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Over the past decade, the role of finance professionals has expanded beyond just number crunching to encompass compliance, regulation, risk management, and sustainability. It’s an exciting time to be part of the finance function, but it also means that the skills and expectations required from finance professionals are rapidly evolving.
How Regulation Made ESG Everyone’s Business
Perhaps the most significant shift in recent years has been the growing importance of Environmental, Social, and Governance (ESG) reporting. Ten years ago, no one was talking about ESG in the way we are now.
The CSRD (Corporate Sustainability Reporting Directive) is one of the key regulations that will reshape ESG reporting, requiring companies to disclose more detailed information on their sustainability activities.
At first, companies responded to CSRD requirements with a compliance mindset, often assigning the responsibility to finance due to the metrics involved. However, as the regulatory pressure eased, many started to see it as a commercial opportunity. Teams are asking how sustainability reporting can enhance their brand, attract customers, or improve talent acquisition. From a talent perspective, this evolution means finance professionals must not only understand compliance but also contribute to broader conversations about risk, strategy, and market positioning.
IFRS
Another significant regulatory shift impacting finance teams has been the implementation of IFRS. You can’t talk about finance and regulation without mentioning it. When IFRS was first introduced, there was a noticeable response in the talent market, especially in industries like property and aircraft leasing, with companies creating specialist IFRS roles. In particular, IFRS 9 and 7 considerably impacted financial services, not just changing how teams report but also requiring new capabilities: interpreting data, exercising judgment, and understanding nuance. These regulatory changes sparked a shift away from the black-and-white rules of traditional accounting and more toward qualitative assessment.
Gender Pay Gap and Strategic Reporting
Another area where regulation has had a broader impact is gender pay gap reporting. This responsibility often landed with the finance team in collaboration with HR, who have to monitor, analyse, and interpret the data. However, the value of this reporting has extended beyond compliance; it has helped organisations shape broader strategies around diversity, workforce planning, and equity.
Data Governance in the Age of AI
The General Data Protection Regulation (GDPR), which came into effect in 2018, transformed how finance teams handle personal data, especially concerning payroll, supplier, and customer data. As technology and AI have evolved, finance professionals must now be well-versed in how these regulations intersect with financial data management. This means understanding how to protect sensitive financial data when using emerging technologies like AI and ensuring that companies meet the growing compliance requirements in this space.
First, address the risk, set guidelines, and define how and where they can be used, particularly in terms of data governance. Once that’s in place, opportunities can be unlocked in a safe and compliant manner.
Moving Beyond the Numbers
Changes in regulation and technology have made finance roles more complex. Even traditional roles like Financial Controllers and Finance Managers now require expertise in data analytics tools like Power BI, Tableau, and advanced Excel. The finance function has evolved from a reactive, reporting-focused department to a proactive, data-driven function that contributes to strategic decision-making. This shift is not just a technological one; it reflects a broader change in how companies view finance, not just as a support function, but as a key player in shaping the future of the business.
Accounting vs. Audit Careers
Interestingly, this broadening of finance skills contrasts with what is happening in audit. Recent changes to auditing standards and the shifting hands of regulators across the globe have made the environment more focused, streamlined, and prescriptive.
Early-career professionals, especially those trained purely in auditing, may need assistance in transitioning into broader finance roles, as they are accustomed to a look-back mindset rather than a look-forward mindset. For hiring managers, it is essential to recognise this divergence and be clear about the specific skills an accounting professional is bringing to the table.
The Future of the Finance Professional
Business partnering is a key area that will shape the future of finance. As finance continues to evolve, finance professionals must work closely with other departments, particularly in risk management and strategic planning. Climate change, cybersecurity, and other external risks will have a growing impact on financial performance, and finance teams will need to assess and communicate these risks to the broader organisation.
They must be proactive, not reactive, and think about the broader financial implications of the challenges we face today and in the future. Thus, business partnering will become a critical skill as finance professionals play a larger role in shaping the company’s overall strategy.
This shift from number-cruncher to strategic business partner will accelerate with the rise of AI. As automation takes over repetitive numerical tasks, the emphasis for finance professionals is moving towards strategic thinking, data interpretation, and business partnering. Accountants now need to help identify which tasks can be automated, contribute to designing those processes, and then use the time gained to drive value in the business
The focus is no longer solely on technical expertise; breadth is becoming more important than depth. It’s about foresight, judgment, and contributing to the broader financial picture. As Chartered Accountants Ireland says, “It’s not all about the numbers anymore.”
Connect with the Barden team for more insights…
This article was written by Sarah Murphy | Director | sarah.murphy@barden.ie in collaboration with Sinead Donovan | Strategic Board Advisor