The 21st century is known to be a pioneer in technology. Needless to say, this is the Tech-Age. And thus, with each passing moment, the cutting-edge technology is making our lives easier, comfortable, and fast as well. Technology has now been introduced in almost all sectors of human activity which has resulted in more accuracy, decreased manual efforts, cost-effectiveness, etc.
With a view to taking technology to the next level, the futuristic trends and techniques are sure to bring about sweeping changes in the field of Finance and Accounting too in the coming years. And definitely, this will transform the complete facet of this sector.
Introduction and Implementation of Automation in Finance and Accounting will not only make bookkeeping and accounting efficacious and easier but also will change the way businesses manage their finances. Furthermore, real-time business insights will accelerate the growth rate of the company.
Another reason why automation is of paramount importance is that it facilitates the utilization of the resources effectively and minimizes the lag in the flow of operations. Some of the areas where automation has brought about jaw-dropping changes are planning, budgeting and forecasting, financial reporting, operational accounting, allocations and adjustments, reconciliations, intercompany transactions, and timely closing. Simply put, the organizations are able to streamline their business processes adequately with the advanced concept of automation.
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| Automation leads to new opportunities. |
Now, let’s take a look at how the automation trends and techniques are paving way for a simpler and novel approach to accounting.
Cross-Functional Insights
Automation helps in integrating the systems and processes of different departments of an organization. These departments may be supply chain, marketing, sales, human resources etc. Hence the employees across the organization shall become capable enough to share precise data sets and other information consistently with each other. This will help the departments keep a track of the workflow in the other department.
Risk Assessment
Having timely access to accurate information about the organization, running automation scenarios by finance experts with different sets of variables, like interest rate, inflation, or currency fluctuations; to assess both potential cum procurable risks in the existing competitive markets as well as helps them harness opportunities in nascent ones.
Enhanced Global Approach
Automated functions enable the accounting industry to abide by the regulations in different countries, provide multi-language and multi-currency support, and automatically support accounts from local subsidiaries. Thus, the organizations enjoy a real and seamless experience with an enhanced global approach for their business.
Reinforcing Finance in a large sphere
Automation and machine learning would definitely do away with the time-consuming traditional accounting in near future. In simple terms, now the finance team will be efficient enough for expending most of their precious time towards profitable ventures.
In other words, the time will be properly allocated to different tasks. The remaining hours can be devoted to other significant projects, making the finance department more proficient. Manual efforts and errors both will be completely eliminated. And ultimately things will become easier, faster, and more precise.
Inimitable Protection Proficiency
Cybersecurity has become a threat and a burning issue that is now become a major concern. In the present arena, each and every department needs to be prompt, vigilant, and proactive. Having witnessed the recent issues pertaining to data breaches, cybersecurity can’t be overlooked.
With no exaggeration, it can be easily predicted that in 2019 the finance and accounting sector will initiate the lead for strengthening its security. The organizations will be ensuring that proper financial controls with automation techniques have been placed properly and better visibility is provided for financial or accounting data.
Being endowed with finance and accounting automation, it will be possible to fight cybercrime.
Conclusion:
As computing perfection and efficiency is increasing by leaps and bounds, advanced technologies like machine learning, RPA, and huge data analytics will execute the complicated transactional tasks just within a shorter timeframe. We, in finance and accounting, will be able to explore the financial facts of pivotal significance to an organization’s accomplishment in close to real time. Eventually, the demand for specialized finance and accounting professionals to interpret the strategic value of this data will boom in the coming years, with excellent jobs being created to interpret automation insights.
We know the famous proverb that “Run with the demand of the age”. So, the context becomes relevant in terms of the future of Finance and Accounting Automation with futuristic trends and techniques in 2019. Organizations that obtain it only at the right hour will definitely win the leading positions in the highly competitive marketplace.
Kapil RANA, Author is the Founder & Chairman of Hostbooks Limited
kr@hostbooks.com
