There’s a lot of buzz around digital transformation. Ask a handful of people what it means, and you’ll get a handful of answers.
A simple definition of digital transformation: Adopting new—or modifying existing—technology to make your business run better.
CFOs—especially those in growing small and midsized businesses (SMBs)—must embrace digital transformation to reshape the finance function and prepare for the future.
Although digital transformation can take many forms, cloud enterprise resource planning (ERP) is a shining example of the best way to begin a finance-led digital transformation.
Common finance challenges
CFOs and finance teams adopt cloud ERP solutions to overcome challenges, including:
- Inefficient, disconnected processes
- A lack of transparency and automation
- Roadblocks from entry-level software and small business accounting applications
- Skilled people wasting time on low-level tasks
Many finance teams spend too much time on transaction processing, reporting, and closing the books. Not enough time is spent on strategy and insight.
That’s a problem.
Why? Because finance professionals are critical to a successful business. They bring strategic skills and value to their organizations, and it’s a mistake to keep them buried in routine tasks that can be automated.
Intelligent technology
Modern cloud ERP solutions with embedded artificial intelligence (AI) and machine learning automate mundane, time-consuming tasks like transaction processing and reporting. They help finance teams close the books faster and significantly boost efficiency.
With cloud ERP, finance professionals can focus the most time on financial analysis and strategic, real-time, data-driven decision-making.
The power of AI in finance
Leading cloud ERP publishers have been innovating in AI for years and have successfully woven it into their products and processes.
In a nutshell, artificial intelligence (AI) is technology that can perform complex tasks that historically only humans could do, including reasoning, decision-making, and problem-solving.
AI’s benefits are undeniable. It saves time and money, reduces human error, and increases efficiency. And because qualified accounting professionals are in short supply, AI is a powerful tool for finance teams to do more with less.
Letting intelligent technology do the heavy lifting helps you get more out of your team despite a limited headcount. AI and machine learning automate employees’ tasks so they can focus on analysis and deliver action faster.
Examples of intelligent finance features in cloud ERP include:
- Automating the order to cash process and accounts receivable accounting
- Automating collections management, accrual recommendation, and inter-company reconciliation
- Using predictive analytics and AI-powered forecasts to anticipate financial trends
Conclusion
Moving from a system of record to cloud ERP—a system of action—simplifies everyday finance work and fuels a finance-led digital transformation.
And despite a common myth, cloud ERP isn’t just for large or global enterprises.
With the right cloud ERP solution and technology partner, finance teams in fast-growth SMBs can operate more strategically and insightfully.
To learn more about finance-led digital transformation, watch a webinar recording and see how cloud ERP leads to future-focused finance leaders
