Native AI on Horizon for Finance, Accounting TeamsNative AI on Horizon for Finance, Accounting Teams

Innovation in accounting and finance software has been relatively slow. But it has led to a flourishing industry that supplies and integrates third-party finance and accounting software plug-ins—most recently, AI components.

This helps meet the demand for missing features but risks over-reliance on a patchwork of third-party systems, with some accounting and finance teams completing the bulk of their tasks outside their core operating software. It’s probably an indication their core system is no longer fit for purpose—and an early warning that native AI functionality may not be available for some time (or ever).

Some vendors may implement a quick fix by providing a list of officially approved third-party AI enhancements. They might also sign formal partnership agreements and bring in systems integrators to present disparate pieces of software as a single platform solution. However, keeping AI, automation, BI and analytics within the core product is a more viable long-term strategy. It will ultimately help deliver higher-value services to users at a far more competitive price.

Practical Uses for AI in Accounting and Finance Software

Purchase-to-pay

We see AI as a means of delivering advanced automation of core accounting and finance team processes. It could capture invoices, allocate suppliers and pay bills below a certain amount or to pre-agreed suppliers.

Related:AI Alone Cannot Future-Proof Supply Chains Against Crises

One solution could be to deliver zero-touch invoice management by default but give more cautious users the opportunity for manual, human involvement at each stage. This approach would allow the software to learn the company’s processes and, over time, become even more accurate.

AI-driven reporting, analysis and data visualization

Embedding AI-driven reporting within accounting and finance software should be possible, perhaps delivering data interpretation, insight and visualization tools like Microsoft’s Copilot without leaving the platform. It would allow users to ask the software to display different graphs and charts rather than manually adding data to spreadsheets and creating images. This could be similar to how users interact with ChatGPT using natural language processing.

Basic admin tasks

Plenty of other basic admin tasks, including reconciliations and the creation of new supplier profiles, could also be handed over to AI. These tasks could save time and allow teams to focus on higher-value work. The advanced automation made possible by AI should also make jobs in this sector more rewarding and less repetitive. If we’re being honest, no one wants to key in data anymore—and accounting and finance teams would prefer to work on analysis and other high-value tasks.

Related:Machines Versus Humans – How AI Is Changing Company Expectations

AI can finally improve many account and finance team processes, delivering improved efficiency and helping them provide more business-wide value. Cloud-native accounting and finance software providers have the edge in delivering AI functionality within the core product. Unlike software that relies on older operating frameworks and on-premises configuration, they don’t need short-term fixes from third-party add-ons. So, as 2025 gets underway, it’s now a matter of configuring and implementing AI in the most user-friendly way and introducing it at a competitive price point.