Dystopian movies tend to paint a picture of a world where computers and robots turn against humans and seek to exterminate or enslave them. More mundanely, it’s easy to find numerous articles on the web predicting that artificial intelligence (AI) and robots will put hundreds of millions of people out of work within the next decade.
However, in the real world, we’re already surrounded by numerous examples of AI systems that we unknowingly interact with that improve our daily lives – whether interacting with Siri on your iPhone, using facial recognition to identify yourself to your mobile device, reading a book suggested by Amazon, or listening to a tune recommended by Spotify.
As these examples show, AI should be regarded as a powerful tool that can enrich and enhance every aspect of the human experience. From a work perspective, one group of professionals ideally suited to benefitting the most from AI are finance professionals.
Answer to time pressure
The reason for this is simple: most accountants, whether working in a corporate setting or practice, complain about time scarcity. Many of them spend hours executing simple and repetitive tasks that add little to no real value to the business – things like sorting through and categorising receipts, exporting data to spreadsheets, and managing calendars.
These are all tasks at which algorithms and machines are better suited than human beings. In fact, some studies estimate that as much as half of job activities could already be automated. This isn’t restricted to low-skill, process activities like data entry, but also to much of the content in skilled roles such as finance, medicine and business leadership.
Yet, that won’t necessarily translate into lost jobs for accountants who seize the opportunity to embrace AI. Instead, it clears the way for them to transform their ways of working. Rather than replacing accountants, AI will augment their capabilities and automate low value tasks to free up time.
Imagine what you could accomplish with an extra five or ten hours per week – from sharpening your consulting offering, upskilling in emerging technologies, to spending more time providing strategic counsel to your customers. Seen in that light, AI becomes a capable co-worker that takes care of the basics in an efficient and cost-effective manner so you can focus on adding value.
Augmented capabilities
In addition, AI can augment your capabilities with better information so you can help your business or customers make better decisions. Instead of wasting time entering or sifting through massive amounts of data, struggling to stay up-to-speed with ever-changing legislation and accounting standards, your team will have more bandwidth for higher-level, strategic thinking.
As such, forward-thinking accountants understand that AI is a tool that will help them transition to a business model where they can sell knowledge and expertise, not hours. With this new business model, the focus shifts from selling their time to selling intellectual capital and effectiveness. You can move away from counting hours to billing for outcomes and value.
This business model could transform the relationship with your customers. You will have time to explore deeper, richer conversations about their business to provide insightful advice. Your value will come from your knowledge, which can’t be tracked by the hour. This is an opportunity to become a real partner to your customers or the business.
South African accountants are positive about technology. The 2020 Sage Practice of Now research report found that nearly all (97%) local respondents agreed that updating their technology has had a positive impact over the past five years, including more time, higher productivity, and lower costs.
Nearly two thirds (65%) said technology enabled them to provide faster service that positively impacted their customer relationships. The next logical step is for accountants to think about how they can use AI in transformative ways to not only become more efficient, but to turn into real changemakers for their businesses or customers.
By Pieter Bensch, Executive Vice-President, Africa & Middle East at Sage
