Automation in the workplace is an opportunity, not a threat
The recent rise of ChatGPT has resurfaced questions about the role of AI and automation in the workforce. In particular, there are concerns about whether it will affect specific industries and take over people’s jobs – the accounting industry included.
While these concerns are reasonable, automation can actually play a much more empowering role for employees. AI and automation tools have the potential to transform certain jobs – including accounting roles – and allow employees to work more efficiently with better personal and professional outcomes.
Why accountants should love automation
Perhaps the most important selling point for automation in accounting is that it allows accountants to be strategic.
First, automation takes on the tedious tasks that typically dominate accountants’ day-to-day experience. In fact, IMA and Deloitte found that controllers in the US spend nearly 70% of their time on the job performing manual tasks, such as closing the books. But once automation is implemented, robots can take over these tasks and give employees more time back—an estimated six or more hours a week even.
Second, automation can provide companies with more accurate data and insights. Typically, manual business processes are prone to human error, and tracking down these errors from manual entry wastes valuable time and money. When automation is implemented, it can create thousands of records in seconds, and machine learning algorithms can systematically identify anomalies in datasets and correct them.
Between automation’s ability to take on mundane tasks and extract valuable data, accountants have an opportunity to be more strategic—an aspect of the job that many accountants love but don’t often get the focus of—and play a bigger role in organizational operations . .
Additionally, another reason accountants should love automation is that it helps create happier and healthier employees. In fact, a study by Tradeshift found that workers who have incorporated automation into their daily tasks are more satisfied at work and more optimistic about their careers, and a study by FloQast found that people who use automation report significantly lower levels of burnout and better work. – balances life.
Finally, as fewer individuals join the accounting profession—enrollment at James Madison University’s School of Accounting has fallen 34% over the past four years and CPA firm hiring of accounting graduates is also down 30%—there simply aren’t enough people in the industry to handle all the work. Automation is badly needed. Accountants are already burning out, and without automation the situation will become significantly more serious.
How accountants and automation work together
As automation becomes more ingrained in the workflow, tactical knowledge may seem less relevant. However, businesses will continue to rely on accountants’ “under the hood” knowledge of finance and related processes to guide organizational strategy.
This type of tactical knowledge means having a comprehensive understanding of the systems being automated and the concepts behind mundane tasks such as reconciliation or closing the books. Automation will reinforce this knowledge – although it can take over the day-to-day data entry and tasks, accountants are still needed to interpret the data, decide what is important and use insights to make strategic decisions and trigger change. Ultimately, AI in its current form isn’t capable of looking at the outputs it’s created and making a calculated decision about how that data should drive the company forward—that’s for a human to do.
As more companies implement automation, accountants can ensure they not only keep their jobs, but unlock the true potential of their automation tools by staying sharp on the fundamentals of accounting skills and processes.
Sees automation as an opportunity
Clearly, as long as accountants remain strategic and forward-thinking, automation can be a useful tool to have in their arsenal – it can help employees produce better work, maintain a more positive work-life balance, and ensure that business data is accurate and useful .
Furthermore, if you’re still on the fence about whether employees will be excited about the increasing speed of AI implementation, a study conducted by ADP recently found that over half of modern employees feel positive about replacing repetitive work with automation.
The time has come to embrace automation as a tool that can help employees – and businesses – see greater success. It’s not a threat, it’s an opportunity.
