Technology made the world of business realize that traditional, manual accounting processes were no longer sustainable.
In addition to being time-consuming, the challenge is now compounded with companies and their finance and accounting functions working remotely during the pandemic.
Beyond the inefficiencies associated with manual processes, cost is another important consideration. A few years ago, The Coca-Cola Company began reviewing its existing balance sheet reconciliation process across 50,000 general ledger accounts.
Multiple systems and manual processes had created serious challenges which saw more than 800 associates spending 14,000 hours a month on reconciliations alone.
By moving from manual processes to automation, Coca-Cola was able to reallocate 40% of the team involved in manual and routine reconciliations.
Accountants who want to ensure career viability and succeed in the long term must develop technical competence in the areas of data analytics, data science, business intelligence, and information systems.
The bottom line is that automation is replacing and even annihilating some aspects of traditional accounting, but this is a blessing in disguise paving the way towards affirming the fundamental role the profession plays in the growth and sustainability of business.
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