Accounting and finance industries are constantly evolving, so staying up to date is essential. One of the most exciting developments in the accounting industry is the continued evolution of technology. It will be critical for accountants and accounting firms to understand the trends in the field in 2022 and beyond, as well as their potential advantages and disruptions.

Let’s take a look at the top 5 automation trends in the accounting industry that will set the tone for the coming years.

1. Accounting Automation

RPA or robots can be used to process repetitive tasks, standardize and merge data from multiple sources into a single system and a variety of other manual tasks. RPA also can handle structured, semi-structured, and unstructured data. Adding RPA automation technology into your existing IT infrastructure is fairly easy as well.

2. AI/Artificial Intelligence

The automation of a variety of accounting processes has led to a great deal of concern among accountants that AI will take away their jobs. The accounting industry has, however, been using accounting automation software for decades. Approximately 86% of accountants' tasks are automatable. Accounting firms can focus on client service by delegating these repetitive or administrative tasks to AI. Using automation doesn't mean you'll lose your job to a machine; in fact, you'll be able to divert your energy from manual labor to other important aspects of your company. Some tasks that can be automated include data entry, data processing, collection of documents, bill payment, large scale real time data analysis, in depth reporting,  calculations that are repetitive and mundane, journal entries, and reports.

3. Data Analytics

With their analytical skills, accountants find ways to gain insight into their clients' businesses. Data analytics drives process improvements and efficiency culminating in cost savings. In addition to getting a better understanding of the process, accountants can reduce costs and save time by reviewing financial results quickly. Predictive data analytics also help in determining pricing and make better forecasts to give business owners a clear idea of what can be expected. As technology advances, accountants must become more strategic to help clients' businesses prosper.

4. Cloud Computing

All accounting professionals are concerned about data security since their files contain a great deal of sensitive client information. Accounting companies and company executives may be nervous about cloud computing because it lets them access client data from a variety of devices. However, cloud computing applications have several security features that protect data, such as encryption and automated backups. Firms can avoid data loss due to server crashes, lost or stolen laptops, or other disasters by implementing this technology. By leveraging cloud computing, you can improve productivity, team collaboration, and simplify client service. Accessing your data anywhere via the internet is one of the biggest advantages of cloud-based accounting software. It has become more common practice to use cloud software with all the technological advances.

5. Outsourcing accounts and finance roles

More and more companies are outsourcing accounting/finance-related tasks today. A growing number of businesses are turning to outsourcing to enable company growth, management of employee absences, and meet the need for specialized skills. Outsourcing companies like Staffz and others who handle these tasks have also matured and are quite capable of handling a variety of accounting tasks. Free up your team from mundane, repeatable tasks that swallow a lot of time, reduce overheads and costs to the company, and increase efficiency with outsourcing.

A strong and experienced accounting team is critical for every business to ensure that its finances are properly handled. Employee recruitment and retention are the biggest challenges for most accounting practices. Embracing technology and adopting proven trends is the way forward to sustain and thrive.

If you are looking for RPA solutions/accounting robotic automation for your accounting practice, Contact us for more information.