The Many Advantages of Automating the Accounting Process

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The Many Advantages of Automating the Accounting Process

CFO Tech Outlook | Wednesday, November 24, 2021

FREMONT, CA: The most tedious and time-consuming aspects of an accountant's workday can now be done automatically, and in many cases, quickly. These systems also referred to as computerized accounting software; handle all of the nitty-gritty details for customers.

As a result, accountants no longer have to create complicated ledger files and manually enter data. It's easy to build reports with only a few clicks, thanks to built-in formulas. The goal is to make the accounting process more efficient and less tedious by reducing the number of steps involved.

The advantages of computerized accounting systems

Time averted: Without a doubt, the most tangible benefit of automation is the time saved. If someone or something else performs the manual labor accountants would ordinarily perform, they will have more free time. The biggest time saver for accountants is during financial close. If the team has adequately been using its tools, there should be nothing to reconcile! The majority of data accountants would ordinarily verify and copy across systems that have already been verified and copied.

Consider the following scenario: accountants utilize management software to track and manage expenses and other charges. When team members submit an expense claim, they generate an entry in the system containing all the required information. Additionally, supporting documents (such as receipts) are provided, providing accountants with a complete entry from the start.

It's then as simple as clicking to export this expenditure claim—and all other expense claims—to the accounting and reporting systems. Thus, tasks that would ordinarily take days (or weeks) can be completed in minutes.

Increased productivity: A direct effect of the time savings discussed above is the potential to produce more in the same amount of time.

This will almost certainly result in fewer billable hours for external accountants, which may be alarming. The same is true for staff accountants who may be concerned about their job security.

However, automation frees up time for accountants to focus on their true mission—partnering with and guiding clients toward financial wellness. And they can now do it more regularly and for a more significant number of clients.

Access to the cloud: Anyone who routinely utilizes cloud-based applications understands how much easier life feels in comparison to the days of floppy discs and even USB sticks. Accountants can now carry about all of their critical accounting software, processes, and files with them everywhere they go.

If accountants need to process a payment or verify a document quickly, have no fear. Previously, they needed to be physically present at the appropriate desk or have paper files; now, everything accountants need is available online.

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