Current State of the Accounting Profession: Advancements Through Technology

Whether you own a small or mid-sized business with multiple locations, are a corporate accounting executive in a large organization, or are a Certified Public Accountant, finances are always top-of-mind. 

Events such as the COVID-19 pandemic have disrupted business growth and created much uncertainty, generating greater demand for increased transparency. This has put pressure on companies to provide real-time, accurate financial data to improve financial decision-making and visibility. So, what is the current state of the accounting profession, and what will the future of the accounting profession hold? Let’s take a closer look.

 

The State Of The Accounting Profession

The accounting profession is advancing rapidly —and beyond simply responding to the impact of various challenges. There’s increased pressure to find emerging yet sustainable solutions to solve financial challenges such as these.

  1. A changing workforce as a result of the pandemic
  2. Geopolitical events elevating financial risks
  3. Complex supply chain demands
  4. Complex data and privacy policies
  5. Increased reporting requirements
  6. Stale data impacts the ability to forecast
  7. Constantly changing tax laws and regulations.

Successfully responding to these and effectively running your business means identifying the right processes and advanced technologies. But how can your accounting teams go about doing this to prepare for the future?


Preparing For The Future Of The Accounting Profession

Chief Financial Officers (CFOs) and other leaders are looking toward the future with more focus on digital initiatives and optimization of internal financial processes. Sixty-nine percent of board directors say that the effects of the pandemic are accelerating their digital business initiatives. Alex Bant, Chief of Research of Finance at Gartner, says CFOs have been asking more and more about Artificial Intelligence (AI), machine learning, robotics, and advanced analytics. 

These leaders want their finance and accounting professionals to provide more strategic insights faster. 

 

The Role Of Technology Advancements in Accounting

Technology has always played a role in accounting, and it’s become more important in recent years as the profession has evolved. As business environments become more complex, there’s a growing need to reduce costs, identify new ways to fund investments, and for leaders to better understand the health of their businesses as a whole.  This is where real-time accurate financial data becomes vital.

Advanced technologies can help accounting professionals understand and meet the increasing demands placed on businesses. These technologies are also key in developing enhanced decision-making capabilities through automated tasks, deeper insights through predictive analytics, and improved collaboration.

The right accounting automation software can save accounting professionals significant time and money while providing insights that can help you make better business decisions—and that’s not all. Here are just some benefits of advanced accounting software like Docyt:

Improved resource management and efficiency

  1. Accurate real-time accounting and financial reporting
  2. Digitized financial data
  3. Automated financial workflows
  4. Continuously reconciled books
  5. Reduced cost and technical complexity of back-office tasks
  6. Accounting standardization for improved decision-making
  7. The ability to build expertise in almost any vertical

How Will Emerging Automated Accounting Technology Will Shape The Future?

Technology will play a vital role in this transformation as the accounting profession moves beyond traditional automation to emerging cutting-edge technologies such as Artificial Intelligence (AI).

AI-enabled systems for accounting and finance are the way finance professionals and their firms will stay competitive and attract the next generation of employees and customers. AI can help accountants be more productive and efficient. According to experts like Bernard Marr, there’s an 80-90 percent reduction in the time it takes to do tasks. He believes AI accounting software enables accountants to focus more on providing higher-value advice to their clients and other benefits.

 

AI-Powered Accounting Software: Why It’s Essential?

Accounting is an essential facet of running a business, yet it can be one of the most time-consuming and complex tasks. This is where Docyt comes in, automating many tedious and error-prone aspects of bookkeeping. Achieving a continual state of readiness means the accounting profession will need to advance its capabilities through technologies such as AI. The Institute of Management Accountants (IMA) says that when AI-enabled technologies are deployed to automate the process, huge improvements can be made.

Docyt can help with various tasks, from categorizing expenses to reconciling bank accounts. Using data from past transactions, Docyt’s built-in artificial intelligence technology will learn your business and automate the categorization and reconciliation of transactions. By flagging potential errors or discrepancies, AI can help prevent costly mistakes. Using Docyt to automate QuickBooks® frees up valuable time that can be used to develop new products, find new customers, and grow your business. 

Automating tedious bookkeeping tasks is pivotal in the evolution of the accounting profession. Find out more about how Docyt’s integrated all-in-one AI-powered accounting automation software can better prepare your business for a successful future. For more information, contact us today.

Sheila Kilbride
Author
Sheila Kilbride