Evolving financial technology
Whether you’re an old-school asset manager or a business decision-maker, finding suitable technology to solve practical problems can save you time, money, and resources, allowing you to shift your focus away from constant internal problem-solving and toward seeking out new opportunities for growth.
In finance, there are a whole host of new payment apps, optimised banking processes, and software advancements that are improving efficiency and productivity on a mass scale thanks to the ever-evolving progress of technological innovation.
As much as technology has enhanced some aspects of our lives, many financial organisations are still reliant on manual operations and systems, which aren’t streamlined for professionals to work in highly specialised areas. Instead, a lot of “back of office” functions are still needed to keep the engine-room running.
The ideal solution is to automate compliance processes and understand what the end user wants. Your company’s focus should be on the customer and their demands for knowledge and access to their investment.
Enablers and disrupters in financial technology
Disruption is rapidly driving innovation within finance. There are plenty of partnerships across big and small organisations. From traditional to start-up, smaller technology businesses can operate with more speed, save costs of development, and create better-tested products.
With the consumer demand disrupting finance there are more expectations, such as open APIs, driving new product development everywhere.
The considerable technological strides made thus far in the finance sector are just the beginning; as innovative tools and solutions become more accessible, we’re seeing evolving technologies playing a larger role in the growth of any business, driving a better customer experience and enhancing efficiencies across the board.
The importance of being ‘digitally savvy’
Organisations can adopt a holistic, business-wide digital strategy that leverages these technologies to get a competitive edge in the marketplace. According to IDG, 89% of organisations have adopted or had plans to adopt a digital-first strategy.
Digital transformation and the use of third-party technologies are blurring the lines between the digital and physical worlds by creating value and competitive advantage through new offerings, new business models and new relationships.
What are the technologies shaping the future of finance?
Finance is focused on using select digital parameters such as Robo-advisory and cognitive computing to optimise productivity. But attention is now shifting to a wider spectrum of rapidly evolving technologies related to customer experience, agility, data maturity and regulatory compliance.
1. Artificial intelligence (AI)
By processing large amounts of data like credit checks, AI decision-making process can help to map out the consequences of actions we undertake in our daily jobs. Finance analysts can investigate AI for data analysis and modelling expertise, which enables faster and more accurate decision support tools for managers and organisations.
2. Touchless voice technology
The rise of text-based chatbots has resulted in an increased trend toward servicing an online audience through machine learning, based on data from countless conversations. With over 1 billion voice searches per month, voice technologies will enable further process automation, reduce processing time and costs, and enhance the overall customer experience.
Voice technologies are being integrated with enterprise resource planning (ERP) systems and make it possible to search ‘back-end’ systems to update and analyse data via speech recognition.
3. Compliance and security technology
Compliance and security in financial services are becoming more dependent on technology for data and voice encryption, auditing, disclosure regulations and much more. The future of security might involve biometric scanning of accountants or advanced robotic process automation.
For example, we’re not too far away from machines that could automatically monitor receivables and calculate the provision for doubtful debts and other payable management tasks, such as cross-checking between documents to verify the accuracy of payments.
This advancement would be a worthy ally for organisations managing their accounts receivables and cash flow.