Playing a vital role in tax matters, accountants ensure that companies comply with regulations and laws, an indispensable factor that machines will have a hard time replicating. So, it is safe to say that the role of the accountant is not dying or obsolete in the age of digital transformation, it is simply changing.

To stay ahead of the game, accounting professionals need to be aware of the upcoming changes. In fact, we are already seeing the impact of the transformation that this sector has undergone in recent years.

The death of lower-level jobs

Some roles in the accounting profession, such as those involving data entry, have been lost to technology.

With businesses needing tight control of their finances in today’s economic climate, we’ve seen strong demand for several positions, including accounts receivable, credit checking, accounts payable, and credit analysis. As the economic downturn continues, organizations will continue to prioritize work over costs, analysis and forecasting, creating a need for both analytical accountants and financial planning and analysis specialists.

The accounting industry continues to find ways to streamline systems and processes. From an efficiency perspective, many companies are looking to adopt shared service centers for their accounting functions.

Although accounting firms may in the future be downsized, there will be plenty of opportunities for those whose jobs may be at risk. Employers can upgrade their existing workforce to help sustain the organization by focusing on process improvement, cost control, and capital optimization.

Accounting professionals should not view technological developments as a threat to their work, but should view them as a new opportunity to improve their skills.

The skills gap that MTD drives

When it comes to the role that Making Tax Digital (MTD) will play in the accounting industry, it is clear that tax software is unable to give personalized advice and hence accountants are always needed to help when business matters. complex tax matters are at your fingertips.

Financial professionals perform more complex tasks that technology will struggle with, such as understanding multiple tax laws in various jurisdictions. Consultants also perform more complex qualitative work, such as providing advice on tax planning, discussing transactions, reviewing client goals, and more.

Therefore, the human element will always be necessary in finance, even in the face of advanced technologies like artificial intelligence (AI). Computers take a long time to learn and understand patterns from the large volumes of data they process. Today’s systems are still not very flexible and require a lot of data before they can operate effectively.

This means that the skills needed in the industry will focus on the irreplaceable “human” element. Accountants will need to start developing soft skills in addition to those traditionally valued in accounting, including becoming familiar with tax software.

These general skills will include communication, cognitive or emotional empathy, time management, teamwork, and leadership traits. Specifically, for accountants this will also include strong analytical skills, as it is increasingly important to be able to analyze a large amount of data.

In addition, according to the World Economic Forum Jobs of the future 2020 report, the key skill and skill groups that employers see as increasingly important by 2025 include such things as critical thinking and analysis, as well as problem solving and job skills. self-management such as active learning, resilience, stress tolerance and flexibility.

There is also a growing demand for data analysts, data scientists, big data specialists, digital transformation specialists and IT departments – roles in which accountants have transferable skills to evolve if they wish. improve their skills in another sector.

If businesses are to survive, adopting BAT technology and accounting will be to their advantage, provided they ensure that employees have the relevant skills that the technology cannot fill.