Economic uncertainty, talent shortages, compliance complexity, and the burden of repetitive, time-consuming tasks are just some of the factors currently taking a toll on the finance industry. Ahmed Fessi, Chief Transformation and Information Officer at Medius, explains why finance teams, stretched thin by resource limitations and an ever-increasing workload, are turning to technology.
Automation and artificial intelligence are being used to alleviate stress and improve efficiency for finance professionals. As technology reshapes the industry, the solutions that streamline operations will be critical in reducing burnout, increasing retention rates of current teams, and ensuring the sector remains attractive to new talent.
An economic squeeze on finance teams
Amid rising costs and evolving market conditions, finance departments are under more pressure than ever before. Research from Medius earlier this year found that more than half (55%) of finance teams experience burnout, as expectations to achieve more with fewer resources rise, resulting in increasingly overwhelming workloads.
The uncertainty surrounding economic conditions, and constant pressure to reduce G&A costs, has made it difficult for finance leaders to justify hiring more staff to expand their teams, forcing them to explore alternatives to meet the growing demands.
In response, automation is emerging as a practical solution to boost productivity without additional hires. Automating time-consuming and monotonous tasks like data entry, reconciliation, and invoice processing, can provide finance professionals with more buffer to focus on more strategic and value added activities. This shift not only helps alleviate immediate resource constraints but also allows finance departments to better manage growing workloads in a volatile economic landscape.
Talent retention relies on motivation
One of the most significant challenges facing the finance industry is the departure of skilled professionals. Many finance professionals, disillusioned by heavy workloads and repetitive tasks, are leaving the sector altogether.
The same Medius research found that 71% of finance professionals in the UK are looking to leave their role, with nearly half (40%) admitting they would not recommend a job in finance to the younger generation. The growing gap between expectations and available resources has made it difficult for organisations to maintain satisfaction and retain top talent. As finance teams lose experienced professionals, the workload on those who remain only increases, further fueling team turnover.
Leaders in the field are recognising that embracing technology is crucial for retaining valuable talent. Automation, particularly in areas like accounts payable and expense management, can reduce the burden of routine tasks, allowing employees to focus on more meaningful, value-driven work. In fact, 53% of finance professionals report that their roles have shifted due to automation. The possibilities offered today by tools leveraging AI and workflow automation can literally transform the day-to-day of finance professionals and offer better growth opportunities while reducing overall stress.
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By GlobalDataAI evolves the role of the finance worker
Finance professionals frequently cite the monotony of their tasks as a major source of frustration. Processes like manual invoice processing, expense reporting, and data reconciliation are time-consuming, tedious, and prone to human error. This lack of variety in the workday not only reduces job satisfaction but also detracts from strategic planning.
As finance leaders seek to improve efficiency and reduce burnout, automation offers a way to break the cycle. Beyond streamlining processes, finance teams have reported automation providing significant advantages in tasks such as: smoother end-to-end payments, quicker invoice payment turnaround, improved collaboration with external stakeholders, faster payments to suppliers, and earlier financial closeouts. Finance teams can make faster more informed decisions through the automation of finance processes, shifting from being reactive to proactive in their strategic contributions.
This technological shift is transforming the role of finance professionals. With routine tasks automated, teams can focus on more strategic initiatives like business planning and financial analysis. This transition not only boosts job satisfaction but also creates opportunities for skill development and leadership growth, enhancing the overall value finance teams bring to their organisations.
An automated path forward for finance
The pressure on finance teams shows no sign of letting up, but automation and AI offer a way forward. Adopting these technologies allows finance leaders to address immediate operational challenges, such as reducing workload and preventing burnout, while also laying the groundwork for long-term success. As the industry evolves, the most forward-thinking finance departments will be those that harness the power of technology to drive efficiency, retain talent, and improve decision-making.
For finance leaders, the message is clear: automation is no longer a luxury, but a necessity. Embracing this shift will allow finance departments to better navigate the challenges of today’s economic landscape while preparing for the future. Leveraging automation can improve efficiency and free up valuable time so finance professionals can focus on the strategic initiatives that will drive their businesses forward.
