Finance departments are inching closer to automation – but there’s still a long way to go.
To understand where teams stand today, we surveyed 100 CFOs and finance leaders about their current level of automation and the biggest challenges holding them back. Here’s what we found.
Key takeaway
Automation in finance departments isn’t widespread – yet.
When we asked 100 finance leaders from midsize businesses across the US, only 8% said their finance departments had fully automated their processes.
Most are still juggling manual tasks, with over 60% either significantly or partially automated. For others, manual processes remain the norm.
So, what’s stopping teams from automating? Budget constraints and system integration challenges top the list, followed by resistance to change and technical skills gaps.
It’s safe to assume that these barriers come from challenging times for businesses in general, as well as legacy systems that make implementing automation difficult.
Finance automation is gaining momentum – but slowly
Let’s face it: full automation across finance is rare.
- Only 8% of teams are fully automated, while a majority (64%) fall somewhere in the middle:
- 31% are significantly automated but still rely on manual work for certain tasks.
- 33% are partially automated, with many processes still handled manually.
- For 17%, automation is minimal, and 10% haven’t adopted any automation tools at all.
The data highlights the uneven progress of automation adoption – and the opportunities for teams ready to modernize.
How automated is your finance department right now?
What’s holding finance automation back?
Automation might seem like the obvious next step, but it’s not without its challenges. Here’s what’s standing in the way:
- Budget constraints (29%): For nearly a third of finance teams, the cost of automation is the biggest obstacle. This is not surprising considering the tough economic climate businesses have been facing for some time now.
- Integration challenges (28%): Legacy systems make it difficult to add new automation tools. It’s only natural that organizations are hesitant to adopt automation if it means replacing parts of, or even the entire, finance tech stack.
- Resistance to change (14%): It’s no secret – change is hard. Convincing teams to embrace automation takes work.
- Lack of technical skills (15%): Automation tools require new expertise, and not all teams are ready.
- Data security concerns (11%): Trusting automation with sensitive financial information is a sticking point for some.
- Difficulty in proving ROI to leadership (2%): Although less common, showing clear value to decision-makers can be a barrier to securing buy-in for automation projects.
What is the obstacle to implement ing automation in your finance department?
While the barriers are real, the potential benefits of fewer manual processes, more efficiency, and better cost control make automation worth the effort.
Putting the pieces together
The State of Finance Automation in 2025 shows us the potential – and the urgency – of modernization.
If you’re ready to overcome the barriers to automation, let 2025 be the year where you:
- Build strong business cases for automation, emphasizing cost savings and efficiency gains to overcome budget constraints.
- Invest in technical training to empower finance teams with the skills they need.
- Focus on seamless integration by partnering with vendors that offer scalable and adaptable solutions.
- Engage employees early in the process to reduce resistance and foster a culture of innovation.
Sam Stull, VP of Sales at Rillion with extensive experience in finance and financial management, comments:
Becoming fully automated with FinTech tools requires more than just adopting technology. It requires a mindset change and it requires a champion within the company to push the company to fully automate. That champion will foster a culture of innovation that prioritizes efficiency.
Looking ahead
The clock is ticking.
As we move further into 2025, the urgency to automate will only grow. Companies that take action now – overcoming budget constraints, integration challenges, and resistance to change – will set themselves apart.
Why? Because automation isn’t just about reducing manual work. It’s about creating room for strategic, value-adding initiatives that drive growth.
The question is: Will your organization lead the way or risk being left behind?
What’s The Finance Lab?
The Finance Lab by Rillion is your go-to source for finance automation insights. Each month, we deliver bite-sized reports designed for CFOs and finance leaders, packed with the latest trends in finance and accounts payable automation.
Our insights are backed by real-world data from Rillion’s platform and surveys of finance leaders across the US and EMEA.
