Finance teams in businesses are undergoing a profound transformation, with automation and artificial intelligence (AI) becoming more integral to their work and the way businesses operate. ACCA’s recent report, ‘Finance evolution: thriving in the next decade’, outlines how it will be crucial for finance teams to reinvent themselves in the coming five years.
This transformation requires shifting from short-term profit maximisation to embracing long-term value creation, a deepened trust in AI-driven predictive tools, and a focus on equipping professionals with future-ready skills. However, several challenges, including outdated technologies and misconceptions about the finance function’s role, continue to hinder progress for many organisations.
Prioritising Long-Term Value Creation
One of the critical shifts highlighted in ACCA’s report is the move away from short-term financial objectives towards the creation of sustainable, long-term value. Finance teams must expand their roles to provide strategic insights into areas like sustainability, innovation, and risk management.
To support long-term value creation, finance teams should focus on multi-dimensional value creation, considering financial, environmental, and social outcomes—the “triple bottom line.” This involves considering performance across multiple dimensions, ensuring that businesses not only meet financial targets but also deliver value in terms of environmental sustainability and social impact.
High-quality, trusted data is essential for this shift. Finance teams must strengthen their data management capabilities, ensuring data integrity and governance. This provides the foundation for generating reliable insights that guide strategic decisions and maintain stakeholder trust.
Overcoming the ‘Cost Centre’ Mindset
Despite technological advancements, a prevailing challenge remains the perception of finance as a mere “cost centre”. In the report, 32 per cent of respondents view finance as a support function rather than a driver of business value. This outdated mindset stifles the full potential of finance teams to contribute strategically.
To overcome this, finance leaders must proactively demonstrate how data-driven insights lead to more informed decision-making and support business growth. It is essential to showcase how financial intelligence can drive sustainability initiatives, foster innovation, and ensure long-term success. Integrating finance more closely with other business functions will also facilitate collaboration, enhancing finance’s role as a strategic partner in creating enterprise-wide value.
Developing Future-Ready Talent
As digital transformation accelerates, finance professionals need continuous learning and career reinvention. Thirty per cent of respondents to the ACCA survey reported that their current technology suite is inadequate, underlining the need for both technological upgrades and the development of skills in AI, data analytics, and automation.
In Malaysia, ACCA is at the forefront of preparing finance professionals for this future. Initiatives such as the New Members’ Recognition Ceremony demonstrate ACCA’s commitment to nurturing future-ready talent. These efforts ensure that finance professionals are equipped to navigate the evolving landscape and meet the demands of the digital age.
Furthermore, transforming the perception of finance as a cost centre requires rethinking career paths. Finance professionals should be encouraged to explore hybrid roles that combine finance, sustainability, technology, and business acumen. Such roles foster adaptability and position finance as a leader in driving innovation and value creation.
Seizing the Opportunity for Transformation
The next five years represent a crucial window for finance functions to embrace transformation and stay competitive in a world increasingly shaped by AI and automation. While challenges such as outdated perceptions and inadequate technology remain, they are surmountable with the right mindset, a commitment to continuous learning, and forward-thinking leadership.
By embracing technological advancements, developing future-ready talent, and shifting focus towards long-term value, the finance profession has the opportunity to survive and thrive in an increasingly complex and competitive environment. The time for transformation is now, and finance professionals who seize this moment will be well-positioned to drive business success in the future.
*This article was written by Ayla Majid, the vice president of the Association of Chartered Certified Accountants (ACCA).
**Disclaimer: The views expressed are those of the writer and do not necessarily reflect those of NHA – News Hub Asia.
