Technology key to modern accountancy practices

ADAPTING to new technologies is the most important issue facing accounting practices that wish to be successful, according to a poll of Accountancy Age readers.

The poll of 109 Accountancy Age readers, based on ICAEW’s Tomorrow’s Practice initiative which outlined the key areas of change affecting the profession, found that adopting new technologies is the most pressing issue facing firms.

Competition from consultants, professional services firms, and the internet could threaten firms’ position as trusted advisers to clients, while technology has made basic accounts preparation and bookkeeping easier for business.

More than two thirds of respondents said that the advent of cloud technology as the most important development for firms seeking to innovate compared to 11% who cited new regulation, competition and changing client needs.

According to ICAEW president Arthur Bailey, firms must evolve and innovate if they are to survive. “Our members should consider how they will react to changes in the marketplace and provide the added value clients are demanding,” he said.

“This could mean firms specialising in a particular area or providing additional services that make them indispensable to the businesses they serve.”

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