A recent article on CFO.com, “Death by Digital: Good-Bye to Finance as You Know It,” caught our attention because it delved deeply into how digital technologies are allowing finance organizations to do things they never could before. The piece cited Accenture, which indicated that by 2020, finance teams will see traditional accounting and processing shift “to cross-functional, integrated business services models that use robotic process automation.” This digital finance movement will also complete the Chief Financial Officer’s (CFO) shift from “from cost authority to business value architect.”
At DataServ, we have been freeing up talented finance teams to work on pro-active, higher-value tasks instead of transactional tasks for over two decades, so to see this being touted as “tomorrow’s digital finance organization” by an industry-leading publication was quite exciting.
An efficient accounts payable automation solution, particularly one that is cloud based and multi-tenant, enables these “cross-functional teams” to function successfully by removing the tedious transaction processing that bogs down so many finance departments.
The second half of the article takes an even deeper dive into the finance department of the future (called “Finance 2020”), stating:
It is no surprise that the Finance 2020 organization depends on a digital technology backbone. But it is time to re-imagine the role and future of your enterprise resource planning (ERP) system. It’s time to move away from ERP’s legacy historical focus as a largely passive system of record, where siloed data and batch processing delay decision making.
As this passage alludes to, ERP’s are being replaced by cloud-based platforms when it comes to projects like AP automation. We’ve stated it before, but it bears repeating: Attempting to build solutions like AP automation inside your ERP is expensive and cumbersome. ERP’s work well for collecting, storing, managing and interpreting data from various business activities, but they fall woefully short when it comes to business process automation such as AP invoice capture via optical character recognition (OCR) and exception-based workflow.
If you have further questions about what cloud-based technologies can do for your organization’s financial operations, please contact us at info@DataServ.com.