One thing that has proven to be true is that technology is ever-evolving. New solutions are being created every day, and the emerging trends of today will become the standards of tomorrow.
While not every advancement applies to all industries, certain developments are especially relevant to the accounting and finance fields. If you are an accounting professional, here are the important tech trends you need to know.
Application Programming Interfaces
Application programming interfaces (APIs) are pieces of software that allow different applications to talk to one another. They serve as virtual highways, giving data a path to follow and allowing the programs to interact.
When it comes to accounting, APIs have the potential to eliminate a substantial amount of data entry. Instead of recording the same information in multiple programs manually, the interface can send data from one source to another, making rekeying the same information a thing of the past.
APIs have the potential to increase productivity and efficiency in a dramatic fashion, and will empower accounting professionals by allowing them to have more time for tasks that are less tedious and repetitive in nature.
Robotic Process Automation
Robotic process automation (RPA) is another technology poised to substantially increase efficiency in the world of accounting. These software solutions can be designed to handle specific activities, eliminating the need for a person to perform the task.
Often, RPA focuses on highly repetitive work, removing mundane tasks from the hands of accounting professionals. Like APIs, RPA can free up workers, enabling them to focus on duties that truly require a human touch.
Artificial intelligence (AI) allows specific analytical tasks to be automated. For example, auditing information for accuracy, locating patterns, and matching transactions to data in financial documents can all be handled by a properly programmed AI.
The technology can not only be a timesaver, but may also be more accurate when it comes to matching items and extracting relevant data. Additionally, it has the ability to identify trends that may be challenging for a person to spot, and can certainly perform the task more quickly.
Blockchain is a record-keeping mechanism that relies on distributed ledgers. While it’s most traditionally associated with Bitcoin, the cryptocurrency, the technology itself has greater potential.
For example, each transaction on the ledger is verifiable and backed by a permanent record. Plus, the logs can be easily shared between the two parties, increasing transparency and ensuring everyone has the relevant information.
Blockchain also has the potential to make fee-based intermediaries, such as PayPal or title insurance, less relevant. Some believe it could even limit the need for traditional banks or payment processors, a benefit that, if realized, could revolutionize a number of industries.
Ultimately, the technology trends above should be on every accounting professional’s radar, as they will likely result in significant changes in the workplace in the not-so-distant future.
If you are interested in learning more about emerging tech trends, the staff at The Squires Group can help. Contact us to speak with one of our knowledgeable team members today and see how our expertise can benefit you.