Technology Impact on Accounting Companies

Companies might need to assign individuals with new skills, arrange opportunities for them to continue, and train current employees to operate more analytical services and strategic thinking. For instance, Mauldin & Jenkins, a regional firm in the Southeast, established a Forward and Strategic Thinking Committee in fall 2017. This was done to examine how the new surrounding is going to impact a company of its size and the audit service. While technology leads to more compliance-related tasks and CPAs convert their concentration to advisory services and value-added strategic input; the possibility for profit and growth seem to be shiny at any spot in the profession's history. 

As a result, the growth of accounting profession in the soon decade; small and mid-accounting corporations will obtain the number of benefits to their existing services and intellectual capital if it joins certified public accountant (CPA) associations although it is not a new profession. So, accounting firms probably will be deeply different in 10 years and perhaps as few as five years, said AICPA President and CEO Barry Melancon, CPA, CGMA. Leaders of this profession agree that CPAs are going to keep a fundamental role in the new business environment. In addition, the U.S. Bureau of Labor Statistics continues to anticipate a positive future for accountants and career growth of 10% between 2016 and 2026. 

Technology will assist accounting for better performing and drive the changes. In particular, 'the rollout of 5G cellular will allow for untethered, always-on, superfast, and secure internet allowing CPAs to connect to firm and client information resources and do analytics in real time using Artificial Intelligence and big data analytics tools' . To illustrate, accountants can observe and manipulate information to provide actionable advice in order to assist business to succeed. They can use sensors on inventory to track logistics, determine volume surges, and produce other real-time knowledge; when connected with data already reachable through physical internet connections. 

According to the future of the accounting profession as deliberated by various accounting firm leaders as well as the technology-related factors which are believed to influence their corporation within the future. Thus, topics covered include the disruptive effect of artificial intelligence (AI) and massive data, the benefits of AI, machine learning(ML) and data analytics on accounting firms, and the role of technology in the interpretation and communication of data to costumers. Moreover, Anderson (2018) said that 'Auditing is moving to systems, process, and people, rather than an exclusive focus on the numbers' Anderson serves as an adviser to the AICPA's audit of the future initiatives. In fact, AI is an appropriate system but to know who to move from one place to another acceptably into vehicles traffic, stop and light signs, people have to add numerous pictures and information that the system is able to learn from. 

To conclude, even though accounting companies are getting better than a few years ago, the exitance of technology helps the accounting firms to improve a lot soon. Also, Automation is going to decrease the number of lower level accountants in the future. On the other hand, it will increase the number of experienced CPAs which would confer clients to have a better connection. According to Bureau of Labor Statistics that the accounting career will grow 10% from 2016 to 2026. Overall, technology will have a huge assistance to accounting firms in the future.

 References 

• Tysiac, K., & Drew, J. (2018).
• Accounting firms: The next generation. Journal of Accountancy. Glickman, R. (2000). 
• International association. Journal of Accountancy, 189(1), 41- 64. 
• Retrieved on December 2, 2018 from: https://eds-b-ebscohost-com.ezproxy.net.ucf.edu/eds/detail/detail?vid=6&sid=d535be8a-e4a2-43ab-913c-19d13fcf750d%40pdc-v-sessmgr05&bdata=JnNpdGU9ZWRzLWxpdmUmc2NvcGU9c2l0ZQ%3d%3d#AN=511145896&db=bf
• Happy New Year! Now, Everything Changes!: Firm leaders discuss the accounting profession’s future. (2018). 
• Public Accounting Report, 42(1), 4–8. 
• Retrieved from https://login.ezproxy.net.ucf.edu/login?auth=shibb&url=https://search-ebscohost-com.ezproxy.net.ucf.edu/login.aspx?direct=true&db=buh&AN=127290641&site=eds-live&scope=site  

Cite this page