How Automation and Digitalization will Affect CFO Roles

Automation and digitalization are no longer optional in finance. It's either you do them or risk falling behind. But how exactly will these initiatives affect your role as a CFO? Here’s a breakdown.

8 ways automation and digitalization will affect CFO roles 

Modern tools, specifically AI-powered accounting systems, heavily influence how CFOs like you manage data, reporting, and decision support across the organization. As routine processes become automated, your role shifts from manual oversight and toward higher-value responsibilities. 

While these technologies improve speed and accuracy, they also introduce new risks related to data quality, system controls, and governance. Being one of the key players in leading digital transformation projects, you’re still responsible for its outcomes, even when systems already perform much of the work. 

Let’s discuss further why this is the case by outlining how exactly automation and digitalization will affect your CFO role. 

1. An increased need to use the latest tools and software

It's been a long time since the big players in the finance and accounting industry have moved from paper-based accounting. If we’re going to go back in time, we’ll realize that this industry is actually adaptive in terms of tech use despite sounding conservative. 

If you’ve been an accounting professional long enough, you may have witnessed how this industry had transitioned to using Excel to a desktop accounting system then later on to cloud-based accounting software. Today, most of the popular tools are integrating AI into their systems. There are also standalone AI tools you can use for certain tasks, such as the well-celebrated ChatGPT, Google Gemini, and Microsoft Copilot. 

As a finance leader, you need to set up the direction and strategy of your organization in terms of using these tools. You’re there not only to approve and let them use whatever tools they’d like, but to check if the tools are actually serving their purpose. 

2. CFOs must govern proper use of digital technologies

You’re responsible for ensuring digital technologies are used properly, consistently, and in line with the organization’s objectives. As mentioned in item 1, this goes beyond approving new tools or platforms. Being a finance leader, you have to set the standards for how digital systems are adopted, integrated, and controlled across finance and the wider business. This means establishing guardrails that define acceptable use, data ownership, access controls, and accountability. 

Through this, you can ensure that technology supports sound financial management rather than creating new risks. Governing digital adoption also lets you also prevent fragmented systems and unmanaged automation that can undermine data integrity. Your role is to balance innovation with discipline and make sure that digital technologies strengthen decision-making, compliance, and long-term value creation. 

3. Focus on data analytics

Organizations’ demand for better analytics drives the need for automation, AI use, and digitalization. You can use these technologies to transform complex financial data into clear, actionable insights. Analytics tools help you monitor performance across finance and accounting functions, identify trends, uncover inefficiencies, and detect potential risks early. 

These capabilities expand your role as a CFO, shifting your focus from traditional reporting to strategic decision-making and business partnerships. It also gives you a complete understanding of your company’s financial health and operational dynamics. As a result, you can make faster, smarter decisions, guide strategy with confidence, and provide leadership with insights that drive measurable business value. 

4. Faster and more frequent decision support

Digital finance systems give you real-time access to financial and operational data and allow you to stay ahead of developments across the business. Because of this capability, you’re also expected to provide insights continuously, rather than relying on monthly or quarterly reporting cycles.  

With faster, more frequent data at your disposal, you can anticipate challenges, identify opportunities, and guide strategy proactively. This real-time insight can enable you to drive measurable business results and support leadership in making informed decisions. 

5. Expanded ownership of enterprise data and analytics

As finance becomes more digitized, you take on a broader responsibility for enterprise data governance, quality, and consistency.  

With data analytics now a top priority for more than 70% of CFOs, having trustworthy and consistent data has become essential for credible forecasting, performance measurement, and risk management. Despite this, nearly 40% of finance chiefs still report incomplete or inconsistent data as a barrier to their analytics success, which emphasizes why data quality and governance frameworks should be in place before trusting AI-generated insights. 

This responsibility means partnering closely with IT, compliance, risk, and business stakeholders to define clear policies for data ownership, standardization, and access protocols. 

When you take ownership of data integrity, your role as a CFO goes beyond finance operations and into enterprise strategy, allowing you to deliver reliable insights that align with business goals and accelerate growth. 

6. Increased focus on risk management and controls

Modern technologies often come with two sides: efficiency gains and risks.  

Automation and digitalization may reduce manual errors, but both moves also introduce vulnerabilities. System dependencies, data accuracy gaps, cybersecurity threats, and compliance challenges are some of the risks you may face when you push through these initiatives. 

As a CFO, your role evolves from overseeing periodic checks to leading proactive risk governance, ensuring automation strengthens risk management rather than exposing new blind spots. You’re expected to design and enforce stronger internal controls, such as segregation of duties, continuous audit trails, and real‑time monitoring, so that automated tasks remain reliable, secure, and transparent to regulators and auditors. 

When you have strong controls, you can enhance your ability to detect fraud or irregular activity faster and maintain audit readiness given that automated documentation and real‑time data improve transparency and traceability. 

7. Talent transformation within finance teams

On a survey, CFOs expect digital finance talent to account for 46% of the finance team by 2027. For this to happen, finance leaders must be intentional in building and nurturing their talent.  

You must train existing staff and recruit professionals skilled in data analytics, AI, and strategic problem-solving. Without this focus, lack of digital skills can increase turnover and slow transformation. 

You must also design training programs, redefine job roles, and create career paths that retain top talent. This way, your organization can continue to grow with its people rather than losing their top talents to competitors. 

8. Accountability for tech investments

Every technological investment you oversee must deliver clear business value. Beyond approving budgets, you must track whether digital tools accelerate decision-making, improve forecast accuracy, optimize working capital, and reduce risk.  

