2025: Skill-Set Trends In Accountancy & Finance

 8th Jan 2025

At W&A, we’ve become accustomed to a changing landscape. So much so, that constant change is the new normal.

The accountancy and finance professions are evolving rapidly due to technological advancements, increased expectations about what a good accountant / finance team should deliver and macro-economic shifts.

We’ve compiled some thoughts on a snapshot of future-facing trends and skill-set developments shaping teams and hiring decisions, particularly with a focus on business intelligence (BI) tools, automation / systems development and regulatory / legislative changes.

Sustainability and Green Accounting

Environmental, Social, and Governance (ESG) is becoming increasingly integrated into financial reporting, driven by stakeholder demand for greater transparency regarding how companies manage risks and opportunities related to ESG factors.

Benefits and Importance of Capturing ESG Data:

• Investor Demand: Investors will assess both the financial performance and sustainability of companies. They increasingly rely on ESG data to assess risks, opportunities, and long-term viability.
• Risk Management: Helps companies identify and mitigate risks related to environmental factors like climate change, social issues such as customer complaints processes and governance such as remuneration policies.
• Regulatory Compliance: Many jurisdictions are introducing regulations that require companies to disclose ESG data. For example, the European Union’s Corporate Sustainability Reporting Directive (CSRD) mandates more extensive and standardised ESG disclosures for large companies.
• Brand and Reputation: Companies that show commitment to sustainability and ethical practices often enjoy stronger customer loyalty, attract top talent, and have better relationships with communities and regulators.
• Access to Capital: Investors and lenders are increasingly incorporating ESG considerations into their investment decisions. Companies with strong ESG profiles may have better access to capital at favourable terms, as they are seen as less risky and more future-oriented.
• Long-Term Value Creation: Companies that focus on sustainable practices and ethical governance are often better equipped to create long-term value. By measuring and improving ESG factors, companies can ensure resilience against disruptive changes in their markets.

The ESG Reporting Process:

• Gather quantitative and qualitative data about operations, policies, and practices. This involves internal data systems that track environmental performance, employee demographics, governance policies, and other metrics.
• Assess which ESG factors are most relevant to your industry, stakeholders, and business model. Materiality refers to those factors that could influence financial performance or investment decisions.
• ESG data needs to be accurate and reliable. Many organisations seek third-party verification or assurance to confirm the validity of their ESG claims. This can improve credibility and provide confidence to investors and regulators.
• Follow established ESG reporting frameworks, such as the Global Reporting Initiative and Sustainability Accounting Standards Board.
• ESG information is typically disclosed through annual sustainability or CSR reports, but increasingly, it is being integrated into the annual financial statements and regulatory reports.

BI Tools and Systems Development

There have been significant strides in this regard in recent times, particularly in the context of Financial Planning and Analysis (FP&A). These tools help organisations with data-driven decision-making, offering advanced analytics, reporting, and forecasting capabilities.

Data Integration and Automation

• BI tools have become more powerful in integrating data from multiple sources, including ERP systems, accounting software, CRM platforms, and even external data sources (market trends, economic forecasts). Modern BI platforms (such as Power BI, Tableau, and Qlik), support automated data extraction, cleansing, and ETL processes. FP&A professionals now rely on these tools to automate the collection and preparation of data, reducing manual effort and human error. This enhances the accuracy and timeliness of financial reports and forecasts.

Green AccountingTools

• Emerging software solutions allow accountants to track and report on an organisation’s environmental impact and energy efficiency, aligning with global trends toward sustainability and social responsibility.

Advanced Analytics

• BI tools have integrated advanced analytics capabilities such as machine learning, AI-driven insights, and predictive modelling. These capabilities have been boosted by cloud computing, making complex analyses more accessible without requiring in-depth technical expertise. By leveraging machine learning models, FP&A departments can use predictive analytics for financial forecasting, risk management, and scenario planning.

Real-Time Data and Visualisation

• These dashboards are highly customisable and can be set up to provide key financial metrics at a glance, such as cash flow. Real-time dashboards enable FP&A teams to quickly monitor and analyse financial performance. They can provide decision-makers with up-to-date insights. Features like interactive charts, drill-downs, heat maps, and geospatial data analysis. These visualisations allow FP&A teams to communicate financial insights effectively to non-finance stakeholders (executives, board members, etc.)

Blockchain and Distributed Ledger Tech

• Blockchain is already playing its part in sectors like auditing and M&A by offering secure, transparent, and tamper-proof records.

Smart Contracts

• Accountants will need to understand and potentially oversee the management of smart contracts, which automatically execute transactions based on predefined contractual terms and conditions, ensuring accuracy and reducing the need for intermediaries.

Budgeting, Forecasting & Profitability

• Some BI tools are now equipped with dedicated modules for budgeting, forecasting, and financial planning, integrating these processes. They allow for faster adjustments based on actual performance, improving the agility of financial planning. This helps in better cost control, resource allocation and strategic decision-making.

It’s an exciting time to be building skills in these disciplines and W&A anticipates that those who develop their future-facing toolkit will enable themselves to positively stand out from the crowd. Likewise, if you’re an employer and can offer the platform for an employee to expand their awareness of these disciplines, you’ll give your business a competitive advantage from a hiring perspective.

The future is now and we all need to embrace these advancements or we’ll be left behind.

Whether it be AI, automation, machine learning or a new tool, human interaction remains at the forefront of the success of these and that’s why we continue to prioritise relationships and purpose at W&A. To learn more about how W&A can assist your hiring needs and add true value to your recruitment process, please contact us here.