By Ayla Majid, Deputy President (President), ACCA Global
Finance teams in businesses are undergoing a profound transformation, with automation and artificial intelligence (AI) becoming integral to their operations. ACCA’s recent report, “Finance Evolution: Thriving in the Next Decade”, emphasizes the necessity for finance teams to reinvent themselves within the next five years. This transformation involves shifting from short-term profit maximization to embracing long-term value creation, relying on AI-driven predictive tools, and equipping professionals with future-ready skills. However, challenges such as outdated technologies and misconceptions about the finance function’s role continue to hinder progress for many organizations.
Prioritising Long-Term Value Creation
A key shift highlighted in ACCA’s report is moving beyond short-term financial objectives to foster sustainable, long-term value creation. Finance teams must broaden their scope to offer strategic insights in areas like sustainability, innovation, and risk management.
To support this, finance teams should adopt a multi-dimensional value creation approach, incorporating financial, environmental, and social outcomes—the “triple bottom line.” This ensures businesses meet financial targets while also delivering value in terms of environmental sustainability and social impact.
High-quality, trusted data is critical for this transition. Strengthening data management capabilities, ensuring integrity, and establishing robust governance frameworks will enable finance teams to generate reliable insights, guide strategic decisions, and maintain stakeholder trust.
Overcoming the “Cost Centre” Mindset
Despite technological advancements, the perception of finance as merely a “cost centre” persists. According to the report, 32% of respondents still view finance as a support function rather than a driver of business value, limiting its strategic potential.
To combat this, finance leaders must:
- Demonstrate how data-driven insights lead to informed decision-making and business growth.
- Showcase how financial intelligence can support sustainability initiatives, foster innovation, and ensure long-term success.
- Foster collaboration by integrating finance with other business functions, positioning it as a strategic partner in enterprise-wide value creation.
Developing Future-Ready Talent
Digital transformation necessitates continuous learning and career reinvention for finance professionals. With 30% of ACCA survey respondents citing inadequate technology suites, organizations must prioritize technological upgrades and skill development in areas like AI, data analytics, and automation.
In Malaysia, ACCA leads the way in preparing finance professionals for the future. Initiatives like the New Members’ Recognition Ceremony underscore their commitment to nurturing future-ready talent. Encouraging hybrid roles that combine finance, sustainability, technology, and business acumen will enhance adaptability and position finance professionals as leaders in innovation and value creation.
Seizing the Opportunity for Transformation
The next five years represent a pivotal period for finance teams to embrace transformation and maintain competitiveness in an AI-driven world. While challenges such as outdated perceptions and inadequate technology persist, they can be overcome with the right mindset, continuous learning, and visionary leadership.
By adopting advanced technologies, developing future-ready talent, and focusing on long-term value, the finance profession can thrive in a complex and competitive landscape. The time for transformation is now, and those who act decisively will drive business success in the future.
