While the future of technology for CPAs shows promise, there are still challenges ahead.
As previously discussed in our blog, the global pandemic accelerated the need to adopt cloud-based technologies to embrace the new normal. Many businesses, especially in the small and mid-market space, were at the beginning or only partway through their digital journey when COVID-19 started.
This unprecedented event was an eye-opener for firms who had yet to make a full digital transformation, and it stressed the urgent requirement to accelerate digital capabilities. Businesses that hadn't already moved towards cloud-based technologies had to adapt quickly to accommodate remote working.
Embracing data extraction, analytics, and AI tools to make the processes work virtually became a requirement of doing business. This acceleration toward automation has turned out to be a silver lining as businesses have become more resilient and better positioned to address the new normal going forward. But what is the future of technology and the auditing profession going forward?
To get a picture of just how much CPAs have had to adapt and advance their practices, in their latest eBook, our partner Validis, asked some key accounting pioneers, including Auvenir’s own Alexandra Romanet, Director of Market Strategy and Partnerships, to share some insights about the future of audit and the role of technology.
One of the key benefits of technology, as highlighted by Romanet, is that technology allows manual processes that would normally be repeated, by automating normally time-consuming tasks. When firms embrace technology, “Technology helps put the accounting professional in the driving seat.” New tools can improve the quality and efficiencies of an engagement, whereas “Firms have historically spent too much time trying to figure out which forms are applicable for their unique engagements.”
Also, going digital and implementing new technology to previously manual processes adds the benefit of better insights, and more accurate data management in a streamlined platform. Romanet reminds readers that, “With better and faster access to data, firms can take advantage of powerful analytics to detect patterns and trends for advanced reporting features.” Technology can be used to automatically compare data sets from previous years to the current year. “At the click of a few buttons, ratios and deeper analytics are in the hands of the engagement team to analyze and embed in their documentation.”
While larger firms perhaps embarked on their digital transformation journey earlier on, smaller firms are also embracing technology. As mentioned by Romanet, at Auvenir, “We are currently seeing practitioners at smaller firms taking the initiative and piloting technologies…” Cutting-edge technologies are not only for the big firms – it is increasingly becoming accessible to medium and small-sized firms, with cloud-based platforms, like Auvenir, to deliver an enhanced engagement experience for firms and their clients.