# Make time to reshape the finance function with automation and machine learning
Author:  Pal Sinha, Barnali 
Author URL: https://financedigest.com/author/pal-sinha-barnali
Published: 2020-01-07
Category: TECHNOLOGY
Category URL: https://financedigest.com/category/technology
Meta Title: Drive Growth with Automation and Machine Learning in Finance
Meta Description: Discover how CFOs can increase revenue, streamline tasks, and deliver time-efficient insights by leveraging automation and machine learning in finance
URL: https://financedigest.com/make-time-to-reshape-the-finance-function-with-automation-and-machine-learninghtml

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_By **Tim Wakeford**, vice president, financials product strategy, EMEA at_ [_Workday_](https://www.workday.com/)

Automation and Machine Learning (ML) are powerful tools which, if used in the right way, can help CFOs to transform the finance function to focus on agility and growth. To this point, the Martec report “ [Companies Using AI Will Add More Jobs Than They Cut](https://www.martecgroup.com/artificial-intelligence-in-market-research/),” found companies that have automated at least 70 percent of their business processes were six times more likely to have revenue growth of 15 percent per year or more.

ML and Robotic Process Automation’s (RPAs) ability to increase revenue and transform the finance function and boost revenues stems from the technologies’ ability to streamline tasks. For example, these technologies can provide faster access to critical data for decision-making and remove unnecessary back and forth with various departments. The success of reshaping the [finance function](https://www.financedigest.com/easing-the-burden-of-data-overwhelm-in-finance-functions.html "Easing the burden of data overwhelm in finance functions") is, however, dependent on automating the right tasks.

**Minimise errors and deliver time-efficient business insights**

Today’s finance teams are finding their work being condensed into a high-pressure [period around](https://www.financedigest.com/industrial-carbon-dioxide-market-is-estimated-to-expand-at-a-cagr-of-around-3-over-the-forecast-period-of-2021-2031.html "Industrial Carbon Dioxide Market is estimated to expand at a CAGR of around 3% over the forecast period of 2021-2031") the end of each month. This is largely due to the number of systems involved in the [financial close](https://www.financedigest.com/fast-track-financial-close.html "FAST-TRACK FINANCIAL CLOSE") process, and how reliant they are on input from various functions across the business. [Intelligently automating](https://www.financedigest.com/why-intelligent-automation-should-be-a-top-priority-for-enterprises-in-2022.html "Why Intelligent Automation should be a top priority for enterprises in 2022") finance processes will tackle these inefficiencies.

Through tools such as ML enabled anomaly detection, for example, tasks such as data entries are more likely to be [posted correctly the first time](https://www.financedigest.com/whats-the-best-time-to-post-on-instagram.html "What’s the best time to post on Instagram"), or brought up for review if they are incorrect. Removing the need for a high degree of manual intervention will contribute to the amount of [time that can be redistributed to other tasks not only in finance](https://www.financedigest.com/why-the-time-is-right-for-finance-to-embrace-digital-change.html "Why the time is right for finance to embrace digital change"), but in this case, across the business.

**Automate to** [deliver insight](https://www.financedigest.com/research-delivers-insight-into-the-global-polymer-surfactants-market-during-the-period-2021-2029.html "Research Delivers Insight Into The Global Polymer Surfactants Market During The Period 2021-2029")

“An Adaptive Insights survey found that over two fifths of finance leaders agree that the biggest driver behind automation within their business is the demand for faster, higher-quality insights from executives and operational stakeholders.”

Yet, according to a recent [McKinsey survey,](https://www.mckinsey.com/business-functions/operations/our-insights/new-technology-new-rules-reimagining-the-modern-finance-workforce) corporate finance teams spend around 80 percent of their time manually gathering, verifying, and consolidating data. This leaves only 20 percent for higher-level tasks, such as analysis and crucial decision-making which means a higher risk of missing [key insights](https://www.financedigest.com/bag-closure-clips-market-assessment-and-key-insights-analyzed-till-2028.html "Bag Closure Clips Market Assessment and Key Insights Analyzed Till 2028") or making mistakes. Therefore, one [way for finance teams to achieve the goal of delivering time-efficient business](https://www.financedigest.com/five-ways-businesses-can-prepare-themselves-for-the-digital-economy-be-kaler-pilgrim.html "Five ways businesses can prepare themselves for the digital economy – Be Kaler Pilgrim") insights is by automating repetitive tasks. By [cutting the amount of repetitive administration jobs](https://www.financedigest.com/amazon-will-not-cut-jobs-in-italy-unions-say-after-meeting.html "Amazon will not cut jobs in Italy, unions say after meeting"), the finance team will have significantly more time to be a strategic advisor to the business.

