The Role of Cloud in the Accounting Industry
Automation has been changing and impacting every sector and profession for the past few years. While the banking and financial services industry is an early adopter, the accounting industry is also affected by this dramatic shift. Automation and artificial intelligence are changing the accounting profession. Many routine tasks such as tax return preparation, jobs and billing management, and client document management are increasingly automated. Today, the key driver behind technological change is cloud technology.
There are several differences between cloud accounting and on-premise accounting software. First, unlike traditional software that ties a user to a single desk, the cloud allows you to work from anywhere at any time and improves workflow efficiency. Cloud technology provides firms with flexibility. Being able to access real-time data regardless of location or device should be every accountants dream.
In a recent survey conducted by Wolters Kluwer, 89% of our clients using CCH iFirm Tax chose it because it’s a cloud-based solution. The need to access returns from anywhere at any time has increased in importance in the modern age. This provides employees to be more flexible in their work practices. There is no need to handle all your tax returns from one computer or server, when you can have multiple users access a cloud-based software at any time.
Second, with traditional on-premise software your firm’s workflow is frequently interrupted by the need to update or back-up multiple programs. In addition, on-site security requires constant vigilance. By adopting a cloud-based solution, you can be assured that sensitive information is stored off-site, in a locally hosted data-center. By moving your data to the cloud, you will be meeting government compliance requirements.
IT related expenses to support on-premise software can also have a significant impact on your bottom line. With a cloud-based solution you have a lower total cost of ownership, no expensive servers, no install, and no need for backups. It’s always up-to-date.
74% of our clients, from our survey, stated that their working process has improved by at least 5 minutes per return. Now if you calculate the number of returns you complete multiplied by five minutes per return, you can imagine how much time you are saving.
David Simmonds, a customer that has been using our cloud-based tax preparation software, CCH iFirm Tax, estimated saving about 15 to 20 minutes per corporate tax return.
“The platform eliminates some big steps and streamlines the overall process. That time saving is significant. If you have 100 corporate tax returns, a couple of thousand minutes adds up to a pile of hours. And during tax time, every hour is precious.”
Advance your firm by adapting cloud technologies. You can also start saving time and automating your workflow with our cloud-based workflow management software, CCH iFirm. Learn more here.