Mapping financial transformation journeys through digital disruptions - reimagining the future | HCLTech

Mapping financial transformation journeys through digital disruptions - reimagining the future

February 16, 2023
Rohit Sinha


Rohit Sinha
Director, Digital Process Operations
February 16, 2023

“The best way to predict the future is to invent it.” – Theodore Edward Hook, English playwright, and novelist

While predicting the future is not easy, we all must prepare for it the best we can. For finance functions, that means innovating every day to stay tuned to the dynamic digital disruptions. With its market size projected to reach $698.48 billion by 2030 globally, fintech technologies hold the keys to business growth. They have the power of managing and strengthening the entire financial value chain. Every future-facing firm must therefore become a technology-driven entity to stay competitive or risk paying a steep price. But for this to happen, organizations need to forecast a new digital finance architecture to move toward more strategic, real-time financial activities.

Managing changes in financial functions, digitally

Driven by data analytics, automation, and cloud transformation, more and more financial companies are digging deeper into pioneering technologies. They have imported a digital lens to administer financial change management. But the convergence of technologies and financial services depends on two critical factors – modernizing the work of finance and finding the right resources to do it. Financial personnel are now expected to become catalysts of digital strategy to deliver the true value promise of fintech digital transformation.

Driven by data analytics, automation, and cloud transformation, more and more financial companies are digging deeper into pioneering technologies.

So, what are the technologies available and how can they be combined to strengthen financial processes? Businesses can take advantage of the inevitable technological disruptions ahead by:

  1. Incorporating automation and cloud-based innovations

    Financial operations are set to go the touchless way. The adoption of automation and cloud-based innovations will simplify processes and create new revenue funnels. From planning and budgeting in business finance to supporting investor relations and tax accounting in specialized financial services – new initiatives are underway to revolutionize financial operations globally. For instance, anti-money laundering (AML) investigation processes have already been automated through robotic process automation (RPAs) technology in the banking sector. However, the growing market demands suggest that pulling together AI, automation and cloud-based innovations to create a unified story, has the potential to disrupt technology and business landscape.

  2. Using data-driven quality insights

    With the advent of automation and intelligent tools in financial reporting, data analytics can generate in-depth financial statements. Enabling a more granular managerial overview, resources can be directed to financial functions that add value based on such reports and statements. Financial analytics can also generate data-driven quality insights that lead to personalized customer experiences. Blurring boundaries through knowledge sharing and inter-departmental collaboration, fintech companies are now evolving into full-fledged finance service centers and catering to the end-user directly.

  3. Demanding real-time financial reports

    Financial firms exist in a volatile business environment. They require on-demand, real-time reports on actuals to stay ahead of market curveballs. All information must become instantly available as financial activities go real-time. Forecasting financial operations will also become more and more dependent on information that is analyzed and delivered immediately after collection. For instance, peer group analysis can help establish true stock values in investment research with real-time data inputs to identify the competitive position of financial organizations. Data-fed benchmarking metrics, such as the return on assets (ROA), return on investment (ROI), and earnings before interest, taxes, depreciation, and amortization (EBITDA) can help measure corporate profitability in real-time. It’s all happening now. Traditional financial cycles will soon become redundant.

  4. Adopting AI/ML, robots, and NLP

    Future-oriented business operating models and customer-facing, digital finance services are driven by smart agents. From predicting and assessing financial frauds to underwriting loans, artificial intelligence (AI) technologies like machine learning (ML) are particularly impactful in corporate finance. Natural language processing (NLP) is categorizing unstructured data through advanced sentiment analyses. Chatbots powered by NLP will continue to segregate customers to deliver improved financial products and services. As per reports, operational cost savings from using chatbots known for impacting the bottom line in banking alone will reach $7.3 billion globally by the end of this year.

Modernizing financial processes with HCLTech

The key to success is in freeing financial data from siloed environments and modernizing workflow processes. All the while, the finance talent force should experience a holistic cultural shift toward better communication and flexibility to truly insulate financial businesses from market risks. As a trusted partner for several leading financial organizations, HCLTech has always recognized the role of the industry in shaping global technology ecosystems. We strive to empower financial institutions to realize the full potential of open banking and open finance for their digital businesses. We transform business environments with our deep understanding and integrated portfolio of innovation-first offerings. Move the needle on your technology-maturity scale by strategizing ahead on the growing scope of data analytics in financial processes with HCLTech.

Want to know more about our Finance story? Meet us at our booth from Feb. 21-22 at the Radiance Conference 2023 to be held in Atlanta, Georgia. 

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