Will corporate finance jobs still be around in 10 years' time?
This is not news; there are numerous articles floating around detailing how automation could very soon wipe out a large portion of the "less-strategic" jobs. The accountant job is often mentioned as having one of the highest chances of becoming automated.
While this is foreseeable on the Controlling side, I thought that it would be less likely to happen for the FP&A side - until I googled "FP&A Automation". There are numerous software out there which claim to be able to automate FP&A.
Would corporate finance jobs thus become redundant in the future? I understand that there are "trust issues" (i.e. the public wants companies' financial statements to be verified by CPA members) that will leave room for some jobs around. However, would the corporate finance job market shrink considerably due to automation?
Would like to hear opinions from you all. Thanks!
As someone working in auditing, I don't think that we are anywhere near being able to be replaced by machines, even setting aside the obvious trust issues. Don't get me wrong, there are aspects of the job I'd love to get automated and are capable of doing so (oh how I'd love for a bot to do controls testing/walkthroughs), but to replace the need for a CPA will essentially require a program to make a lot of judgement calls that are difficult to program for. FP&A is another ballgame altogether, as you alluded to.
A lot of people take accounting 101 and just assume that the job is solely about booking journal entries (that's bookkeeping and not what CPAs do), particularly since entry-level classes deal with very simple concepts, such as debiting AR and crediting Revenue for a sale. What people don't realize, however, is that booking revenue isn't as simple as multiplying the quantity sold by the price. There is very specific criteria that must be met, and it becomes even hazier when bundled services, such as in software, are in the mix.
These gray areas make life difficult even for humans, and I can't imagine how difficult it would be to get a machine to do it on it's own, since generally programs operate within very specific parameters. Bookkeepers, A/R Clerks, or any other profession that doesn't require much analysis are in trouble, but I would be tremendously shocked if AI develops to the point of being able to learn independently within our lifetime.
So...I've probably got the "my job won't go away anytime soon" blinders on, but I don't see FP&A going by the wayside.
The big issue is being able to interpret the outputs of said automation software. The problem with doing so is that the automation software, by its nature, locks everything down. Unless it is well designed, it would be tough for me to truly identify the drivers of the outcomes under study (one of the major aspects of FP&A).
Granted, I work for a Health System, so we're always about 40 years behind on EVERYTHING. But everything I've seen come through the door relative to fp&a automation isn't ready for prime time yet.
I think automation and outsourcing will continue to impact the financial services industry. I also think skynet will inevitably take over the world.
The Future of Finance' though M&A activity is currently at a low it may be showing tentative signs of recovery, but poor Asset Management could be compromising corporate value and potentially jeopardizing planned mergers and acquisitions.
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