In today's rapidly evolving financial world, the role of the accountant has undergone a remarkable transformation. It has surpassed traditional financial reporting, with a growing emphasis on providing value-added services to clients and being a trusted advisor. This evolved role requires expertise in complex areas.
To excel in this profession, accountants must embrace the power of collaboration with clients, technology and regulators to offer a holistic advisory service. They need to understand their clients' unique goals, challenges and aspirations. They need to leverage the latest digital tools to improve their efficiency, accuracy and data analysis. And finally, they need to find ways to stay informed about evolving regulations to keep clients in the know and ensure ethical, compliant practice.
Underlying all of this is professional development and adaptability. As the world changes, accountants have to continuously stay on the learning curve and at the forefront of industry changes, being adaptable to new technologies, changing client expectations and the latest regulations.
The shift to 'advisory services'
What has driven the evolution of the accountant's role from traditional tasks towards a more advisory service?
The primary reason is technology. The emergence and integration of accounting platforms, automation technology and AI has meant there is less onus on accountants to carry out manual data input and compliance tasks. This has freed up accountants' time and resources to focus on higher-value activities, such as building client relationships and offering strategic advice. These platforms produce a vast amount of data and insights, so rather than create such insights, accountants are in a position to analyse them.
There are also social and personal reasons. Technology has changed expectations across society and, in the accounting world, it is far easier for individuals and businesses to use technology for their basic accounting needs. As such, clients now expect accountants to offer them advice, instead. There is also a growing societal impetus on creating more work-life balance in a profession that has historically lacked it. In this area, technology has helped to substantially ease the workload burden.
Finally, accountants might be driven to differentiate themselves in the market and engage in more stimulating work. This shift also allows them to develop technical and advisory skills to support their career growth.
The need for tech and data
To be advisors, it is crucial to have access to technology and data. Through improved efficiency and data insight, accountants can elevate their services for clients to offer the best advice.
And it works both ways: To get the most out of their data, accountants need to use their expertise to provide the best insight based on understanding their clients' bespoke needs. As such, forming strong relationships with clients, building trust and establishing the most effective ways of communication allows accountants to provide tailored solutions and assist clients in making informed financial decisions.
Furthermore, the latest advancements in artificial intelligence mean accounting platforms themselves are going beyond their automation role to provide data insight and analysis. Humans (a.k.a., accountants) are there to make sense of the data, further analyse it, and choose which insights are best to act on. The speed of AI's progress is currently playing a significant role in accounting, shaping how accountants collaborate with clients both now and in the future.
Regulating service
Accounting and tax regulations are constantly being reviewed. With standard-setters amending accounting regulations periodically, accountants need to make sure they know when such changes take place.
This is where connectivity between the trio of technology, clients and regulators is apparent. Technology can ensure that data is compliant and meets standards; accountants can inform clients of said regulations and provide compliant data; accountants can work with regulators to follow rules and address any issues with current regulatory systems.
With businesses operating in complex and global environments, the need for specialised financial and compliant advice has grown. Accountants are now better positioned to offer guidance on international taxation, cross-border transactions and the regulatory compliance that comes with this.
Finally, as businesses face increasing scrutiny for ethical practices and transparent financial reporting, accountants play a vital role in ensuring compliance and maintaining public trust. This, in turn, emboldens their own reputation and relationships with clients.
The greater the connectivity, the greater the service
Tried and tested accounting methods still hold their place. But as technology, regulations and client expectations continue to evolve, accountants must do the same to stay at the top of their profession. They are no longer expected just to carry out traditional financial reporting alone, but to provide value-enhancing services and advice.
Connectivity is what underpins much of the modern working world. The greater the connectivity between clients, tech and regulators, the greater the service accountants can provide.
