If you haven’t already, it’s time to dive into the world of accounting automation. In the hustle and bustle of managing an accounting firm, finding ways to save time, boost profits, enhance accuracy, and improve client satisfaction is crucial.
That’s where accounting automation comes in – it’s essentially about using smart technology to simplify financial processes. Embracing automation isn’t just a trend; it’s a practical move that will lighten your workload, increase profitability, and elevate the overall customer experience. Automation is the landscape where efficiency meets excellence in the realm of accounting. And if you want to turn the firm you happen to have into your dream accounting, automation is KEY.
Why Leaders Invest In Accounting Automation
Although automation is especially helpful in the accounting sphere, it’s a move that any savvy leader will invest in. The Harvard Business Review put together an article examining how automation can revitalize project management.
To summarize, inefficiencies are present in all businesses, but some are more costly than others. Every year, companies across the globe invest $48+ trillion in new projects. And according to the Standish Group, only 35% of these projects reach completion. This also means that 65% of projects end up being a waste of time and money.
Accounting firm owners don’t have the time or the money to waste on inefficiencies (like using spreadsheets to track everything *cough, cough*). It is essential to incorporate AI tech and machine learning. Don’t be one of the accounting firms still utilizing outdated tools that fail to adapt to the dynamic and evolving nature of modern projects.
The introduction of virtual project assistants, or “bots,” powered by AI is poised to bring about significant changes in how project updates and task progress are managed. Successful firm owners will need to adapt to these changes, focusing on cultivating strong soft skills, leadership capabilities, and strategic thinking, while also emphasizing the necessity of incorporating AI into project management education and certification programs.
AI-Powered Leadership: Navigating Challenges with Accounting Automation
Today, it’s almost impossible to talk about automation without also discussing how AI can play a role in accounting automation. So, we’ll explore the role of Artificial Intelligence (AI) in helping leaders navigate complex decision-making in an intricate business landscape. We’ll take a look at an article from Forbes.
Accounting firm owners are faced with the challenge of delivering improved services, meeting sustainability goals, and managing budgets efficiently (and that’s on top of everything else like service delivery and team management). Automation provides the opportunity to eliminate some of their daily tasks.
Accounting automation allows firm owners to speed up data processing, identifying otherwise undetectable patterns and trends. According to a recent survey conducted by PwC, 52% of companies expedited their AI adoption initiatives over the past year. Furthermore, a striking 86% of companies foresee AI evolving into a mainstream technology within their organizations in the near future.
As AI increasingly takes center stage in the business landscape, firm owners who want to be leader must grasp its mechanics and determine optimal integration strategies into their workflow. Understanding the workings of this technology is paramount for informed decision-making in an era where AI automation is rapidly becoming an indispensable tool.
The Benefits of Accounting Automation
A recent study by PwC found that 52% of companies accelerated their AI adoption plans in the last year. In addition, 86% of companies believe that AI will become a mainstream technology at their company imminently. As AI becomes more central in the business world, leaders need to understand how this technology works and how they can best integrate it into their operations. Why are so many businesses adopting AI automation?
- Time Savings: Automating manual accounting tasks frees up valuable time, allowing accounting firm owners to redirect their efforts towards more strategic and high-value activities.
- Improved Margins: By reducing the time spent on certain accounting tasks through automation, cost savings naturally translate into improved profit margins for accounting firms.
- Greater Accuracy: Properly configured automation eliminates the risk of human errors associated with manual data entry, ensuring the reliability of real-time financial data crucial in the accounting industry.
- Faster Turnaround Time: Automation expedites processes with a simple click, significantly speeding up the delivery of financial reporting and other client deliverables compared to manual data entry.
- Superior Customer Experience: Quicker results and enhanced accuracy contribute to an overall superior customer experience, reflecting positively on the firm’s reputation and client relationships.
- Lends Itself Well to Upskilling: Embracing accounting automation is an investment in professional development, aligning accounting professionals with the evolving demands of the industry and preparing them for the future.
- Real-Time Decision-Making: Automation provides faster insights into financial data, empowering financial analysts and accounting teams to make informed decisions for improved business operations.
- Improved Accessibility: With accounting automation transitioning to online platforms, accessibility is no longer confined to a physical location, enabling accounting professionals to work on the go and access data seamlessly.
Talk The Talk: 5 Ways To Adopt Accounting Automation
General Ledger Accounting Software
Cloud accounting software (i.e., accounting automation software) for your general ledger is far superior to desktop accounting software when it comes to automation. This acts as the hub to which other pieces of software can connect, seamlessly transferring data and reducing the time spent on accounting tasks. Automation allows you to plug and play different apps in real-time, customizing and automating various manual accounting workflows. The leaders in this space include Xero, QuickBooks Online, and Sage.
Expense & Accounts Payable Processing
Ditch the manual entry of receipts and paper-based processes by using automated accounting apps like Dext and Hubdoc. Through robotic process automation and artificial intelligence, these apps streamline accounting processes by automatically extracting required information from receipts. Snap pics of your receipts with your smartphone or forward electronic copies, and the app scans and syncs the extracted financial data with your cloud accounting software.
Payroll
Move away from legacy accounting process automation software systems with manual input and calculations. Adopt automated payroll systems like Gusto, which deducts taxes and submits all necessary forms within minutes, eliminating manual processes and improving efficiency.
Month-End Reviews
Automate the month-end review process with tools like Dext Precision, VerifyIQ, Keeper, or Scrutinize. These tools scan the ledger for errors, duplicates, unreconciled items, and other issues, providing a health score and tips for correction. This automation streamlines the review process, saving valuable resources and ensuring accuracy before manager sign-off.
Working Paper Schedules & Adjusting Journal Entries
Modernize the creation of schedules and adjusting journal entries with computerized accounting software. Automate the creation of schedules such as deferred revenues and directly post adjusting journal entries to your accounting system. Explore Countable, a contemporary working papers and financial statement preparation software that connects to Xero and QBO, streamlining the year-end process.
BONUS TUTORIAL: Accounting Automation Software
If you want more help with automating your accounting firm to save time and earn more, say less. Winning back your time is the bread and butter of the Create Your Dream Firm Program. And, AI accounting automation software is a great way to do that. To access our accounting automation software Dreamleads.app, or for more ways to work less and earn more, book your discovery call below.
Book Your Discovery Call For The Create Your Dream Firm Program
Getting Started is easier than you think… Marketing for accounting firms can begin with just a single post. And believe it or not, there’s a ton of low-hanging fruit for you to go after. You probably already have things to post about (you definitely do). Here are 5 examples of potential social media posts for accounting firms.
Everybody has to start somewhere, even if that somewhere is 0. You’d be surprised how quickly you’ll gain followers just by seeking out and interacting with similar content. If you see another business or professional posting content you’re interested in, follow them and reach out letting them know you liked it. And just keep posting… It’s okay to get 0 likes on your posts. If you don’t start putting your firm out there, there will never be any reason for people to follow you.
General Ledger Accounting Software
Move away from legacy accounting process automation software systems with manual input and calculations. Adopt automated payroll systems like Gusto, which deducts taxes and submits all necessary forms within minutes, eliminating manual processes and improving efficiency.
