative for all to be vigilant and respond to the technological innovations to continuously improve business operations." He added that automation raises particular concerns about the future of jobs, and the report emphasises the importance of upskilling and training finance teams in a range of areas, including data and technology, in order to thrive in this new environment. "Automation, in most of our research examples, was reshaping rather than replacing jobs." According to the report, automation enables wider digital transformation in finance and successful automation is often small scale and closely linked to process improvement. It noted that while automation can sometimes involve expensive software, there are many cheaper tools that typically do not require programming-level skills.

The companies, in the research, emphasised that automation generates more benefits when it is integrated into wider initiatives aimed at process improvement and not treated as an end in itself. The study also suggests three areas that stakeholders should focus on in order to help finance functions succeed in an automated world.

These include emphasising the benefits of automation and sharing good practices. It said professional bodies have a role to play in this by curation and sharing of learning through research. Besides, retraining and reskilling staff to work in changing roles are also required, the report added.

In addition, developing and demonstrating a different value proposition for finance can also help finance functions to succeed in an automated world. "Technology is transforming our profession, and automation technologies in particular raise profound questions about the future role of chartered accountants," ICAEW President David Matthews said.

He, however, added that automation also creates tremendous opportunities and helps finance functions to deliver more value to their businesses..


TRENDING

OPINION / BLOG / INTERVIEW

South Africa's COVID-19 response: Surprising outcomes or just poor data management?

South Africa has been committed to improving its health information system and shows that a robust digital has considerable scope to improve healthcare for the entire population. But the COVID-19 pandemic has highlighted that significant ga...

Post-COVID-19 Nigeria needs a robust Health Management Information System to handle high disease burden

Nigeria is among a few countries that conceptualised a health management information system HMIS in the early 90s but implementation has been a challenge till date. Besides COVID-19, the country has a huge burden of communicable and non-com...

Morocco COVID-19 response: A fragile health system and the deteriorating situation

Learning from its European neighbors, Morocco imposed drastic measures from the initial stages of the COVID-19 outbreak to try to contain its spread. The strategy worked for a few months but the cases have surged after mid-June. In this sit...

COVID-19: Argentina’s health system inefficiencies exaggerate flaws of health information system

You can recover from a drop in the GDP, but you cant recover from death, was the straightforward mindset of Argentinas President Alberto Fernndez and defined the countrys response to COVID-19. The South American nation imposed a strict...

Videos

Latest News

From elbow 'hi' to separate entry-exit points: How Amitabh Bachchan is shooting 'KBC' amid COVID-19

The coronavirus pandemic has thwarted many projects, but megastar Amitabh Bachchan and the team of the show Kaun Banega Crorepati KBC knew they would make it happen with double the precautions and spirit. Shortly after recovering from COVID...

Asha Bhosle digs out old picture as she wishes 'Lata Didi' on 91st birthday

Veteran singer Asha Bhosle on Monday traveled down the memory lane as she extended birthday greetings to her sister and legendary singer Lata Mangeshkar as she turned 91. Asha Bhosle took to Twitter and posted a monochrome picture from her ...

South African Innovation Summit to be held virtually

Innovation will come to the fore when the Department of Trade, Industry and Competition dtic, together with the South African Innovation Summit SAIS, host a summit this week.The two-day Innovation Summit, which will get underway on Wednesda...

Gangster escorted by cops dies as car overturns

A gangster, who was being brought to Lucknow from Mumbai, died when the vehicle overturned after being hit by a nilgai in Madhya Pradeshs Guna district, police said on Monday. A Lucknow police team had gone to Mumbai on Friday and nabbed Fe...

Give Feedback