Robotic process automation has become a rapidly growing concept in a world where the global economy and market climate change in the blink of an eye. Thus, the increasing popularity of RPA technology is considerably impacting the accounting profession. RPA is a new – approach to automation in which the business users like accounting managers are empowered to push automation of daily activities.
Despite the benefits that RPA in accounting offers, some accountants still hesitate to embrace it and fear its replacement. But, in reality, the RPA is seen as an enhancement to the profession, not a threat. With the proper usage and training, this digital transformation in accounting improves their productivity and efficiency while still maintaining their role in the organization.
What is Robotic Process Automation?
Robotic process automation is a broad set of tools for replicating any manual, repetitive process at scale, often by automation of manual work performed on spreadsheets, homegrown, outdated applications, and other systems. Usually, the developers use low- or no-code workflow builders to create steps that constitute manual tasks.
Along with this, they use a screen recorder to record keyboard strokes and mouse movements and cannot write or edit detailed step-by-step scripts that manage the automation logic. Through this automation, the RPA can help the accounting departments improve efficiency and accuracy while relieving staff’s stress to focus on higher-value work.
For example, the RPA program generates automatic invoices based on data entered into companies accounting system. Also, it helps in reconcile differences between two sets of financial data. In both these situations, it helps in minimizing the error and improves efficiency.
Why is Robotic Process Automation Significant in Accounting?
The value of RPA in accounting does not mean replacing humans with robots. Regardless of this, it enables the employee to focus on strategic operations. However, a high level of accounting management is a complex task; whether it is investigating anomalies, determining financial reports, or preparing corporate taxes, all this requires nuance.
Robotic process automation helps the company to complete unskilled tasks without wasting employees’ precious time. The main goal is to foster continuous employee improvement to enhance their knowledge and skills. Accounting offers the perfect environment for deploying an RPA bot to manage this entire task easily.
The Benefit of RPA in Accounting
Instead of the fact that there may be some risk of deploying technology in the business, there are more benefits of RPA in finance and accounting. Let’s see:
1. Value Creation
Robotic accounting enables accountants to focus on productive, value-laden work tasks rather than routine tasks. By adopting this technology, your organization team can master this art and provide high-level finance and accounting solutions to clients and relieve their burden of doing time-consuming tasks.
Proving an excellent service to clients will create a brand image, and on the other hand, employees get an opportunity to learn and develop their skills. Ultimately, this skill upgradation is helpful for both. Like, the employee called the chance to enhance their skill, and the organization can provide value-added services to clients.
2. Intercompany Reconciliations
Intercompany Reconciliation is a significant part of the accounting process, but it can be time-consuming and error-prone. But implementing RPA technology helps automate the process and makes them more efficient and accurate. The Intercompany Hub is a configurable tool that automates intercompany reconciliations based on tolerance levels and identifying exceptions.
Ultimately, it helps in reducing the risk of financial errors, compliance issues, and fines. Additionally, the intercompany hub will help manage growing intercompany transaction volumes and make the accounting process effective and efficient.
3. Competitive Advantage
The value of providing competitive advantage will never be overstated, given how diverse and ever-changing the business culture is. A minor change in cost or creativity will determine whether a business enjoys long-term success or struggle to keep its door open. Due to low integration cost, higher precision, and simple scalability, RPA automation in accounting directly translates to this subtle yet essential benefit.
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4. Save Time and Money
It saves a lot of time and labor as robots manage manual tasks. For instance, if an employee manually manages invoices in different formats and layouts, it is a tedious task. But, if you have a digital employee, it will identify and process various invoice
formats using the software. It leads to the quick scanning of documents for clearance and secured payment invoices to suppliers.
Moreover, the RPA enables you to move from a time-consuming to an efficient value-an added job for the customer. Using RPA in conjunction with professionals who have adapted to the technology will provide value to the customers.
Conclusion
Robotic process automation is a rapidly growing technology for good reasons. It has the power to automate a wide variety of accounting and financial tasks and make the process efficient and accurate. Thus, taking steps towards an accounting and finance career will be rewarding for you. Undoubtedly, robotic process automation is the accounting industry’s future.
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