A recent global survey by Deloitte’s Center for Controllership™ and the Institute of Management Accountants (IMA) reveals a significant shift in the finance and accounting sectors. While traditional tools like spreadsheets remain prevalent, there’s a growing adoption of emerging technologies such as artificial intelligence (AI), machine learning, and advanced analytics to enhance business performance insights.
Findings
1. Current Tool Usage in Performance Modeling
- Spreadsheets are still the primary tool for performance modeling, used by 30% of professionals.
- Only 3% have adopted AI analytics, and 1% utilize blockchain technologies.
- Despite low current adoption, there’s an anticipation of significant technological disruption in the near future.International Accounting Bulletin
2. Anticipated Benefits of Emerging Technologies
- 19% expect automation of routine tasks and processes.
- 18% foresee real-time data analysis and reporting capabilities.
- Another 18% predict a shift from historical to predictive analytics models.
3. Integration Plans for Emerging Technologies
- 24% have already integrated AI, blockchain, or advanced analytics into their cost and profitability management models.
- An additional 29% plan to implement these technologies in the near future.
- In total, over half (53%) are moving towards technological integration
4. Challenges in Cost-to-Serve Analytics Adoption
- Only 38% of organizations leverage cost-to-serve analysis to evaluate business goals or modify strategies.
- 54% report inadequate reporting or a need for improved transparency in cost and profitability reporting.
- Primary barriers include complex and disparate systems (15%) and data availability challenges due to interdependencies between functions and departments (14%).thetimes.co.uk+6International Accounting Bulletin+6deloitte.wsj.com+6
5. Benefits Realized from Emerging Technologies
- 12% report reduced time spent on data collection.
- 11% experience increased efficiency in reporting and analysis preparation.
- 10% have improved accuracy in cost estimations.IMA
The finance and accounting sectors are at a pivotal point, balancing traditional methods with the integration of emerging technologies. While spreadsheets remain dominant, there’s a clear trend towards adopting AI, machine learning, and advanced analytics to enhance business performance insights. Organizations that effectively navigate this transition stand to gain significant advantages in efficiency, accuracy, and strategic decision-making.
