In Pursuit of Profit
Read our expert article below or sign up to get articles sent to your inbox.
Accountants that have been in the industry for decades may find this idea unfathomable because they are used to the regular cadence of time-consuming, stressful closing procedures that never seem to go smoothly. And yet, as automation becomes ever more prevalent in accounting and finance, the traditional bookkeeping role is becoming largely replaceable by software, taking with it some of the tediousness and historical pain points that have traditionally been a hallmark of the industry. Will a manual month-end or year-end financial close soon become a relic of the past?
As such, improving accounting close has become a main focus for many accounting teams over the last several years as business demands have grown and hiring qualified accounting staff has gotten more difficult.
Strategies to improve close can focus on making your accounting close faster, more accurate, or less painful… and, if you do it right, all three!
For companies lagging behind, the financial cost of taking an extra 20 days to close their books can be steep, and for companies performing on par with the industry, the financial benefit of reducing their work by 10 days can be a huge advantage.
The pandemic caused innumerable business obstacles, and among all the added barriers, accounting-related woes have emerged as a universal challenge.
Every day we talk with companies that are fighting the good fight to keep up with their daily accounting demands amid pandemic-related complexities. And while each business has a unique story, what we are hearing in the way of accounting challenges is starting to become predictable. Whether the pandemic has increased or decreased revenue, the common threads that unite companies these days are more work, staffing problems, late and messy financials, a lack of accurate and actionable information, and budget issues.