This applies to YOU!
It’s crucial for accountants and any other profession within the world of finance, to stay up to date with the latest trends and technologies that are going on in the field!
Whether it’s the world of finance, hospitality, retail, sports, or anything else, I think it’s important to watch, prepare, plan, and remain aware to make the most of that career path and provide the best possible service to clients.
This article will seek to over some of the key things to look out for if you’re thinking about the future of accounting but firstly, lets quickly go through 5 key reasons why it’s an important thing for an Accountant to keep themselves in the loop:
- Staying relevant – the world of accounting is always evolving! Don’t run the risk of becoming obsolete by burying your head in the sand.
- Improving efficiency – new software is constantly being developed to make things more efficient, if you are working efficiently, your client will notice!
- Reducing risk – new trends give way to new risks and challenges, if you stay informed, you can better identify and mitigate potential risks such as fraud.
- Enhancing career prospects – employers tend to look for accountants who have the skills to navigate through these new trends and technologies, if you’re aware, you can stay competitive within the job market!
- Meeting client needs – clients have an expectation for us to be knowledgeable within the field we are working, staying in the loop with news, technologies, trends etc, can allow you to offer more value than ever.
Automation and AI
The increasing use of automation and artificial intelligence (AI) in accounting is transforming the field!
These new technologies can offer many benefits such as an improvement with efficiency and accuracy, as previously mentioned, but there are also concerns about the potential impact on jobs in the field.
There is the potential to automate many routine tasks that an accountant would usually perform which could in turn, lead to some job displacement, however there is also opportunity to focus on higher-level tasks and new service offerings with the use of them, too.
My tips for adapting and staying relevant in a world of automation would be to embrace technology, focus on developing new skills such as critical thinking and communication, stay informed, offer value-added services, and build strong relationships with clients/colleagues!
Blockchain and Cryptocurrency
These are both things that have changed the way financial transactions are recorded!
A blockchain is a decentralized ledger system that enable secure and transparent transactions without the need for central authority meaning an implication for accountants everywhere, as it offers a more efficient and secure method.
On the plus side, accountants can use blockchain technology to reduce risk of errors and duplication in financial reporting as well as offering greater transparency, due to its decentralized nature – something that is more important than ever in business today!
Cryptocurrencies are digital assets that use cryptography to a secure and verify transactions and control the creation of new units. It’s important for accounting professionals to understand this as a new asset class and how it could pose unique challenges for accounting and taxation as they don’t necessarily fit into traditional accounting frameworks.
If you understand the nature of cryptocurrencies, the implications of buying and selling them, how to account for them, you can better advise clients on how to properly account and report for these transactions.
Cloud Computing
Cloud-based accounting software is changing the way businesses manage their finances!
You may have an Apple device like an iPhone, think of this software in a similar way to iCloud – the financial data is stored and accessed online, rather than on local servers.
You could access the software from anywhere with an internet connection, which allows people to manage things on the go and collaborate with others, remotely.
Also, there’s the potential for greater scalability, as businesses can easily add or remove features as their needs change. It’s something to consider if you’re looking to streamline management processes and work on that all important level of efficiency.
Look for a cloud-based software that is specifically designed for you needs and make sure it hast he measures to keep your data secure!
Cybersecurity
This one may sound a little scary, but it’s also something worth looking out for!
Businesses around the world are increasingly relying on technology to manage their financial data, something like a data breach or cyber-attack could be disastrous including financial losses and reputational damage, to name a few! If you’re a part of an accounting firm, this is especially important for you as accountants are usually entrusted with highly sensitive financial data.
Taking steps to safeguard systems and client data including updating software’s and educating oneself on latest threats and best practices for prevention are areas to keep in mind. It can be a cruel world out there, people! Cybersecurity is part of the future!
Soft Skills
Accountants rely on being able to communicate effectively with clients and colleagues, collaboration on projects, creative thoughts to solve problems; soft skills could be a game-changer!
Soft skills are things like communication, collaboration, problem solving etc. and are things that have always been crucial, but in this ever-changing world, it feels like this is something to focus on. It’s more important than ever to be transparent and empathetic, so, ensuring you have these skills going into an industry like accounting can be huge for your career growth.
Some tips for developing these skills could be to seek out training opportunities such as workshops or networking events, look for leadership roles and practice active listening to build stronger relationships with your colleagues and clients. Take note and you will be competitive in a rapidly changing job market!
Let’s wrap things up
So, do you think you’re well equipped for the future of accounting?
Maybe you’re already rolling with an AAT course, or you could be a fully qualified accountant, or you might be at the stage of enquiring about your first course; understanding the road ahead and the challenges you might be faced with, can only be a good thing, right?!
Follow this link to one of our FAQ posts about how to get going with us: How do I enrol onto AAT Courses? – Accountancy Learning
Being prepared and having an insight into these technologies could seriously give you an upper hand and speed up your development. It’s never something to rush or compare to anyone else, but it’s these insights that allow you to be the best version of yourself.
Don’t run from these new things but also don’t force them, I would advise to just be aware and keep an open mind, you never know when something new could come in handy!
By taking a proactive and forward-thinking approach, accountants can continue to add value to clients and organisations!
If you have any questions, please get in touch with us, we are always happy to help.
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