Over the past decade, there have been several changes in offering accounting services in Malaysia — with technological advancements and an increase in the number of accounting firms around the world.
All these firms are always on the lookout for new or improved trends to incorporate in their firms to stay on top of their game and be ahead of the competition.
Running an accounting firm at a time like this, with all that technology, means data will be processed faster and easier. Therefore, you should be aware of what’s currently working and what will be working later to choose the best strategy for your business.
Here are the accounting trends to look forward to in 2020.
1. Automated Accounting Processes
More accounting processes are becoming more automated. The automation of these processes takes away the confusion and reduces or eliminates errors in the process. Because of this, accounting firms are now investing in automated solutions for their business.
Since the automated process depends solely on computers, businesses are open to fraud and compromised security. However, these challenges have increased the demand for internal auditors to check for inaccuracies in the process.
As a result, there’s no need for in-house accounting services in Malaysia to worry about being replaced by computers.
In 2020 and beyond, automated accounting systems will take over the industry, and guide accountants in arriving at data-driven decisions faster, along with profit improvement.
2. Rise of Accounting Software Solutions
The addition of technologically-driven solutions in the accounting world will intensify in 2020. Because the demand for computerized accounting will grow, accounting software companies will satisfy this need with robust solutions.
The software offers a wide array of functionalities, including those that accountants value the most, such as optimizing accounting processes and reducing manual tasks.
There is a strong demand for software platforms to manage spreadsheets and have a better understanding of tax management around the world. It is predicted that the accounting software market will grow at a CAGR of 8.5% between 2019 and 2024.
The software will also help accountants who offer tax advisory services provide better tax solutions for their clients.
3. Cloud-based Accounting
In recent times, the cloud has become a popular space for the accounting industry, as well as other industries. With the introduction of cloud-based accounting systems, firms can access their data at any time. Data access also includes tracking inventory, sales, and expenses.
In 2020, more accounting firms will adopt the cloud-based accounting system, which also allows for the creation of workflows, thereby saving valuable time for accountants.
Having these benefits will drive businesses to make the shift to cloud-based accounting systems. The cloud-based accounting system will make for a more effective and comprehensive financial reporting and analytics.
4. Utilizing Social Media
The use of social media encompasses different industries, including accounting. Social media helps to increase brand awareness, sales, and drive traffic to your website.
Accountants have discovered that social media is a powerful branding and sales tool that boosts exposure and sales while demonstrating their expertise.
In 2020, an effective social media strategy will contribute tremendously to the profitability of any accounting firm in Malaysia. The social media platforms like Facebook, LinkedIn, blogs, and community forums will help firms keep in touch with clients.
Social media also helps accounting firms monitor what competitors are up to and learn new industry trends.
5. Real-time Connections
2020 will be a year when accountants will connect with their clients in real-time and also enjoy greater security, transparency, and accounting services in Malaysia, using their company App.
Also, recording transactions that usually would take hours or days will now take minutes or seconds. And, if there’s a change made by one party, it will be updated in real-time for everyone with access to see.
Additionally, using digital tools like mileage trackers offers the perfect first step in engaging clients with digital technology, keeping the clients and accountants connected.
For instance, the tracker will automatically detect a trip so that the accountant’s App on the client’s phone tracks his movement. It means that there will be less chasing for the client’s business mileage when compiling the end of the year tax return.
Also, the details of the trip can be sent to the accountant with one click of a button or via email as an attachment.
Do you wish to find out how automated accounting can help to leverage your business and increase your business competitiveness in the long run? Take a look at all the services we offer or get in touch with us to know more.