The transformation in learning finance

Today the business world is transforming at speed, driven by the pressure to grow and innovate while operating more efficiently. This transformation is being accelerated by technological advances, globalisation, the transition to a more sustainable economy and evolving societal expectations. As organisations adapt their business models, they are challenging their finance functions to create value by solving complex problems and embracing financial and non-financial data to make better decisions.

In line with this transformation, the role of the finance professional is undergoing a paradigm shift – from information curator to value creator, from controller to trusted advisor. At the same time, artificial intelligence (AI) is becoming a powerful enabler of finance functions.

Going forward, AI will enable finance functions to both work and learn more effectively and productively. At work, they could potentially use generative AI tools to spot fraud, build predictive models and automate the financial reporting process. In a development context, AI is beginning to transform just-in-time learning by making learning more accessible, personalised and efficient. For example, it can provide personalised feedback to learners on their performance in a specific learning task.

Although AI brings opportunities for finance professionals, it also presents significant risks. These risks include bias, threats to data privacy and presenting false information as fact – risks where even a small amount of misused knowledge can create enormous damage. What’s more, the dangers of AI are not yet widely understood. As a result, we are arguably heading towards an age of ‘unconscious incompetence’ when it comes to the application of AI technologies. Hence the requirement for finance professionals to demonstrate expert judgement is greater than ever before.

To succeed in their evolving role, finance professionals should possess a broad range of skills and capabilities. In addition to technical financial expertise, they need technological competence and a digital mindset, business and commercial acumen, and deeper specialisation in emerging areas such as data analytics, decision support and sustainability. So, what does this mean for the way that finance professionals learn? 

Historically, learning programmes for finance professionals have focused on equipping them with deep knowledge in areas such as accounting, audit, ethics, financial reporting, tax and valuations. While it’s critically important that they have that knowledge, equally important is what they do with it. Fundamentally, they need the enabling skills to apply that knowledge in practice.

With the rise of AI, it is critical that finance professionals know how to make effective use of prompts and interrogate the results of AI systems. They also need sufficient technical and business knowledge to understand new market trends, the implications of those trends for their organisation, and what future scenarios might be. These two capabilities must be combined with high order thinking skills, such as the abilities to analyse data, communicate, make recommendations and support decision making.

The challenge for learning providers is to provide finance professionals with the critical, foundational technical knowledge while equipping them with the high order thinking skills they need to navigate today’s complex and fast-moving business environment.

In this respect, the CGMA Professional Qualification already leads the way. It equips finance professionals with a broad range of skills while offering different routes for learning and assessment. For example, the CGMA Finance Leadership Program offers an online, fully digital way to study for the CGMA Professional Qualification. It is an alternative to the traditional route that involves classroom-based learning. The CGMA Finance Leadership Program has quickly become the preferred choice of our candidates, who value the accessibility and convenience of online learning, plus the fact assessments are embedded into their programme, allowing a progressive build-up of competence before sitting their capstone case study exams.    

With the CGMA Professional Qualification, current and relevant content is always taught and examined. Furthermore, from the outset of their studies, learners must apply their knowledge and skills to business problems, addressing increasingly harder and more ambiguous problems as they progress through the course. At the end of each level, they complete a case study exam - a business simulation exercise that comprehensively tests them on their ability to combine their technical knowledge with their high order thinking skills.

The business simulation exercises reflect the four major shifts defining finance today. For example, they integrate different time horizons, not just looking a year ahead but also considering the longer-term sustainability of a business. Additionally, they take into account the management of human and natural capital, alongside financial capital. Relationships with organisational stakeholders – from employees through to investors and regulators – are another important factor. Finally, the exercises consider how finance can support an organisation to evolve its business model while staying true to its purpose.

We have a roadmap for further evolving the CGMA Professional Qualification in response to emerging developments. For example, it is likely that we will embed the practice of sustainability standards and the use of AI into the qualification. We may also consider how we can incorporate greater specialisation. Already, we are asking learners to do much more problem-solving from the start of their course than they would have done a decade ago. They will have to solve even more problems in future. And once qualified, we also actively support lifelong learning, delivering a comprehensive programme of CPD for our finance professionals at all career stages and levels. 

Main image credit: MR.Cole_Photographer / Getty Images

Finance professionals who earn their CGMA designation put themselves on course to pursue a meaningful, purposeful career while making a positive difference to the world. As a career pathway for accounting and finance, the CGMA Professional Qualification is unique for its capacity to add value to a business by combining traditional notions of knowledge with the practical application of skills and professional empowerment.

Employers value the business-solving capabilities of CGMA designation holders. They also know that CGMA designation holders can help them to build trust with regulators and other stakeholders who want reassurance that the business is acting with integrity and purpose in the pursuit of sustainable, long-term success. All round, there has never been a more exciting time to learn finance and be a CGMA designation holder.