Death of Traditional Accounting
Automation is the new wave that is taking the world by storm. It is also taking over the field of accounting as the ability of the business accounting software is so much superior to the old way of doing financial tasks that traditional accounting has become obsolete.
Cloud accounting software allows information to be stored virtually and this helps the accountants to easily access the data and the reports. This is the reason that accountants have switched to cloud services and tools like Business intelligence in order to serve their clients in a better way.
This has brought the whole world to enter into the new era of accounting that is fully digital and connected that aims at minimizing the errors and increasing the efficiency of the accountant to gain more profits and benefit clients in a myriad of different ways.
It has rightly been said that ‘time is money’ and it goes well with the accountants who are the backbone of a company. With the use of Business intelligence, a lot of things get simplified as it helps in extracting important information from large volumes of data directly from our accounting system. This empowers the accountants to optimize the efficiencies.
It is a solution that would help the companies to:
The accounting business is improving day by day and the companies are using business intelligence software to improve their working with their clients.
Going further when a finance professional or an accountant is given the task of planning and predicting results, then the challenge that comes their way is to pull data from all sources and come out with the result that makes sense.
The present accounting and finance experts must figure out how to address and comprehend an ever-changing business condition. Business intelligence is important for this professional’s success.
BI amalgamates data from different sources and permits people to:
To optimize investments BI tools become very crucial for accountants and financial professionals. These tools also allow an individual or team to be proactive and improve decision-making. In order to succeed, and to gain a competitive advantage over the business rivals, good planning and results must be on target.
Business Intelligence solutions can also be very helpful in extending a helping hand in auditing, regulatory compliance and procedures, and controls. It ensures that legal, financial and regulatory policies and procedures are followed and that compliance is effective.
Accounting firms have upgraded themselves from traditional spreadsheets, confusing rows and columns to Business Intelligence software. The accounting data is transformed and analyzed with minimal user input and thus, is less prone to errors.
There is a growing use of business intelligence software by the accounting firms to improve operational efficiency and provide a more satisfying experience to its customers.
Reason #1. BI enables accountants to use their time more productively. This can be done by removing the manual element of data analysis from the job. In spite of doing the tasks manually, things are automated. Essentially, it makes them financially free by empowering the stakeholders so that they can make the best possible decisions for the business.
Reason #2. At times, being part of the day-to-day operations of the business makes the accountants move away from the overall objectives and goals. These objectives and goals are crucial in making the business move to the next level and make a big leap. Using Business Intelligence helps in bringing the accountants to those goals. For example one of the key metrics is to ensure our debtors are maintained for thirty days, and the BI tool helps in identifying those slow-paying debtors and catch them.
Reason #3. The Business intelligence empowers the accountants to draw conclusions from volumes of data available in no time. It is because of the fact that BI gives flexibility and feasibility to customize and manipulate the reports. It helps in analyzing the reports easily and in a simpler manner. It also gives the accountants the opportunity to customize the reports to ensure that they adhere to the brand identity. In addition to it, by gathering data on invoices, expenses, and costs an accounting firm can easily identify different cost control measures that are vital to your client’s business.
Reason #4. Business Intelligence has helped to create dashboards that in turn assist effectively in the analysis of product and revenue. Having that edge allows the accountants to drill down the revenue-generating products and to bring the focus on ways of improving the products that are in slow-selling lines.
Reason #5. Business Intelligence plays an important part in developing and monitoring key performance indicators. BI allows accountants to cut down the amount of time they spend generating KPIs by creating formulas allowing them to keep a stronghold on the pulse of the business and making it easy for them.
Reason #6. BI helps the accountants to present the data using visual and reports that are easy-to-understand for their clients. This helps the customers to monitor and analyze financial results on a periodic and ongoing basis and understand their financial health. At the same time, they can have access to all data at a glance.
These are 6 major areas where Business Intelligence tools offer benefits and improve decision-making and analysis of data in an organization. With these simple tools, financial teams can bring about a big change in the company. It significantly improves planning, problem-solving and analytical capabilities with this tool. BI is designed in a way that is practical and accessible to every business user and finance and accounting professional. Business Intelligence tools supportive of accounting and financial systems bring dependable analysis and effective and accurate decision-making that results in the overall growth of the company.