Digital and Collaborative Accounting, a new efficiency model

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Accounting has evolved a lot over the years. The work model of Accounting and Management professionals has gone from manual methods of processing all types of paper documentation to a digital and collaborative accounting paradigm .

The traditional model presented a number of challenges that are easy to see, such as the ease with which documents could be lost, misplaced or accessed late, requiring long hours of work to be able to report accounting information to the State in a timely manner. In addition to this, there were also endless hours spent ensuring that all the information contained in these documents was entered correctly, not to mention errors and mistakes when entering data, as we all make mistakes at some point. And it is no wonder that this happened, as this task required absolute concentration to ensure that the numbers added up.

If we stop to think about it, the work of an accountant who still works in this jamaica whatsapp number database model is very demanding. The focus must be total and the amount of work is immense . And worse, to ensure accuracy and productivity, a superhuman effort is required.

Fortunately, the digital age has arrived in the accounting sector and these professionals can now effectively put all their knowledge and skills to work in management because technology takes care of the "paperwork". This is the main virtue of the digital and collaborative accounting model.

Traditional accounting versus digital and collaborative accounting
The daily routine of being "drowned" between cash register receipts, paper sales tickets , handwritten checks and journal entries and ledgers is over! Of course, since the 1980s, processes have started to change. Software for small and medium-sized businesses has become popular, allowing entrepreneurs and accountants to deal with accounting tasks more easily, but still with a high bureaucratic burden related to the manual processing of documentation.

We were all already familiar with the term digital transformation and all its advantages, or even its necessity, but in 2019, digitalization appeared as an inevitability announced in the form of a pandemic. More than a global public health challenge, COVID-19 represented a global digitalization challenge for all companies. There was an urgent need to accelerate this process of change to digital and we all suddenly became familiar with collaborative technology, with no time for resistance to change, which allowed teams to work together, even remotely.

In the accounting and management services sector, this need has also become imperative. Yes! Because if we think clearly, the accountant is part of a company's management team , even when the service is provided on an outsourced basis. The accountant is not just the "tax assessor", he can and should be much more, as he is the one who has the greatest knowledge about the financial area of ​​his client companies.

But this role of financial consultant for client companies can only be carried out efficiently if there is technology that frees the accountant from the basic functions of entering documents, calculating taxes, reconciliations and other operations.

Technology that supports the digital and collaborative accounting model
Cloud Computing, Artificial Intelligence , Big Data and Machine Learning are some of the technologies that allow companies to transform digitally and are the ones that are at the basis of the creation of this digital and collaborative accounting model.

The role of Cloud Computing in the digital and collaborative accounting model
Cloud Computing , which refers to the process of maintaining, storing, managing, processing, analyzing and securing data through the exploitation of a network of Internet-based servers, is the key to this model of digital and collaborative accounting that is now emerging with great vigor.

Data is not stored on physical devices, but in the cloud, which helps companies streamline processes, improve productivity, optimize costs and enhance the digital customer experience. Migration to the cloud and its benefits have long been known, and it is the driving force behind this digital and collaborative accounting model that connects accountants and managers on the same platform, promoting real-time collaboration.

The role of Artificial Intelligence in the digital and collaborative accounting model
Artificial intelligence (AI) is the collection of multiple technologies that enable machines to sense, understand, operate, and learn on their own. It is based on the principle that human intelligence can be defined in such a way that a machine can easily imitate it and perform tasks , from the simplest to the most complex.

AI's goals include imitating human cognitive activity, and it has been recognized as one of the central facilitators of digital transformation in various sectors, freeing professionals from the most diverse areas from repetitive, routine tasks that do not generate added value.

And this is where AI comes into play in the digital and collaborative accounting model. Through intelligent mechanisms, it allows repetitive tasks to be carried out autonomously, patterns to be detected and errors or failures to be alerted, promoting speed in repetitive operations and data accuracy.

The role of Big Data in the digital and collaborative accounting model
Big Data is a term that describes the large volume of data - both structured and unstructured - that floods a company on a daily basis. But it's not the amount of data that's important. It's what organizations do with the data that matters.

In the digital and collaborative accounting model, Big Data plays an essential role, as through correlation mechanisms between various data sources it allows the automatic generation of business insights that lead to better decisions.

Basically, Big Data is the main fuel for AI . An AI system needs to learn from data to perform its function. Machine Learning is a branch of AI focused on building applications that learn from data and improve their accuracy over time, without being programmed to do so.

In data science, an algorithm is a sequence of statistical processing steps. In machine learning , algorithms are 'trained' to find patterns and features in large amounts of data in order to make predictions based on new data. The better the algorithm, the more accurate the predictions and the better the data the system provides to help managers make better decisions.

This combination of technologies has made it possible to create a digital and collaborative accounting model, where routine operations are automated, data is integrated in real time and made available immediately, both for business owners and accountants, and predictive information helps both in conducting business.

ROSE AS is an excellent example of how this combination of technologies results in a collaborative and intelligent cloud management platform , which materializes this new work model based on digital and collaborative accounting, which generates advantages for both managers and accountants.