With the many and constant developments in technology, all businesses have the opportunity to thrive. This is no different for the accounting sector that continues to grow in leaps and bounds when it comes to automation. Gone are the days where businesses have to rely on manual data entries and ledgers. We take a look at some of the ways in which technology is revolutionizing accounting in businesses.
1. Accounting software
Accounting software like NetSuite and QuickBooks has simplified and automated accounting tasks such as invoicing, expense tracking, and financial reporting. The fact that these software offerings are cloud-based also makes things a lot easier for accounting teams to access financial data securely from anywhere in the world. This means that gone are the days that bookkeepers needed to track and trace company CFOs for approvals, as cloud-based software systems enable teams to collaborate from wherever they are.
Simplifying and streamlining accounting tasks and processes becomes even more efficient as sophisticated integrations and plugins become available to automate tedious accounting tasks even further.
Some of the bespoke automation that Fusion CPAs have developed to even further streamline tedious accounting functions include:
- Building tools that covert data formats to be compatible with accounting software requirements. For example: your accounting software likely only accepts Excel documents for data uploads, but oftentimes banking statements are offered in pdf format. While tools exist to convert such documentation it does not come without its drawbacks which include the fact that it may produce messy conversions that accounting software can’t interpret for accurate upload. Our bespoke built tool aids to automate this task in a manner that minimizes the risk of errors and inconsistencies when uploading bulk data to your accounting software.
2. Generative AI tools
In addition to accounting software and integrations that simplify processes, generative AI tools such as Chat GPT are also changing the game and aiding accounting divisions to save time and work more efficiently. At Fusion CPA, our experts are experimenting with and embracing the power of AI capabilities in the following ways:
- Our experts have embraced generative AI by testing its data interpretation abilities. While we experiment with this cautiously and under the guidance of our CPAs, we have managed to test generative AI tools’ ability to interpret data. This can be used as a first draft of basic data analysis for businesses that do not have the necessary time and skills to perform such tasks. Our experts make use of their specialized knowledge and insights to make accurate and sophisticated business growth recommendations, but AI’s can offer businesses a basic summary of financial data, which can then be built upon. This can also aid businesses to improve efficiency as it saves time.
- Our experts have also experimented with testing generative AI tools’ ability to provide formulas and basic program codes for specific outputs. While it always has to be checked for validity, this may be a way in which a business can save time in researching a number of articles or formula guides.
3. Analytics and business intelligence
Technological advancements have made it possible to analyze large volumes of financial data quickly. Reporting ability and data insights from financial ledgers provided by accounting software and business intelligence tools have also made it more possible than ever for businesses to predict and project the future of their businesses based on data trends and to take swift and informed decisions that encourage growth. Let’s look at Microsoft Power BI as an example. This software is designed to simplify business forecasting as it assesses your business data, using it to make predictions in relation to the economy at large. With forecasting software of this nature, your business can mitigate risks and implement the necessary steps to improve the company’s financial future.
The accounting industry continues to grow thanks to the great strides in technological advancement. If your business makes use of accounting software and other tools and technologies that streamline operations and reporting, it is important to ensure that the software setup and integration are done correctly – this will save your business the headache of incorrect records and more. If your business would like to implement accounting tools to streamline accounting processes and make them more efficient, our experts can help. Schedule a discovery call with us for insights into how you can use technology to the advantage of your business.
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This blog article is not intended to be the rendering of legal, accounting, tax advice or other professional services. Articles are based on current or proposed tax rules at the time they are written and older posts are not updated for tax rule changes. We expressly disclaim all liability in regard to actions taken or not taken based on the contents of this blog as well as the use or interpretation of this information. Information provided on this website is not all-inclusive and such information should not be relied upon as being all-inclusive.
