Benefits of automation in finance

 

1. Improved efficiency

Why go through the laborious process of completing tasks manually when you could have a computer take care of them for you in a fraction of the time? When you enter data into an automated system, you only need to do it once, and the same goes for any updates, as information is immediately propagated across the system. This makes it much easier to manage payroll, expenses and other processes that require inter-departmental working. When employees no longer have to spend as much time on data entry, they’re free to make better use of their skills, improving the analytical and creative aspects of your business. It’s also easier for them to communicate and quickly access records as required.

2. A reduced error rate

Reducing manual data entry reduces the error rate in your records and means that you won’t have to deal with having records in different parts of your system that clash. You’ll find it much easier to track errors back through the system when they do occur, and you’ll only have to fix them once. Making queries is simplified, reducing delays in areas such as invoicing and payroll, which keeps your employees and partner companies happy. Because reports can be produced and compared quickly, it’s easier to identify anomalies that might otherwise have been overlooked. The integration that comes with automation will make it much easier for you to see your organisation’s overall financial position clearly and spot areas where things may be going wrong.

3. Better collaborative working

By improving overall efficiency and improving integration between the systems used by different departments, automation software makes it much easier for different teams to work together. It greatly simplifies project work, allowing the finance department to follow the way that money is being spent within a project team rather than just establishing an overall budget and hoping that it will be looked after competently by the project manager. This means that it’s easier to keep expenses from getting out of control and also to anticipate when additional funding will be reasonable and necessary so that budgets can be adjusted more smoothly over time. Increased transparency reduces disagreement between departments and team members, making for a better working experience.

4. Reduced costs and increased profits

There are numerous ways that automating your systems can save you money. You won’t have to spend nearly as much on employing people to do manual data entry. You won’t have to worry about invoicing errors leading to customers being undercharged or overcharged. Swift responses during online sales processes and fewer delays when problems occur will improve the customer experience, increasing customer loyalty and driving up your sales. Improved integration – especially if you’re using smart equipment – means that you’ll know immediately when equipment is approaching the point when it needs to be replaced, making budgeting easier, and you can even opt to have consumables such as paper and printer cartridges reordered automatically so that you never end up having to pay extra because you’ve run out.

5. Reduced barriers to growth

Automated systems are much easier to scale up than traditional multi-part systems. You’ll still have the option of scaling up individual parts as needed (databases being the obvious example), with smooth integration meaning that you won’t have to worry about unexpected incompatibility, but you’ll also find that your system has a significantly improved ability to expand naturally as data sets expand and processing demands increase. This reduces one of the major costs associated with growth. When you do need to switch to more powerful systems, you’ll find that upgrading is simple and doesn’t require halting production in order to make adjustments. Your staff won’t have to learn new systems but will simply be able to continue as usual, with faster results.