MHR Analytics recently highlighted some of the key ways data is transforming the role of finance professionals and how to adapt to the future market. Data has created multiple opportunities for finance professionals but in order for finance teams to continue being seen as a value-added service, finance professionals need to continue evolving and take advantage of the new technology available to them. MHR Analytics recently highlighted some of the main changes the finance industry is likely to experience in the next few years.
The Rise of Predictive Analytics
Traditionally, finance teams utilized historical data to generate information and insights. This process was relatively limited due to the overall scope of the data and also lacked a complete representation of how particular decisions would influence the business. Predictive analytics has enabled finance professionals to expand beyond asking why things happened to understand what will happen next. Access to insightful information will allow finance teams to monitor customer data in real-time and develop a detailed analysis of their data. The future role of finance professionals increasingly is focused on using value-added analytical data to develop highly effective information to deliver business strategies.
Remote working options
The rise of cloud computing has allowed for more flexibility in finance work. Improvements in the security of cloud systems enable finance professionals to share and manage information wherever they may be, without worrying about the traditional concerns of handling sensitive information outside of the office space. An additional benefit is an increase in businesses moving towards a single operating system, putting all data in one place, creating a more streamlined and simplistic system.
Utilizing financial and non-financial data
Finance data can be supported with other data streams to enrich overall financial insights for business. This can include examining customer behavior patterns to determine fraud or suspicious activity. Finance teams can use internal data such as employee performance metrics to determine the ROI according to each employee. Adding this type of data into the entire process creates further value to overall financial insights. Recent research shows that CFOs utilize a large bulk of non-financial data in business forecasting.
Improving Standard of Service
An increase in analytics is creating a more augmented working environment, meaning previous tasks completed by people are now being performed by machines. Augmented analytics is enabling people to focus on creating more insights and value for their business. As a result, the combined forces of augmented analytics and the ability for more insight generation means the overall standard of service is higher than ever.
Introduction of new data-focused roles
Whilst there are concerns augmented analytics will mean fewer jobs, it does mean we are likely to experience a rise of more data specific alternatives to traditional finance positions. As data continues to become more important to finance teams and for generating insights for business strategy, it will result in a higher demand for specialist data professionals. New data science roles are expected to emerge as a result of the rising demand for skilled data specialists.