Nearly 50 years ago, the first computer was invented and technology as we knew it changed. When the first computer was invented, only a handful of people believed in a smaller form factor with the same processing power. Today, computers come in various sizes, configurations, and form factors. This change not only sparked a revolution in the technology industry but every other industry as well. The accounting industry experienced a massive shift in the last 20 years, from bookkeeping to digital dominating accounting standards. Spreadsheets and automated programs are the new norm while traditional accounting went from conventional to old-fashioned. Here’s how technology has transformed the accounting industry.
As with almost any other industry, automation is beginning to change the landscape for workers. For mid-size to large corporations, they relied on traditional accounting and accountants at the end of the quarter to calculate totals. Everything from cost of goods, revenue, taxes, and matching invoices previously done by accountants is now executed through automation. For larger corporations, automation saves them time, money, and costly errors made by humans. Services including Microsoft Dynamics GP are some of the systems that allow automation to track all important information.
Besides the numbers:
Accountants have various roles within their position. While a majority of their position involves calculating and analyzing numbers, they are also responsible for other duties. These other duties include but are not limited to the following: develop and document business processes and accounting policies to maintain and strengthen internal controls, and recommend financial actions by analyzing accounting options. With automation, accountants have more time to dedicate themselves to other responsibilities listed to them in their job description. Previously, accountants were required to possess time-management skills to succeed in their position. An average day for an accountant is analyzing numbers, creating financial reports, and conducting meetings with other members of the team to project where the company is headed. While time management is still relevant today to an accountant, they have more freedom due to automation.