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How Autonomous Finance Could Transform Operations Amidst Growing Reporting Pressures

Autonomous finance systems, powered by AI and generative technologies, are transforming finance operations by automating repetitive tasks and addressing the growing burden of reporting demands. These advancements aim to improve efficiency, reduce regulatory strain, and fill skills gaps.

How Autonomous Finance Could Transform Operations Amidst Growing Reporting Pressures

The adoption of technology to streamline repetitive and low-value tasks has been a focus for finance leaders for years. Many are now exploring autonomous finance systems that can execute tasks and suggest decisions independently, without requiring human oversight.

A recent survey highlighted that nearly half of finance functions are still burdened by manual processes, suggesting that full-scale automation has yet to become a priority for many organisations. While the idea of autonomous systems is appealing, obstacles such as skill shortages and costs remain significant challenges.

The Irish business environment is diverse, ranging from large multinational subsidiaries to mid-sized private companies with limited resources. Smaller organisations, in particular, may find automation most challenging. However, technological advancements like machine learning, artificial intelligence (AI), and big data are making autonomous systems more affordable and accessible, even for smaller players.

Generative AI (GenAI) tools, such as Microsoft Copilot, are playing a pivotal role in this shift. These tools help bridge skill gaps by automating processes using natural language instructions. They can write code, execute tasks, and assist with repetitive processes like month-end and year-end closures. These periods often involve vast numbers of manual entries, with a high risk of human error. Automation could significantly reduce this risk while saving time and resources.

One practical application is vendor invoice processing, a traditionally labour-intensive activity involving invoice entry, payment approvals, and journal creation. GenAI combined with optical character recognition (OCR) technology can streamline this process, making it partially or fully autonomous. With time and trust, organisations can rely on these systems to handle payment decisions, reducing reliance on manual intervention.

The growing demands of reporting have further intensified the case for automation. New regulations such as the Gender Pay Gap reporting, the Corporate Sustainability Reporting Directive (CSRD), and real-time reporting requirements have added to the financial reporting burden. These changes are accompanied by increased non-financial reporting requirements and tax regulations. Without greater adoption of automation and autonomous solutions, finance departments risk becoming overwhelmed by these demands.

The investment in automation has long been debated, with questions surrounding the return on investment. However, the rising regulatory landscape has clarified this need. Automation can ease the burden, freeing time and resources while reducing errors, enabling organisations to focus on strategic priorities.

The rise of autonomous finance offers a transformative opportunity for organisations to tackle these challenges and streamline operations, ensuring they stay resilient amidst an ever-changing regulatory environment.

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