Your oversight ensures automation and digitalization projects align with strategic goals, turning technology initiatives into measurable business impact.

Automation and digitalization are changing what it means to be a CFO. Technology gives you faster access to data, better insights, and more ways to influence business decisions. 

However, these tools also bring new responsibilities. You must ensure that the data is accurate; financial systems are protected from errors or cyber threats; and investments in technology actually deliver value. Balancing these opportunities and responsibilities is key.  

Read next: Accounting Process Automation: How to Automate Accounting 

  
Key skills CFOs need to adapt to automation and digitalization  

To adapt to the automation and digitalization of CFO roles effectively, it is essential to possess certain key skills. Here are a few skills that CFOs should focus on:

1. Technological proficiency

You must be comfortable with technology and possess the ability to quickly adapt to new tools and software. This includes being familiar with data analytics platforms, financial management systems, and other relevant technologies. With this skillset, you can fully leverage automation and digitalization to drive organizational success. 

2. Strategic thinking and decision-making 

As a CFO, you play a key role in shaping your organization’s strategy. By thinking ahead and anticipating future trends, you can use automation and digital tools to support business growth. It also lets you spot opportunities where technology can make processes more efficient, improve decision-making, and create value. 

Acting proactively allows you to guide the organization through change while ensuring resources are used effectively and business goals are met.

3. Communication and collaboration

With automation facilitating smoother workflows, you should prioritize effective communication and collaboration with your teams and other stakeholders. Clear and concise communication of financial insights and recommendations allows for efficient decision-making across the organization.

4. Data literacy and analytical mindset 

Aside from being comfortable with the use of technology, you must also be able to understand and interpret complex data. This means recognizing patterns, drawing actionable insights, and using predictive analytics to inform decisions.  

With strong data skills, you can move beyond traditional reporting and make decisions based on real-time information and meaningful insights. This lets you respond faster, plan more accurately, and have a stronger impact on your organization’s performance. 

5. Change management

Digital transformation involves not only new systems but also shifts in processes and culture. To minimize potential resistance, you must guide your team through change, help them understand why such change is necessary (and should not feel threatening), and build a culture that embraces continuous learning and innovation. 

6. Cybersecurity awareness

As financial processes become digital, CFOs must understand the risks associated with cyber threats and data breaches. They should collaborate with IT and risk teams to safeguard sensitive financial information and ensure compliance with regulations. 

7. Financial modeling

You must also adapt your financial planning and analysis skills to take full advantage of automation. This means creating flexible financial models that use real-time data and allow for scenario planning. 

By doing so, you can quickly assess the impact of market changes, make informed decisions, and guide the organization through uncertainty. Using automated tools this way helps you improve accuracy, save time, and provide insights that support faster and more effective business decisions. 

8. Vendor and technology management 

With greater reliance on external tools, you must be able to assess, select, and manage technology vendors effectively. You need to understand how each tool fits into the broader business ecosystem and supports your organization’s goals. This ensures digital investments deliver real value, prevents overlapping solutions, and reduces the risk of relying too heavily on a single vendor. Strong vendor management helps you maximize the benefits of technology while keeping costs and risks under control. 

9. Agile mindset

Automation and digitalization speed up change, and you must be agile in decision-making, project management, and financial planning. Being agile allows you to respond quickly to disruptions, test new technologies, and continuously improve financial operations. This approach helps you stay ahead of challenges, adapt strategies as conditions evolve, and ensure that your organization remains efficient and resilient. 

10. Ethical and regulatory insight in AI and automation 

As the use of AI and automation becomes standard within your organization, you must ensure that your decisions are ethical, transparent, and compliant. You need to understand how automated processes affect data privacy, potential bias, and regulatory requirements. 

Managing these risks carefully supports sustainable adoption, protects the organization from legal or reputational issues, and ensures that technology enhances decision-making without compromising integrity or accountability. 

Adapting automation and digitalization is no longer a technical challenge but a test of leadership. Possessing these skills is not enough on their own; you must know how to integrate them into your actual work to shape how the organization uses technology. Success depends on seeing beyond the numbers, anticipating the impact of automation on your people, processes, and company decisions; making choices that align digital initiatives with long-term strategy. 

Leading beyond finance 

Automation and digitalization are redefining what it means to be a CFO.  

Technology allows you to access real-time data, uncover insights faster, and influence strategy across the enterprise. At the same time, it increases your accountability for data quality, cybersecurity, and the effective use of digital tools. With this, success now depends on your ability to balance speed with control, innovation with governance, and strategic foresight with operational discipline.  

Leading beyond finance means shaping the organization’s strategic agenda, guiding digital transformation, and ensuring that every technology investment delivers measurable value and strengthens long-term competitiveness. 

Amid all this, the real question is this: 

Will you let technology define your role, or will you define how technology drives the business? 

Get the accounting support you need 

Does your finance department need accounting support to streamline your automation and digitalization initiatives? Look no further than D&V Philippines. Our unique and comprehensive F&A support line ensures you receive the right assistance, even in the most demanding tasks. Schedule a free consultation with our experts today to learn more about our services. 

Not yet ready for a call? Grab a copy of our whitepaper to learn more about our services: Outsourcing for CFOs: Premium Finance and Accounting Solutions for Modern Finance Executives.

This post was first published on 18 March 2019 and has been on 26 January 2026 for relevancy and comprehensiveness.

Edited and updated by: Mary Milorrie Campos