Machine Learning/AI the future of Finance
The Machine learning enabled artificial intelligence is gaining visibility in the field of finance and investment. Data Analytics and RPA is already a big thing in finance automation and CFOs have a bigger role to integrate technologies and robo advisors with finance operations to achieve operational efficiency and better decision making.
Application of AI in investment industry is also a point of discussion amongst investment professionals during a recent CFA Institute conference.Financial regulators are also thinking in this direction on whether a technologically AI approach to financial services regulation is desirable.
The job landscape in finance will change in comming years due to AI and cognitive technologies. As per recent study on future of finance, the finance function of 2020 is likely to need a huge injection of creativity as even high-skilled analytical jobs are replaced by smart algorithms, learning machines and artificial intelligence. This can be interpreted in a way that AI will open door to creative finance professionals, thereby making transition from just finance professional to a more creative technology driven finance professional.
Within finance function in any industry, tier 1 jobs like payables and Receivables which are more process specific, transaction oriented and system oriented are getting automated and human efforts getting replaced by AI and robots and will be further automated.
Tier Two finance jobs involves decision making and business strategy drivers. “This tier is about generating deep insights and decision-makers to drive business strategy and growth. CFOs across globe now are determining how cognitive technologies can get to the core of those activities which require additional human intelligence and judgement.
The finance function will definitely be smaller in number of people than it is now. people who remain will have a higher quality skill set. Additional technical skills will also be on the 2020 list. Even the smartest cognitive systems require expert oversight. Its high time for finance professionals to rethink and assess their skillsets and upgrade the skillsets which will be required in future-Technical skillsets and creativity will be additional criteria which companies would be looking out in future in every finance professional.