It’s no secret that the business world is rapidly changing, and the Accounting & Finance industry is certainly no different. We are seeing traditional finance roles being pushed into new and exciting directions, and a level of analysis that we’ve never seen before. If your finance team is yet to move to a value-based approach, here’s why it should be at the top of your agenda.
Changes in the Accounting Industry
The finance function is facing perhaps its biggest period of transformation. With automation to processes, corporate digitisation and its evolution into a strategic (and analytical) asset, we’ve certainly come a long way since the years when finance teams were largely focused on transactional, day-to-day tasks.
Whilst managing the bottom line and meeting other finance objectives will always be critical, we know that business expectations are increasing. Because of this, today’s CFOs are under pressure to provide more strategic direction. By helping their organisations to make better informed decisions (with the help of software and tech making tasks more efficient), we’re seeing more finance leaders look to their teams to unlock additional value through analyics.
These changes have meant that business-partnering has become a key component in today’s accounting roles. With decision-making being supported through actionable insights, we’re seeing more finance teams working alongside stakeholders and other departments in an effort to support profitable growth and take their businesses to the next level, from an accounting standpoint.
A Value-Based Approach
Despite the prevalence of automation, with so much of accounting based on interpretation and context, no amount of technology will ever replace that. There is only so much that can be accomplished without needing human interaction to decipher data and inform stakeholders.
So, as finance teams shift and respond to new demands, what should they be delivering? How can they provide the value-based service their businesses are looking for? The digitisation of certain functions opens up opportunities for team members to re-prioritise their focus in areas outside core tasks. Some examples include:
Generating reports that enlighten stakeholders of their level of profitability, in comparison to competitors.
Insight into the productivity of employees.
Being able to advise on what is lacking and how to reach optimum levels of profitability.
Collaborating with other departments to help them navigate business challenges.
Driving behavioural change through analytics.
Job roles might be changing, but it’s a great opportunity for your employees to widen their skill sets, whilst exposing them to more of a strategic way of thinking.
Flexibility is the Key
So, what will the future of the industry look like? The onset of automation and the changes discussed earlier means we’ll continue to see roles becoming value-based, with more people hired to interpret and manipulate the data that informs business leaders.
Because of the advancement in software and other tech, it has also led to changes in daily work patterns, opening up opportunities for flexibility and remote working. This is fast becoming a key consideration for candidates in the workforce, so I expect a lot of businesses to take this onboard in future hiring. Working the standard 9-5 hours is no longer the rule!
With that in mind, it’s worth considering that by 2025, up to 70% of the workplace will be made up of just two generations: Millennials and Gen Z. These are the two latest generations to enter the workplace and it’s widely accepted that they seek flexibility in their work environment.
It’s fair to say that technology has affected all industries. With new software and productivity increases, employees are able to take on more diverse tasks, widen their skill sets and give the business the value-based service they are after. The Accounting & Finance industry might be changing but we’re moving into an exciting period. If you would like to discuss these changes or if you’re looking for support in your recruitment needs, get in touch with me here.