Tech-savvy accountants in demand
Embrace digital-first mindset to gain competitive edge
THE Covid-19 health crisis has moved the needle on Malaysia’s digital transformation journey, causing businesses and organisations to kick their digitalisation efforts into full gear.
Various reports have shown that such efforts have contributed greatly to the growth of the country’s digital economy, with rising demands among Malaysians for e-commerce, e-wallets and cloud storage.
According to Fintech News Malaysia, the enforcement of the movement control order saw a surge of three million new mobile banking service subscribers last year, as well as increased e-wallet usage.
To further support the growth, Bank Negara launched a digital banking framework, as well as five digital banking licences, last year.
This goes to show that digitalisation and its impact on various business aspects will continue to be an upward trend.
This rapid acceleration in digitalisation is further validated through the Malaysia Digital Economy Blueprint (Mydigital), which charts the growth trajectory of digital economy in the country.
The initiative was also established to expedite the nation’s efforts in progressing as a technologically advanced economy.
With most industries embracing the digital revolution, how has the accounting sector transformed to keep up with the times?
The accounting sector is no stranger to the adoption of technology as it has replaced analogue tools with their digital equivalents.
The financial sector is also no longer restricted to nine-to-five jobs or regular bookkeeping, following the introduction of fintech services like mobile payments, e-wallets and insurtech.
The introduction of tools like blockchain is set to elevate the accounting profession by offering strong protection of clients’ information, thus making fraud and the lack of trust a thing of the past.
Although technologies like this may still be new to some, it is important to note that accountants can rely greatly on blockchain to meet the demands of clients and offer a wider range of services.
Matching the intensity of this rapid acceleration with the nation’s mission towards international competitiveness, the accounting sector will need to adopt emerging technologies like cloud computing, artificial intelligence, data analytics and cognitive technology.
As part of the Mydigital initiative, the government aims to instil a digital-first mindset to ensure Malaysians gain a competitive edge and are able to make informed decisions.
Everyone is moving forward, and the accounting sector has to keep up. Not only will these technologies improve efficiency, but they will also enable the processing of vast volumes of data.
The future of the accounting sector will greatly be dependent on those who are technologically and financially savvy as they will be able to provide valuable insights, and assist senior leaders in making informed decisions based on data and analysis from accounting units such as auditing and taxation.
It is no longer an option but a requirement for accountants of tomorrow to be of impact in the workplace.
The Asia-pacific region is home to more than 6,000 fintech startups, and the global fintech space will not be slowing down anytime soon.
Accountants can no longer think that their role is limited to preparing ledger accounts and performing other conventional tasks.
Manual payments and invoices will be brought to pass as cloudbased accounting, blockchain and accounting software solutions will be adopted due to their ability to manage risks better and improve efficiency.
It is vital to ensure that future accounting graduates have sufficient knowledge of information technology and are provided with the right infrastructure to enable this shift.
In fact, 82% of accountants have stated that clients demand for more detailed insights into their finances to be provided through a wider range of service offerings.
It is safe to say that fintech will continue to impact the accountancy practice through better insights into forecasting and analysis, as well as cost-effective services.
Truly, fintech is the future of the accounting sector. Are we ready?
Assoc Prof Dr Nor Shaipah Abdul Wahab is the acting head at the School of Accounting and Finance in Taylor’s Business School. Taylor’s Business School is the leading private business school in Malaysia, based on the Quacquarelli Symonds (QS) World University Rankings by Subject 2021. The views expressed here are the writer’s own.