Blockchain is the next giant technological leap and will eventually become a necessity and globally ubiquitous just like Internet. In fact, we are still in the initial phase of understanding and exploring this technology’s full potential. And therefore, the conversation around Blockchain is continuously evolving in every industry. The technology is revolutionary for its ability to change the workflow of most dominating fields. One of them is accounting industry, preparing itself for a radical change. Let’s understand how Blockchain for accounting can be a threat or opportunity.
Exploring the Unending Opportunities
What would happen if Blockchain and accounting is assimilated? But before counting the detriments and benefits, let us understand accounting industry’s dominant issues.
Constant Changes in Tax Regime
Accountants cannot control government laws and policies. All they can do is understand, adapt, and implement latest changes in their work. Hence, it is vital to remain up to date to serve the needy and meanwhile maintain the reputation.
Meeting Deadline with Accuracy
The task is daunting and delivering performance on time is an achievement in this field. Accountancy is all about client service delivery and a single error can put the business out of track. Gaining reputation is a hard-earned job and this industry works carrying reputation constantly on risk without any delay.
Managing and Growing Business
Deadlines, service delivery, adopting new policies constantly as well as performing diligently without killing yourself. Then, you are supposed to grow and innovate as well without fail to maintain the reputation and to have an edge over competitors.
Dependency on Paper Trails and Cloud-based Technology
Every transaction and accounting work are performed and recorded on paper and machine. It is a regulatory requirement but unfortunately cumbersome.
Can Blockchain Be the Savior?
Yes!! The technology of Blockchain is itself based on accountancy. If you understand the concept of Blockchain mechanism, then you know how it records and stores assets, transactions, liabilities, and delivers means of taping cash flow and reconciling accounts. That is what exactly accountancy does!!
Blockchain for accounting will automatically update itself about the new tax regime and will provide service delivery on time and with accuracy. This will allow accountants to focus on innovation and creativity for further growth of the company. And last but not the least, everything is secure and locked on Blockchain, no one can change or alter the information placed in it.
Transparent and immutable record, ability to streamline audits and processes, avoid frauds and errors, and deliver reports with accuracy and perfection, sky’s the limit for Blockchain. This technology can help accountancy to take a greater yet revolutionary leap and help auditors to move over from traditional accounting procedures.
Will Blockchain Take Over Our Jobs?
Technically the answer is “NO”!! Whenever our generation encounters a novice technology, they start assuming that their job is no longer required. Yes, partially the statement is true. For instance, working 24 hours a day like a machine in a factory is not a humane job but supervising 24 hours working machine is.
We must understand that technology is developed for better assistance and for simplifying the work mode. Similarly, relying on Blockchain for accounting will lessen the workload and will stop accountants from killing themselves every day. Their job requirement will change and there will be an upgradation from working to supervising.
It is impossible to escape from Blockchain technology as it is taking the world by storm. As an employee of accounting industry, you can either embrace it and win or sit back and cry. The good news is that the technology is still in infancy and so the people in your field. It is better to enhance your skills before your job profile requirements become redundant. Because it is going to change the way you complete your accountancy task.
Hence, it is highly recommended that you embrace this technology and augment your working skills. You do not have to learn the details of this technology but concentrate on the procedure that will benefit your client and boost your career.
So, this was all about the Blockchain and accounting and its role in accounting department. Do share your thoughts on this in the comment section below.