The future of accountancy – and it’s not what you think!

Accountants and finance professionals have always had a privileged position both inside and outside organisations - whether as finance directors, outsourced consultants or bookkeepers. Now, as we enter one of the most unpredictable economic environments for decades, this group of people not only have control over finances but they may also hold the keys to unlocking the very future of business. Going back to Victorian times, commerce has always been framed as a series of numbers on a ledger or spreadsheet which are then presented to a client as a set of accounts. Even with the advent of Excel as well as accountancy software such as Xero and QuickBooks, accountancy still focused solely on basic variables such as turnover, balance sheets, cashflow, tax and P&L. However, with increasing use of fintech software and artificial intelligence (AI) to streamline many of the above processes, many forward-thinking finance professionals are now turning their attention to other areas of business which can utilise their data analysis skills such as monitoring online performance, monitoring trends on social media, tracking competitors and even business consultancy. At the same time, as we enter an increasingly digital and environmentally unstable world, there is a real need for accurate, real-time data so that senior management teams or business owners can make the decisions needed to remain both competitive, legitimate and importantly, sustainable. Indeed, given the ambitious Net Zero targets set by governments worldwide and the need to tackle the Climate Crisis, it simply won’t be possible to pay lip service to ESG (environmental, social & governance) targets. They will have to be regularly tracked, analysed and reported on. To this must be added proper Anti Money Laundering (AML) policies and procedures. These play an increasingly crucial role in combating financial crimes and protecting the integrity of the global financial system. With their analytical knowledge, ability to process data and understanding of basic business management, modern accountants should be perfectly placed to meet the needs of this new business environment. Many are now developing a broad skill set that includes financial acumen, data analysis, strategic thinking as well as both sustainable and ethical decision-making. Using the latest software, they should be able to create dynamic dashboards which can bring in a range of different data sources, presenting this in an easily-digestible fashion. However, it goes without saying that continuous professional development (CPD), networking and staying abreast of industry trends will be crucial for success in this evolving new field of business intelligence. That’s why membership organisations such as the Institute of Accountants and Bookkeepers (IAB) recognise that the modern finance professional will need to embrace lifelong learning if they are to keep pace with this changing commercial marketplace. Those that don’t, will fall by the wayside or find they are replaced by an app, a piece of software or a younger, more nimble competitor. Celebrating their half century this year, the IAB are passionate about helping to educate, inspire and lead existing practitioners as well as the students and finance professionals of the future. They place huge importance on both CPD as well as AML regulation as pre-requisites of membership. With thousands of accountants, bookkeepers and students in the UK and across the world including India, Malaysia and the Middle East, the IAB works hard to ensure that its members have both the tools and the mindset to prepare themselves for the next 50 years.