Future Trends in Accounting to Watch this 2018
The year is coming to an end and 2018 is just around the corner. The past year has brought a lot of progress in the finance and accounting industry. Technology has changed the way we do accounting tasks – it has made the processes faster, more accurate, and cost-effective for everyone. With the developments made in 2017, everyone is excited about the future trends in accounting to be seen next year. As a sneak peek to quell your excitement, here are accounting industry trends to expect in 2018:
In 2017, we saw the potential of machine learning and artificial intelligence (AI) to transform the way we do finance and accounting tasks. Basic errands such as bookkeeping and data entry has been automated, while more complex processes such as big data analytics can now be done efficiently with the assistance of artificial intelligence.
With such tremendous advancements in the use of AI in accounting, we can only expect machine learning to be better in helping us do more by 2018. Some of the things that we can expect from AI are faster expense auditing, simplified payment processing, and lower financial risks.
2. Blockchain will change how accounting software are designed.
As discussed before, blockchain technology allows digital information to be distributed, but not copied. It opens a continually shared database that is updated continuously as transactions are made, and values are traded. Since the records are shared and not kept in a single location, it is harder for hackers to corrupt the data, and easier for users to verify and access the information that they need. This makes blockchain technology one of the current trends in accounting industry that everyone talks about.
Due to the many advantages of using blockchain, accounting software providers are seen to design their upcoming offerings to maximise this technology. This development will increase data security, and will reduce redundant verification steps.
Millennials are not just entering the workforce, they are also putting up businesses and are slowly taking the higher seats in the corporate world. They are changing the business industry, together with the way service firms normally provide their offerings. Traditional methods will not please them; they want to be more involved in the processes and they appreciate transparency above all. Millennials are information gatherers: for them, important decisions should be based on facts and data. Finally, they grew up in an age when people communicate faster than ever before. Millennial clients will expect you to answer their queries as soon as you can.
As more of them put up their businesses or move up and become decision makers in their respective organisations, service firms like yours must adapt to their expectations, and be able to address their needs at the same time.
There are many more future trends in accounting that will rise this 2018. Some will eventually surprise us, but we are sure that next year, the finance and accounting industry will grow more in ways that we can’t put a limit to. The important thing is to have the capacity and the motivation to adapt to changes and maximise the opportunities that may come to your business in the coming year.
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