Digital financial management as a catalyst for the company’s growth and development

The state of digital financial management reflects the desire and ability of financial management to ride the wave of the digital revolution. What is the situation in your company? Are you a pioneer in digital financial management who, a long time ago, harnessed electronic tools for financial management automation, perhaps even artificial intelligence in financial management? Or are you moving a little behind, but already on the road to strong digital financial management, and things are moving slowly but surely? The financial management of some companies has not yet embraced the mentality of digital financial management at all, although it could benefit all companies, regardless of size or industry. Find out what digital financial management looks like in practice and how it drives a company’s growth and development.

man working at the beach with laptop

Digital financial management enables working regardless of the time or the place

The lack of digital financial management was not raised in some companies until the spring of 2020 due to the global Covid-19 pandemic. When financial management and all members of the financial management team were physically in different locations, data collection, analysis, and sharing became difficult. The lack of digital financial management and of automation was immediately reflected in the fact that files had to be sent via email, work was done in an inconsistent order, and finding real-time figures became challenging. Time was wasted on double work and manual work. The reliability of the data suffered.

While those competitors, who had sound digital financial management, were able to continue their operations from home offices when the pandemic struck business-as-usual. They had already introduced digital tools to streamline operations and facilitate planning based on financial management automation. These tools also ensured that the work of financial management was not reliant on time or location. Everyone had access to the same real-time and reliable data from anywhere.

man with laptop

Digital financial management saves time and improves the quality of the reporting

There are also many other benefits to adopting digital financial management other than flexibility. Electronic tools for digital financial management help minimise the amount of manual work, giving financial management more time to analyse and report figures. In addition to speeding up data processing, its accuracy is improved: the automation of financial management reduces  human error and the amount of mistakes. Electronic – often cloud-based – tools allow everyone to look at the same numbers from the same place. Files such as Excel calculations are not sent by mail, which would increase the number of versions and the likelihood of errors in formulas. Thus, the use of digital financial management tools improves the quality of reporting.

Broadly speaking, digital financial management is about much more than just digital tools. Their introduction will lead to more efficient financial management processes and thus to the creation of real added value for all stakeholders. Thus, digital financial management and the automation of financial management do not only benefit financial management and administration, but can reinforce trust, accelerate growth and speed up development throughout the company.

Financial management as an ambassador for financial management automation

Financial management is involved in deciding whether to invest in digital technologies such as financial management automation – or even robotics or artificial intelligence in financial management. Corporate financial management today still has differing views on the importance of the transition or leap towards digital financial management. Fortunately, there are not many companies that are indifferent to the importance of digital financial management. Still, some companies see it more as a “nice addition” than a mandatory and vital maintainer of competitiveness.

However, it is good to remember that even if digital finance management and financial management automation was not necessary in the past, constant change and speed are now determining the work of financial management. There is more data than ever before. It must be possible to collect, process and distribute it efficiently. In addition, financial governance regulation has increased significantly in recent years – and this trend is continuing. It is often necessary to visualise information. This calls for digital corporate management tools.

The good news is that more and more companies are putting the acquisition of digital technologies on the top of their to-do list. For most, this is a priority, not a “nice addition”. Of course, digital financial management is not just about getting tools. It also means that new technologies are successfully implemented in the organisation. The role of financial management is therefore to not only act as promoters of new technologies, but also as educators and enablers, even creators of culture.

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Digital financial control and financial management automation toolkit

In companies on the crest of the digital revolution, financial management is seen as a productive, innovative, and value-creating function — not just a function that tells how you performed in the last quarter.

Digital financial management is strongly future-oriented, and its tools aim to add value to financial management and the company as a whole. The digital financial management toolkit includes a large variety of systems that utilise financial management automation, such as reporting, visualisation, and measurement tools.

Clausion offers its customers easy-to-implement digital financial management solutions. They ensure that financial management always has the best possible overall view of the economy and data that you can trust.

Learn more about easy-to-use finance management tools that save time.