June 2011

You are currently browsing the monthly archive for June 2011.

“The Accountancy Revolution”, Second in a 6 Part Series

June 14, 2011 by thriveal | 11 comments

The Accountancy Revolution has begun and it’s exciting!

The first part of this exciting change I noted in the first post on this topic is the “rapid technological means of data creation and production” that we are seeing change our profession.

As noted, the changes we are experiencing are rapid.  Unlike my past history in this profession, the changes are almost difficult to keep up with.  To stay abreast of the new software and the new methods of accounting data manipulation are setting apart the accountants who can keep up with it… and those who can not.  And those that benefit are the client, if we decide to take it to them.

Note that accounting data creation is becoming a result of bank feeds, automated server calls and intelligent API design.  We are moving away from the need for accountants to manipulate accounting data and seeing more intelligent computers take over.  This change probably brings fear for some of those in the profession.  But I find it intriguing!

First of all, it can’t be stopped.  Second, these changes are going to be catalysts to push our profession to stop doing accounting and begin offering services that other professions can’t offer.

We can now focus on developing our design expertise on the client’s business process, education towards more effective ways of operation within their businesses and developing key metrics and business intelligence for the client.

So don’t let these rapid changes of managing technological data scare you.  Instead, let them be an impetus toward higher service in our great calling as business specialists!

 

 

“The Accountancy Revolution”, First in a 6 Part Series

June 2, 2011 by thriveal | 14 comments

Samuel Slater (1768–1835) popularly called &qu...

Image via Wikipedia

My family and I have enjoyed our time in the nation’s capital mooching from all of the free museum visits we can fit in between Uno’s pizza and screaming kids.  I’m of the age now that I like learning about our history.  I noted the exhibit about how our nation has changed over the years, particularly the one about the Industrial Revolution.  The one where there were such economic, mechanical and technological improvements in our country that artisan owners became business owners (Samuel Slater was the freakin’ master).  That is, instead of directly creating their craft (horseshoes, cotton blankets, etc.), those that owned the means of creation (like a mill) became business owners that managed their mill and it’s people.  And they could now own more than one mill, and continue to manage their resources effectively towards greater profit.  But they needed help – thus, the Manager was born, the individual that assisted them in running their plant, managing the output, the people and the quality control.  The middle class is a result.

Some had the foresight to see what this technological and economic upheaval would become.  Some took advantage of the change and prospered.  Some didn’t like change, and the change ultimately ran them over.  Some look back, while others look forward.

What would you have done had you known what these technological changes would have brought?  Would you be the dissenter or the one pushing the change?

Well, here is a warning for you: there is a similar change happening before our eyes in the accountancy profession, and it is affecting the whole world.  Here it is:

Rapid technological means of data creation and production are allowing the former manual manipulation of raw accounting data to disappear, forcing the profession of accountancy to be redefined towards enhancing and developing internal business processes which will ultimately become digital conduits of paperless productions of varied financial reporting.

Huh?

There are five distinct aspects to this change noted in the quote above:

1.  “Rapid technological means of data creation and production…”

2.  “…allowing the former manual manipulation of raw accounting data to disappear…”

3.  “…forcing the profession of accountancy to be redefined towards enhancing and developing internal business processes…”

4.  “…which will ultimately become digital conduits…”

5.  “…of paperless productions of varied financial reporting.”

 

Stayed tuned for the dissertation.

Enhanced by Zemanta