The Fintech World and Management Systems

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In recent years, there has been a lot of talk about the world of Fintech and the progress that many renowned entities have made in opening up their application ecosystems to third parties. This transformation began timidly and in a somewhat conservative way, but the famous cryptocurrencies, the pandemic and market demand itself have driven this transformation, which is now much more visible.

The transformation we are talking about is not just a hype and a moment, the market for so-called Fintech companies has been consolidating itself on the global scene and this democratic openness regarding technology and the willingness to bring people, companies and technology closer together is to be praised.

We know that a Fintech is any organization that aims to disrupt traditional financial services, and even the largest companies, internationally renowned companies, have started to open their doors and design some nuances in their business models.

As the saying goes, if you can't beat them, join them! Microsoft ivory coast whatsapp number database a new Fintech 365 program this year, Tesla acquired $1.5 billion in cryptocurrencies and Mastercard now allows transactions in selected cryptocurrencies. Signs of the times!

The underlying transformation is noteworthy and is also, or at least should be, associative.

I believe that any company that produces Management Software, also known as ERP, has a decisive role in this equation because it is the unifying element of this entire transformation. It is, so to speak, the beginning and the end of the story because it supports and centralizes all of an organization's information.

If we look closely, almost all companies today have a management framework, have access to digital financial services and now have Open Banking (and PSD2 directives) to their advantage, in addition to new offerings outside of traditional finance. In this new ecosystem, financial managers can carry out their transactions much more quickly and even ensure more accurate cash flow forecasts.

Today, a financial director has a range of skills at his disposal that allow him to be ahead of the curve in this changing world. Whether it is because he can streamline the settlement of his clients' invoices with the greatest of ease, providing them with various practical and fast payment methods, adjusted to each client's preferences, or because it is perfectly possible to simplify the entire online invoicing process , ensuring high levels of performance and full compliance with current legislation. At the same time, it is now extremely easy to digitalize the entire process of receiving and sending invoices through EDI (Electronic Data Interchange) or electronic invoicing technology , which represents nothing more, nothing less, than one of the flagships of the new fintech world - that of dematerialization - with Blockchain being perhaps the most visible face.

As the world today is much more dynamic and connected, it is increasingly easier not only for financial professionals but for any of us, ordinary mortals, to manage international transactions more quickly, opening accounts abroad, allowing for faster transfers and simultaneously managing exchange rate fluctuations.

And every day we are inundated with changes and tax directives, these days we are closer to safely delivering all tax reporting and declarative obligations to the Tax Authority and following the legislative dynamics that each year brings new developments such as SVAT , QR Code, ATcud, SAFT-T Accounting .

Today, a CFO is much more capable of managing the reality of his company in a more critical and structured way through various management control automations and data analysis mechanisms .

It is becoming increasingly relevant within organizations, as a strategist, and not just a financial professional with more administrative tasks, who now has at their disposal a multitude of fintech companies and respective technology that allow them to improve processes that were previously neglected.

Now, there is a great challenge for traditional banking, which since then has had to recreate conditions to align itself with these Fintech companies, among other financial institutions, which in turn could threaten or enhance its ROA/ROI levels, depending on its ability to adapt.

A Bank without peripheral technology and without an Omnichannel strategy is effectively a weaker Bank and the problem begins with the low capacity to differentiate itself from other competitors and consequently something as important as acquiring new customers.

In this path of change, new skills and working methods are needed, which forces Banks to adopt the best KYC (“Know your Customer”) methodologies and tools in order to make this path sustainable.

Finally, we can say that the fintech world is here to stay and that it will certainly galvanize the market with its disruptive solutions in areas such as the cashless world, cryptocurrencies and insurtechs, mainly. It is a particularly relevant subsector in the search for the best service for the end consumer – and its greatest attributes will increasingly be personalization, integration with other relevant players and the processing of information in real time.