Opinion among the so-called millennials working in financial services is mixed regarding the impact of emerging technologies on the sector.
Financial analytics company Metapraxis anonymously surveyed 402 millennials (those born after 1981) working in the finance sector, half from the UK and half from the US. A significant number felt that the automation of core processes could pose a potential threat to their employment. Two-thirds (67%) expressed concerns about automation and the impact it would have on their careers. However, more than three-quarters (78%) believed that greater automation would add strategic value to both finance departments and overall business, contrasting with older generations who did not share this point of view. One in two believed that the growing field of advanced analytics could potentially transform finance.
The respondents offered disparate opinions about which technologies will have the most impact. Some 52% believed that advanced analytics, which includes data mining, would be the most transformational technology, while cloud services (47%), data visualisation (39%) and AI and machine learning (33%) were also seen as key. The report noted that, despite its high profile, blockchain was seen as transformational by only a quarter of respondents.
Simon Bittlestone, CEO of Metapraxis, said: “For years it has been known that finance employees feel threatened by the impact that new technologies will have on their day to day role and job security. It is no huge surprise that even digitally native millennials feel the same; however, what our research shows is that unlike their predecessors, these individuals clearly understand the value that data and analytics can bring to the finance function, which is particularly encouraging.”
He added: “By harnessing the power of advanced analytics, finance functions will be better equipped to make quicker, more effective decisions and truly drive the strategic direction of the business.”