Where AI and Machine Learning are Impacting Accounting
Technology is instrumental to accounting, but that doesn’t mean all technologies have an equal impact. It’s essential for decision makers to identify upgrades and additions that deliver positive ROI and offer lasting value.
Of all the technologies to integrate with accounting in recent years none have had as big an influence as machine learning and artificial intelligence (AI). The reason these technologies are quickly evolving from common to essential is because they impact key areas of accounting:
- Eliminating Procedural Tasks – Workflows that take a lot of time and human input while still being prone to errors are better handled by automation. Everything from preparing reports to clearing invoice payments is improved by technologies that handle procedural tasks and relieve heavy workflows. Productivity and efficiency have the ability to improve across the board.
- Enhancing Strategic Planning – AI and machine learning scour more data and spot more relevant insights than an army of actual accountants. Identifying important facts, figures, trends, and patterns takes much less effort. As a result, accounting departments are able to fulfill their expanding role as strategic assets.
- Ensuring Regulatory Compliance – The sweep of financial regulations is growing at the same time the size of regulated data sets is ballooning. Preserving compliance is a complex process with heavy consequences for mistakes. When more of the process is handled by AI and machine learning there is less risk of errors and omissions along with less need for accountants to be involved.
- Unleashing Accounting Opportunities – When technologies are handling the most time- and labor-intensive tasks it enables accountants to focus their efforts elsewhere. Looking for improvements and innovations, running complex forecasts, and informing executive decision-making are what the accountants of the near future will spend more time doing. Technology does not replace accountants, it replaces the drudgery of accounting.
- Aiding Communication & Collaboration – Today’s accounting departments must maintain close links with sales, marketing, manufacturing and others. Having access to the right information at the right time is a persistent issue that AI and machine learning are solving. By automating more of the discovery process there is never any doubt that stakeholders from across an organization have access to accurate and up-to-date information.
AI and machine learning have evolved in terms of intelligence and ability, but they have also evolved in terms of accessibility. These tools are no longer bleeding-edge innovations available only to the largest companies with the most advanced IT departments.
These technologies are poised to transform the accounting industry because their impact is broad and deep. They improve on all the key areas addressed above. Plus, they are accessible and beneficial to accounting departments regardless of size or industry.
When you’re ready to explore the impact of AI and machine learning on your accounting department, contact InCloud360.