The world has faced many pandemics/crises and each time some or other technology has evolved. At the time of the Spanish flu when phone systems were facing downtime, many online news sources such as remembers Syracuse.com and many others urged people to avoid public gatherings and it helped in spreading awareness. Today also we are facing a tough time because of the COVID19 outbreak throughout the globe.
In these times, Financial Analysis can bring more to the table. Almost all the physical works have come to a halt and people are shifting towards technology for survival. Let us see how Financial Analysis can bring us closer to technology at a fast rate.
What is Financial Analysis?
It is an analysis of any particular business, firm, financial institution, project, etc. & after the analysis, we get to know about the stability and longevity of that particular business. It helps investors, fundraisers to know whether they are investing in a profitable decision or not.
It can also help governments to analyze their financial decisions. It helps in business forecasting and in increasing the stability of any financial decision. A lot of administrative bodies already use Financial Analysis for taxation & other chores.
How Financial Analysis Can Bring Us Closer to Technology?
- It will help the IT experts to decide on the stability of any particular technology. There are a lot of new and disruptive technologies coming now and then during COVID19. For example, the technology ministry of India has launched a contact tracing application in coordination with Reliance Jio.
World Health Organisation also launched a technology ‘C-TAP’ which is responsible for increasing the speed of vaccine research & treatment. Many big delivery firms are shifting towards contactless delivery systems and usage of drones is also suggested. By Financial Analysis, we can get to know about their stability, and accordingly, investors can use their money & we will get closer to technology in right means.
- Cost optimization and management can be done through Financial Analysis. Many technologies are lucrative at first but they fail at the time of implementation because the budget overflows. To avoid cost restraints, Financial Analysis can be done in advance.
- Through Financial Analysis, one can find out the pattern of growth of any particular technology. It helps us in finding out the advancement in respect with time. It also helps us in finding out the drawbacks/loopholes in any particular project. One can learn from past mistakes and can forecast a better & stable project/technology.
When we talk about Financial Analysis in a business/workplace, it helps in finding out the relation and dependence among various tasks among the company/firm.
- New disruptive technologies tend to reduce labour and help in doing multiple tasks at a time. With the help of Financial Analysis, one can assure IT experts/investors about less labour which will come onto the table.
Besides cost optimization, new technologies can do many tasks at once which were earlier divided into different chores. For example, when virtualization came into existence, it could do multiple chores at a time and deleted the workforce behind server administration. The money saved can be invested in some other jobs.
Financial Analysis can help us in finding out the loopholes in any particular new technology. When all the physical jobs which require a lot of workforces are closing due to this pandemic, the world is witnessing a shift towards technology at a much larger pace.
Financial Analysis can help us in finding out a disruptive technology that could replace traditional methods and should not fail. If you are new to this field, then you can find a plethora of Financial Analysis Courses on the internet and can learn about it. This article was all about the advantages of Financial Analysis in accelerating our openness towards technology amidst this pandemic. I hope it helps!