**Optimise [accounting processes](https://www.financedigest.com/things-mortgage-lender-takes-into-account-when-processing-an-application.html "Things Mortgage Lender Takes Into Account When Processing an Application") and mitigate risk**

[Accounting continues](https://www.financedigest.com/skin-lightening-products-remain-sought-after-among-women-who-continue-to-account-for-80-of-sales-study.html "Skin Lightening Products Remain Sought-after among Women, who Continue to Account for 80% of Sales: Study") to be another pain point for finance. Each month the finance team has to manually sift through invoices and other documentation, correcting errors in the general ledger — or risk a direct impact on a business’ [cash flow](https://www.financedigest.com/xerox-shares-slide-as-annual-revenue-cash-flow-forecasts-take-a-hit.html "Xerox shares slide as annual revenue, cash flow forecasts take a hit"). But this can change with the implementation of automation and ML. These [technologies can help to match payments](https://www.financedigest.com/why-anti-spoofing-fingerprint-technology-is-essential-for-the-continued-growth-of-digital-payments.html "Why anti-spoofing fingerprint technology is essential for the continued growth of digital payments") with invoices, and reduce any high-risk issues such as fraud in the process.

Internal and external fraud is an issue that [costs businesses](https://www.financedigest.com/esg-prepared-why-ignoring-esg-is-a-costly-business.html "ESG Prepared: Why Ignoring ESG is a Costly Business") billions of pounds each year. ML can help mitigate this by flagging suspect payments to vendors in real-time. Instead of relying on manual audits on a sample of invoices, using ML will vastly increase the [volume of invoices which can be analysed to ensure that the business](https://www.financedigest.com/fluid-coolers-market-by-covid-19-impact-analysis-volume-and-value-revenue-business-opportunity-future-projections-and-key-trends.html "Fluid Coolers Market By Covid-19 Impact Analysis – Volume And Value, Revenue, Business Opportunity, Future Projections, And Key Trends") is not making mistakes or fraudulent payments. Overall, RPA combined with ML can provide finance leaders with a great way of improving the way their accounting processes are [managed — while also removing the risk](https://www.financedigest.com/extended-reality-applications-in-risk-management.html "Extended Reality Applications in Risk Management") of manual errors.

**Spend your extra time on building your** [business strategy](https://www.financedigest.com/animal-drug-compounding-market-trends-business-strategies-and-opportunities-with-key-players-analysis-2030.html "Animal Drug Compounding Market Trends, Business Strategies and Opportunities With Key Players Analysis 2030")

There has been a huge [rise in the volume and complexity of real-time data](https://www.financedigest.com/euro-zone-bond-yields-rise-after-u-s-jobs-data.html "Euro zone bond yields rise after U.S. jobs data") required from key stakeholders; and analysis of said data as a result. The ability to use automation to meet this demand for reporting and analysis is what will separate the [successful finance](https://www.financedigest.com/digital-democratisation-through-low-code-the-future-of-finance-success.html "Digital democratisation through low-code – the future of finance success") teams from the others.

In fact, 26 percent of businesses in a global CFO study said that their primary reason for automating finance was to provide enhanced decision support, and ultimately improve business strategy. The time that is freed up from manual data gathering, consolidation, and formatting can now be spent on scenario planning, risk assessments, performance and predictive modeling – ultimately creating a much more strategic role for the CFO that will spur successful [business growth](https://www.financedigest.com/uk-needs-to-make-politically-unpopular-reforms-to-boost-growth-business-group-says.html "UK needs to make politically unpopular reforms to boost growth, business group says").

To see real success, today’s [finance function must consider how to implement automation](https://www.financedigest.com/why-do-modern-finance-functions-strive-for-automation.html "WHY DO MODERN FINANCE FUNCTIONS STRIVE FOR AUTOMATION?") and ML to support business agility. That means having CFO collaboration with a forward-thinking [finance function where automation plays a pivotal role to truly drive finance transformation](https://www.financedigest.com/why-digital-transformation-in-finance-is-crucial-for-post-lockdown-success.html "Why digital transformation in finance is crucial for post lockdown success").


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