Advances in technology have aided in transforming businesses and industries rapidly, over the past few years. While these transformations are evident, accountants are already using several digital tools to optimize processes. Now, the discussion slowly seems to be leaning towards the prospects of a human-less office from a paper-less one.
Replacing Human Accountants
The robot-revolution has indeed taken the world by storm, starting from the inanimate yet multi-functional Alexa to the more-sophisticated humanoid Sophia. Even as technology grows in leaps and bounds, a big question looms in front of the financing industry. Are robots going to replace accountants?
The best and only answer to this question is NO. Technologies might change a process, make computing easier, but somehow the human factor cannot be eliminated.
A part of the IT boom also involves blockchain, a technology powered by artificial intelligence and cloud computing. Looking at the way blockchain and cryptocurrency are evolving, it only seems that the accountants will be better endowed, when manual data entry is reduced and data precision and processing speed are both improved.
Come New Year, here is what RealBooks is looking at in terms of technological contribution.
An analysis conducted by Accountant Today, estimated that the global market for accounting software will be valued at a whopping $11.8 billion, by the year 2026. While digitalization of the accounting industry is already certain, SaaS or software-as-a-service or cloud accounting is fast finding footage as well. Internet-enabled services and virtualization helps users access financial data from anywhere. Such integrated accounting platforms are efficient and even aid in streamlining critical back office processes across industries and businesses.
Blockchain is not limited to cryptocurrencies alone. In fact, blockchain was a focal point of dialog in many of the recent accounting shows and seminars. The delivery method of this single-ledger technology is rather unique. Several users from different origins can access real-time and similar information on a common platform. For example, the risk profile of a business hash-tied to the blockchain can be accessed by all the potential investors and financers, at the same time. Any modifications performed can be visualized as soon as it has been validated. With greater security and transparency, transactions may take days, hours, minutes or even seconds, as the case may be. Reconciliations, auditing and compliance will all be accurate, quick and error-free.
One of the greatest transformations of the accounting system will be seen in the automation of manual tasks such as audits, banking, payroll management and tax preparation, by the year 2020. Here too, AI plays a big role, but yet, will not be able to surpass human intelligence.
Accountants will be able to get access to real-time and verified information extracted from a number of resources. As transactional machines, computers and along with it algorithms will become more efficient at accumulating and analyzing big data. But, in the end, the interpretive capacity lies with the humans. A machine, yet, cannot learn common sense.
Accountants will be able to access rational and comparative data and apply this information to provide crucial business insights and intelligence.
Manual and transactional tasks can be streamlined and automated with cloud AI and blockchain while decision-making, planning and expertise will still remain with the humans. By embracing technology, accountants can expect to see themselves as valuable business advisers in the future. The future is more assured when accountants can turn accurate data into actionable insights.
Why humans can never go out of fashion?
A fully-automated plant was developed by Tesla in California, powered by AI robots. While this was considered revolutionary, production was significantly slowed down, because the unit could not achieve its targets. The company had to replace the robots with specially trained staffs that would manage the machines. Visibly, it just seemed that humans were underestimated.
This, conclusively, goes to prove that human accountants who receive specialized tutelage will only add value to a revolution that will help build and even strengthen businesses.