Total automation in finance takes the responsibility of repetitive tasks away from human workers, giving it to artificial intelligence tools, bots, and other technologies instead.
Almost half of the activities that employees are paid to perform in the finance industry can be automated today using demonstrated technologies. That means the market for process automation in this sector has a value that could reach almost $3 billion by 2021.
According to Deltec Bank, “Total automation is not a possibility to consider in the distant future. It is a reality. The institutions that prepare for this outcome today are going to be tomorrow’s leaders.”
35% of Financial Institutions Are Not Ready
A majority of finance leaders say that total finance automation is a significant priority, but 35% of institutions don’t agree.
Automation might be the agreed-upon future, but remaining agile while turning over the reins to artificial intelligence and bots can generate questions of quality. That’s why there are significant reservations in some institutions about this approach.
Several tools are available today that can help the finance sector begin their evolution to a total automation approach. Here are some of the best to consider.
1. Automated Purchase Orders
A computerized approach to purchase orders can save financial controllers several hours of work each month. This tool makes payment reconciliation, procurement, and spend management easier because of the implementation of total automation. It is even possible to issue virtual credit cards to sync with accounting services so that activities receive tracking in real-time.
2. Automated Tax Solutions
Automated corporate tax solutions allow finance controllers to upload receipts, invoices, and bills. The tool then extracts all of the information from the files, putting the data into a scannable and searchable format. That approach eliminates the need to hunt down documents when the filing deadline arrives, especially when the books can update by themselves.
3. Automated Payroll
Payroll is one of the most intensive financial obligations that every company endures. Automating these tasks allows the system to add all employees with their wages and banking preferences. You then set how often the tool processes the payroll, allowing it to access your accounts to issue paychecks or direct deposits without employee supervision.
4. Automated Finance Analysis
Access to big data can improve the profit margins of most businesses dramatically. The amount of information that customers generate is often far too much for humans to manage. Tools that can track your essential key performance indicators (KPIs) from a single dashboard make it possible to spot problem areas immediately.
5. Automated Invoicing
Automating your accounts receivables can ensure bills don’t get missed, and that people get their money fast. Tools in this category will follow-up with clients who have past-due invoices, offering an option to pay online. Then it syncs with your full-service accounting software to preserve the data you collect.
Total automation in the finance industry isn’t coming. It is already here. When there is less time spent on tedious tasks, then productivity levels rise across the entire team. That means you can make more money while reducing your overhead costs simultaneously.
Disclaimer: The author of this text, Robin Trehan, has an Undergraduate degree in economics, Masters in international business and finance and MBA in electronic business. Trehan is Senior VP at Deltec International www.deltecbank.com. The views, thoughts, and opinions expressed in this text are solely the views of the author, and not necessarily reflecting the views of Deltec International Group, its subsidiaries and/or employees.
About Deltec Bank
Headquartered in The Bahamas, Deltec is an independent financial services group that delivers bespoke solutions to meet clients’ unique needs. The Deltec group of companies includes Deltec Bank & Trust Limited, Deltec Fund Services Limited, and Deltec Investment Advisers Limited, Deltec Securities Ltd. and Long Cay Captive Management.