How has technology changed the role of a Financial Controller?

Technology has come on leaps and bounds in the past ten years, as has the role of a Financial Controller. But how can they affect each other, and was it the FC that caused the change of its technology, or vice versa?

In larger businesses the initial buzz of RPA (Robotic Process Automation) took hold about 5 years ago. Everyone wanted it, few knew what it really did, and even fewer how to implement it properly within business processes.

The landscape is now very different. FCs of SMEs, start-ups, or growth businesses probably have 1,000+ apps and software products to choose from to help them do their job. Most of these cost less than a cup of coffee per day, are quick to implement and the cost of rectification (if they don’t work) is minimal.

FCs are expected to take a more strategic view in any business and to do that the utilisation of appropriate software can really help. Sometimes it’s too easy to get caught up in the weeds with a visions of grandeur and huge systems changes but this isn’t always required.

There are several areas that fall under the control of an FC: team management, operational processes, forecasting cycles, budgets and more. Using the finite resource of your team, see how much of their jobs can be freed up by incorporating simple technology.

As an example, most forecasting models can now be automated to include actual or forecasts where required, and most AP invoices can be accurately scanned with affordable OCR software. Sometimes these changes take a lot of front-loaded effort, but by freeing up time early on you can make the FC role much more enjoyable and fulfilling later down the line.

While it’s easy to say that technology has changed the role of an FC, it’s also important to consider the requirements of business owners and the environment they operate in has driven this change. When business owners see an opportunity – a new revenue stream or an expansion idea – without an FD/CFO it’s the FC that jumps in to help. So business owners demand more of their FCs, and so their needs have progressed, meaning the tech they use has had to keep up.

So to ensure your finance function is future ready, design the processes, team and tech with the future in mind.

Control Room Finance can help your business and finance team prepare for the future. Get in touch to discuss more.