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May 16, 2022

Future of Accounting Profession:  How to Prepare for it?

In business, as in life, change is the only true constant. From mitigating unprecedented business disruptors to adapting to new operational paradigms, professionals in all industries find themselves dealing with major changes — many of them driven by emerging technologies.

Accounting is no exception. The profession has moved far beyond mere bookkeeping and payroll, and like its partner procurement, it's taking an increasingly strategic role for forward-thinking businesses. While some pundits say accounting has a dim future in the digital world of tomorrow, technologies such as cloud-based data management, process automation, and advanced analytics are poised to further elevate accountants in new and empowering ways.

Technology Will Support, Not Replace, Accountants

The events between then and now, including the Covid-19 pandemic, have instead shown that accountants, like other professionals, need to worry much more about adaptation than replacement.

There's no question that digital transformation has radically changed the playing field. Big data has become a rich resource that needs to be tapped to compete effectively. But for businesses ready to leverage the potential of digital tools, this shift is an opportunity, not a threat.

Intelligent technology is shaping the future of accounting by impacting the types of jobs that will become available. As advanced systems handle repetitive work, humans will deal with more of the analysis, becoming the crucial link between data and clients. Technology will continue to impact the role of the accountant and the demand for accountants in the future.

Emerging Accounting Technologies

Advances in technology are taking accounting to new levels. Whether you’re a seasoned accounting professional looking to stay on the cutting edge of the industry or an aspiring newcomer, you’ll want to understand the following technologies that are emerging in the accounting profession.

  • Cloud Computing

A significant technology trend is working in the cloud. The cloud allows instant access to resources, such as data and computing capabilities. An important advantage of a cloud-based system is the continual updating of information, which allows accountants and clients to analyze data and make decisions based on cutting-edge information. Additionally, cloud-based technology can also ensure “constant monitoring, rather than intermittent analysis,” whenever information on the system is updated.

Cloud computing is experiencing rapid growth as new intelligent technologies — such as the internet of things (IoT), artificial intelligence (AI), and machine learning — are integrated into the cloud. As these technologies become more commonplace, the future of accounting is looking decidedly cloud-based.

  • Automated Accounting Tasks

Labor and time-intensive facets of accounting — such as audits, tax preparation, banking, and payroll — are quickly becoming fully automated. As the application of AI to create self-learning systems continues to be integrated into accounting tasks, technological systems will take on repetitive and time-consuming jobs, leaving the analytical and managerial tasks to humans. AI and machine learning technologies in company bookkeeping offer automated data entry and reconciliation options.

Another example is the use of robotic process automation (RPA) to reduce processing times for audits and contracts down to weeks instead of months. Larger firms using RPA AI integration have “increased efficiency and higher-level services,” compared with smaller, non-AI competitors.

  • Blockchain Technology

Another trend impacting the demand for accountants in the future is blockchain technology, a computer-based recording system that uses cryptocurrency within a user-to-user network. While blockchain may have gained popularity due to bitcoin — a digital currency in which a record of transactions is maintained and new units of currency are generated independent of a bank — the technology has progressed substantially. The attractiveness of blockchain for accounting lies in “the possibility of a new type of accounting ledger — one that can be continuously updated and verified without the threat of being altered or corrupted,” Accounting Today explains.

Because blockchain enables users to access ledgers in real-time, as well as create smart contracts and record transactions, it’s no surprise the system is catching the notice of accountants. Many accounting firms already implement blockchain, including the Big Four — EY, PwC, Deloitte, and KPMG.

Required Skills for Future Accounting Professionals

Undoubtedly, the accountant of the future will need to be technologically savvy to evolve with the changing industry. As intelligent technologies progress and more companies move their information to cloud-based systems, accountants need to become proficient in leveraging the cloud to offer clients up-to-date financial analysis and to stay competitive. Accounting professionals who wish to use blockchain will need to be familiar with relevant software programs, as well as how to set up information transfer for ledgers, contracts, and records.

With automation due to become a major aspect of accountancy, it’s crucial to prepare for the future of accounting by developing the necessary skills to perform the administrative, managerial, and analytical tasks that technology can’t do. Additionally, many accountants may take on an advisory role with clients, which means they’ll need to be skilled at analyzing big data to spot patterns and trends. Familiarity with data mining and other data science techniques will be key here.

Relatedly, accounting professionals will also need to understand how to use data visualization strategies and programs to translate all that data into insights for clients and company leaders. Accounting professionals with these skills can use predictive analytics and forecasting to strategically advise clients or organizations. As automation frees up time previously spent on more mundane tasks, accounting professionals can focus on these higher-level analytical skills.

Discover Your Future in Accounting

Accounting is undeniably changing, largely because of intelligent technology, including machine learning, AI, and blockchain. With any evolution, those who aren’t willing to adapt risk being left behind.”

Future accounting jobs will require dedicated professionals who are ready to evolve alongside the industry. Don’t let yourself be left behind — learn more about how you can gain the skills that can bring your career to the next level by enrolling with Get Trained Get Hired. If you need any assistance in preparing your resume or you need more specific interview guidelines that best suit your personal requirements to have a breakthrough in the Canadian job market reach out to Gettrainedgethired.com to book a free 30-Minute career counseling meeting. At Gettrainedgethired.com we provide you with the necessary training to learn practical skills to become an accountant. Our training is based on practical real-life cases.  After the training, we work on your resume and try to place you in accounting firms through our network. You will also get access to like-minded individuals who are looking for jobs through our WhatsApp group. Please feel free to contact us at [email protected]. Or call us at 647-870-6986

Disclaimer: The information provided on this page is intended to provide general information. The information does not consider your situation and is not intended to be used without consultation from professionals. Salman Rundhawa and Gettrainedgethired.com will not be held liable for any problems that arise from the usage of the information provided on this page.

Author

Salman Rundhawa

Salman has a strong desire to help others succeed and believe in passing on the knowledge. He likes to mentor others and wish to play part in other people success.

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