The financial sector is a specialized industry that requires highly skilled professionals to perform its critical tasks. Sensitive tasks such as financial reporting and control, tax and compliance, and budgeting always require the skills of well-trained staff.
However, to the extent that the finance niche needs experts, you realize that many of its day-to-day operations are repetitive tasks. Tasks such as loan processing, accounts payable, and credit card applications are labor-intensive tasks that waste valuable time on more creative tasks.
Essential skills for the financial sector
Repetitive tasks often lead to unforced accounting errors that can significantly damage brand reputation. Based on this understanding, research shows that 75% of transactional operations and 40% of strategic work can be automated. Nearly half of the tasks that people are paid to the tune of $15 trillion can actually be automated. In the United States, 51% of tasks are very sensitive to automation. Especially physical activities in structured and predictable environments.
No employer wants to keep spending money on tasks that will be done better when automated. These realities – market changes and technological evolution have caused a displacement of the most demanded skills in the financial sphere. Here are four digital skills needed to stay relevant that every finance department should know.
1. Knowledge of the market
Market knowledge is the ability to analyze the stock market holistically. This skill is essential for anyone working in financial data or financial news. It helps you make informed decisions and eliminate risky choices. You need to have a deep understanding of market forces and how they shape the financial landscape.
It is essential to keep an eye on the latest market movements by researching trends and assessing their impact. The financial market is very volatile and you need to know how a news is affecting your industry. You want to understand the roles multinationals play in determining market stability. Also, understand how human emotion can cause a rise and fall at any given time.
2. Analytical skills
The ability to collect data, visualize potential scenarios and analyze to see the big picture is essential in the financial industry. It takes the mind of a problem solver and a critical thinker to turn data into information. This is a highly sought after skill due to the uncertainty and volatility in the financial space. Being able to synthesize big data, analyze it, and come up with solutions to problems automatically sets you apart in the rat race.
Financial services would be a great choice if you’re pissed off by vague statistics in the newspaper and would like the chance to get the data for yourself. To thrive in the finance niche, you need to be comfortable and enjoy drawing conclusions from your analysis. Analytical skills are essential in performing tasks such as budget forecasting, financial reporting and competitor analysis, where you need to make projections and assumptions.
Customers are more demanding in today’s digital world, and the financial industry is no exception. There is a growing demand for speed and efficiency from customers. Customers expect a seamless customer experience involving data security and personalized solutions. Hence the need for banks to reinvent themselves with Robotic Process Automation (RPA).
To compete in this ever-changing and increasingly saturated market, financial institutions cannot carry on business as usual. About 60 percent of financial institutions have introduced RPA into their operations. RPA in banking helps companies provide better services to their customers by reducing errors and improving quality and speed. It also reduces human involvement in routine work, allowing workers to focus on important tasks and Increased productivity.
4. Effective communication
Stakeholders are an essential part of the survival of any organization, and the ability to engage them is crucial. This is reflected in management’s ability to share the organization’s vision with staff, who reflect these values in their relationships with customers. Communication, negotiation and influencing are essential skills that all finance professionals must possess. These skills are useful for explaining technical and financial concepts to clients.
Your ability to communicate helps you personalize the customer experience and increase satisfaction. Effective communication includes creating a reliable communication channel with customers. The financial market can be volatile and clients need the expertise of financial experts to make important decisions. Businesses can decide and reach a resolution faster when there is a clear communication channel.
The financial sphere is changing rapidly, all thanks to digital and customer expectations. More than ever, businesses need to pay more attention to the environment. And take a more proactive approach to problem solving while leveraging automation to beat the competition.