Digital transformation is becoming increasingly important for companies as they navigate various changes and strive to remain resilient. New technologies offer significant benefits for companies, particularly in the finance function. These benefits include easier compliance with regulatory requirements, enhanced operational efficiency, and improved decision-making facilitated by data analysis.
One crucial trend for financial management in 2024 is the rise of artificial intelligence (AI) in finance. AI-powered tools can automate repetitive tasks, analyze large amounts of data, and improve cash flow management and risk prevention. The predictive capabilities of AI can enhance finance teams’ ability to make accurate projections and predictions.
Standardizing the use of cloud technology is another trend that can optimize embedded finance. The cloud allows for real-time data updates, fostering collaboration and improving visibility of financial and non-financial information. Its flexibility also enables businesses to adjust IT costs according to their needs. Embedded finance, which integrates financial services into non-financial platforms, is expected to surge in various sectors in 2024.
Blockchain technology, known for its security and traceability, offers opportunities for tax efficiency, reduced costs, and improved cybersecurity. In 2024, decentralized finance (DeFi) built on blockchain technology may gain further traction, democratizing access to financial services.
Open banking, made possible by standardized APIs, allows the sharing of customer banking data with third-party services. This enables finance functions to automate financial processes and revolutionize the financial landscape.
Automated financial operations, payments, and reconciliation are expected to continue disrupting the finance and accounting function. By linking platforms with customers’ ERP and accounting information, financial processes can be centralized and automated, improving efficiency and accuracy.
While integrating tech trends may seem complex, businesses need to adapt and innovate to thrive in 2024. Continuous learning and embracing new technologies are essential for companies to remain competitive.
Dimitri Raziev, CEO of Kolleno, shared these insights as a member of the Forbes Technology Council.
