Why do companies actually need to transform manual work to automated bookkeeping software? Why does the need for automated payable, receivable, and invoices arise? If any company moves towards automation, what will be the output?
So, these are the questions that need to be addressed before acquiring any automated bookkeeping services. Let’s discuss the significance and the market value of automated bookkeeping.
The global automation market is forecasted to grow from 136$ Billion in 2022 to 309.6$ Billion till 2026 at a CAGR of 39.7%. This market value of automation shows its significance and phenomenal demand. However, many companies are hesitant to adopt web-based technology as they think that it will be more costly and expensive.
They should understand that manual bookkeeping is a dreadful and time-intensive task. However, automated bookkeeping software has positive consequences and supports companies by providing accurate and reliable financial results.
What is Automated Bookkeeping?
Reconciling and recording financial transactions in a systematic way is the basic principle of automated bookkeeping. It diminishes costs, and enhances the company revenue while providing the OCR facility.
Benefits of Automated Bookkeeping
Companies rely on manual bookkeeping methods and don’t understand their importance. Some organizations even don’t use KPIs to identify bottlenecks and patterns.
Here they lack company oversight and visibility that have the chance to increase crucial business processes. Almost 67% of accountants state cloud computing helps them carry out their future roles.
Let’s discuss a few benefits of automation that can improve the better understanding of this famous topic.
Enhance Employee Efficiency
Manual bookkeeping methods are time intensive and consist of the most dreadful tasks. However, after automated bookkeeping services, the traditional way of bookkeeping drastically decreases.
The company has the highest chances of accurate and reliable financial insights that strengthen company credibility. Moreover, the scanner reduces employees’ workload which is a major reason to enhance employee efficiency.
Saves Time and Cost
Traditional bookkeeping methods utilize more resources, not only this, but it also increases employees’ frustration. Why? Because recording financial statements requires more energy and time. On top of that, these are not so interesting that employees can enjoy writing.
That is why automation is the solution to all these problems. Automated bookkeeping services reduce employee workload as they only have to scan a receipt. 54% of accountants agree that technology helps them in providing faster service.
The online software will fetch all the details automatically and places them in rows and columns. In this way, any company can save plenty of time and can utilize it in a more efficient way.
No Room for Errors
Human makes mistakes and it is a natural phenomenon that no one can deny. Let’s see how it can be reduced to maximize employee efficiency and productivity.
Companies can reduce the frequency of errors in financial reports by introducing automated bookkeeping software. Employees usually don’t perceive this positively as they think that automation cut the accountant’s jobs. However, it reduces errors as it discards wrong entries and warns employees. With automation, there is no room for errors so owners can make accurate and reliable decisions.
Traditional bookkeeping methods are non-reliable and require more employees to execute the employee payment tasks. Automation eases the payment process as it automatically sends reminders to owners and suppliers to send payments on time.
It is a very time-intensive task to record accounting financial reports as it requires more physical space. It’s easy to record manual transactions when any company starts a business but as time passes it’s difficult to manage space. So, automated cloud storage is the best option.
Automated cloud storage has the capacity to record data for many years. It overcomes the hassle to find financial transactions from manual hard copies with just one click.
Manual bookkeeping is a time-intensive and dreadful task so it reduces employees’ productivity. Employees feel furious and demotivated when they have to perform repetitive tasks.
Automated bookkeeping reduces this factor and supports employees to complete their work with more dedication. It reduces a lot of burden on employees which motivates and helps them to learn more strategic and important tasks.
Automated bookkeeping software reduces unnecessary tasks and helps employees to focus on more operational tasks. It supports the CEO in their decisions by providing accurate and reliable financial insights.