Accountants are known to be "good with numbers," but that doesn't mean they enjoy entering the same data repeatedly into different systems. Like anyone in this world, accountants don't want to be burdened with "busy work" when they could be doing things that actually make use of the problem solving skills they spent years developing.
Over the last 30 years accounting technology has changed significantly. It started with the spreadsheet, but over the last decade or so we have seen an explosion in specialized software solutions that further build on its capacities.
The spreadsheet remains integral because it's the perfect general-purpose tool. This is why it remains an iconic part of virtually every part of the profession, from audit to tax to advisory to everything in between. However, when it comes to additional solutions that increase the ROI on this backbone of the accounting profession, the landscape is incredibly fragmented. The solutions often use different data formats and communications protocols, different interfaces and workflows, different security and compliance requirements and more. Sometimes it can seem like they're all jealous of each other, and don't want the software talking to the other programs.
Because many of these tools don't effectively communicate with each other, it often comes down to the accountant to manually combine these best-of-breed specialist solutions into something that resembles a workable process. This is usually with either advanced data manipulation software or, ironically enough, even more spreadsheets.
Accountants, it's time to expect more from your tech partners
Firms should be demanding a shift from these specialized solutions to an integrated model.
Even with all the technology available today, CPAs still have to re-enter data on a daily basis. This wastes valuable hours and opens accountants up to mistakes transferring data across siloed systems. This has a direct impact on client experience and quality of service — not to mention efficiency!
The answer lies in integrated financial data systems. A "single source of truth" that can be integrated across systems will enhance efficiency, insights and value-added services. No longer should accountants have to remake spreadsheets, run scripts, or even just copy and paste between systems.
Having an integrated financial data environment can benefit audits in many ways. First, there's the fact that they don't need to waste time keying in and reconciling the same data over and over again, which also cuts down on the potential for human error. Auditors gain real-time visibility into financial metrics, which can improve decision making. Having a single source of truth also makes regulatory compliance easier for firms, as they won't need to spend as much time hunting down information. Further, enhanced forecasting becomes easier through integrated historical financials. Such an environment is also a key starting point for future-proofing the tech stack.
Demand more from your providers
This shift can only happen if technology vendors embrace open integration. If we don't see a push for this within the industry, many accountants will be stuck manually sticking together disparate programs that won't talk to each other otherwise, to create something about as agile as Frankenstein's monster.
Rather than building walled gardens, firms need to open their APIs and work together to enable the free flow of data. Many companies, such as DataSnipper, Suralink and Valid8, are embracing integrated ecosystems as it supercharges the capabilities and efficiencies of platforms. The more who join them, the more connected the overall solutions landscape can become, which can only serve to turbocharge efficiency and productivity within the profession as a whole. This benefits not just firms but their clients as well, and isn't that the point of this entire exercise?
With all that's happening with AI, is it too much to ask for our systems to just work together?
