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Finance workers confident that automation won't steal their jobs

17th Apr 2020
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Over half of accountants surveyed (56%) believe that many tasks they are performing manually could be automated. However, looking forward, only 43% think they will still be working this way by the end of the year. 

This is according to our UNDERSTANDING TECHNOLOGY ATTITUDES WITHIN UK FINANCE PROFESSIONALS report.
 
It is no secret that accounting automation is becoming more widespread within the industry and has been for the past few years. This has been pushed particularly by a delayed introduction of Making Tax Digital as well as recent changes introduced to IFRS reporting standards, which have driven firms and businesses to look at their current approach to accounts and reporting and make them more digitally led. 

Looking forward, it’s recognised by accountants and finance professionals that the ‘automation era’ is still in the early stages for the industry, specifically for advanced technology such as cloud computing and artificial intelligence (AI).
 
Our report outlines that 34% of accountants are understand that AI will significantly impact their day-to-day job over the course of the next 5 years. 31% of those who were surveyed also felt the same about cloud computing. 

Over the next 5 years, it is expected that there will come a time when automation will eventually take over accounting firms and internal finance teams manual processes in order to provide a more streamlined and efficient service. 

This being said, we can see that technology is already influencing the way many accountants are operating. 
Interestingly, our report showed that 38% of fee earning engagements (audits, filing accounts, tax returns etc) are already undertaken on a variation of cloud platform. For London based firms and internal teams, this figure increases further to 44%. 
 
Promoting more collaboration
 
From our report, we can clearly see that firms who are adopting the technology are finding it much easier to work collaboratively and complete tasks more effectively.  

85% of our survey respondents who used accounting technology, agreed that it was very easy or easy to share documents with their colleagues in the office. Similarly, 65% agreed that it was either very easy or easy to share with colleagues who work remotely. 
  
Sharing and collaborating with clients was also said to be easier.
 
Over half of the respondents confirmed it was very easy or easy to use accounting technology to collect data – which meant that completing accounts became a much simpler process and reduced the time spent obtaining information. 

Industry professionals view cloud as a safer was of carrying out client work, with 53% agreeing that using cloud technology was more reliable and secure than using on premise storage which could be liable to fire or theft. 
 
What does the future hold? 
 
Although accountants have got to grips with current accounting software, they’re aware of the benefits when using cloud technology, and recognise their industry is set to become more technology dependent – seeing what the future looks like is still proving to be complex.

For example, there is less clarity around which automation technology will be front runners within the sector and become the ‘go to’. Although many agree that a form of AI and automation will become part of their working lives, it remains to be seen how it will take shape in the future. 
 
Interestingly, Intelligent Processing Automation and Robotic Process Automation are tipped to be key automation technology in the future, yet have not made the agenda for most of the industry. 
 
Changing the accountants skill set 
 
Accountants are under no illusion that to succeed and thrive in the industry, they will be required to develop their skill set to adapt to the new technology. Whether that be AI or automation technology, accountants understand that it’s fundamental to the future of the industry. 
Over the next five years, it’ll be desirable for individuals to understand specific software, along with being able to confidently execute financial forecasting using the technology.
 
In comparison, traditional skills including accuracy, analytical and data entry are due to become less important.

Having AI and automation providing analysis on the large datasets, it’s anticipated that accountants will be leant on more for creativity and strategy, being required to forecast opportunities for the business, whilst minimalizing the threat of dangers. 

It remains to be seen whether this decade will be the one to see the introduction of the automation era, although the industry is certainly moving towards it. It is the responsibility of the accountants and finance teams to ensure they are ready. 
 
To download the UNDERSTANDING TECHNOLOGY ATTITUDES WITHIN UK FINANCE PROFESSIONALS report, click here