Current finance business transformation situation
Based on Gartner's research and our customer cases it is clear that finance area has been slow to execute business transformations. Especially from IT perspective designing the digital transformations. For example, moving to use cloud services or providing visibility to processes in order to build process analytics. However, it looks like that lately finance sector is quickly catching up.
Why to improve finance processes and put effort there?
Because correcting mistakes done in earlier process steps or not having effective commonly agreed finance processes is all effort away from the actual core operations which generates real revenue. Therefore, there should not be bottlenecks in the finance processes and processes should be highly streamlined to drive and to support the business. Moreover, this allows organizations to scale up the business and to have organic growth as easily as possible. Achieving this by traditional methods requires a lot of resources and even then, the highly important deviations and unwanted behaviors might not be found. You should use process mining to harness the unused transactional data to automatically visualize the business processes! Data has the answer but yet it hasn’t been asked.
What can be obtained?
By implementing process mining on finance processes, it is possible to have visibility on actual finance figures and status of current operations including the following dimensions:
Capital and Procedure optimization
- Working capital reductions
- Reducing maverick purchasing
- Three-way matching statistics and root-causes for unsuccessful orders
- Amount of credit holds and average duration for releases
- Most frequent root-causes for credit holds
- How late your customers are paying to you?
- How much of extra working capital does this consume?
- Top10 list of the best paying and worst paying customers
- Are you paying your invoices on due dates?
- How much your organization could save by paying later than currently?
- How significant savings your organizations lose in unused cash discounts?
How to get started?
All the best,