Accountancy and inhouse finance professionals are at risk of stagnation if their current digital transformation trajectory continues, warns Xledger UK.
A recent survey from Xledger of 1000 in-house and accountancy professionals, has found that most finance functions are still not fully digitised and that across wider teams there exists a worrying restraint towards technological change.
The cloud software provider’s findings show that just 3% of accountants and inhouse professionals have fully digitised their finance function. With around a quarter (24%) of respondents even having half, or less, of their roles digitised.
The findings show that more than one in five (21%) of accountants and 16% of in-house professionals believe that digitisation would be detrimental. Around a third (34%) of all citing fear of a long changeover period, delays, backlogs, and productivity issues as the route of their concerns.
An additional 31% also said that digital transformation worries them because the tools they currently have are ‘familiar’ and 25% are anxious about the impact it will have on jobs.
Peter Hucker, CEO at Xledger UK, explains:
“The research reveals many respondents have concerns over the effects of digital transformation. This highlights the importance of the role of business leaders in promoting its positive impact. Regardless of the technology, a project’s success is ultimately reliant on the willingness of those teams to adopt it.”
Over half (54%) of respondents combined, recognise AI & machine learning (25%), Cloud Computing (15%) and Big Data (14%) to be the next major digital transformational shifts, but more than one in three (34%) are yet to undergo digital transformation.
Over half of all respondents (54%) currently can’t access real-time data as quickly as they’d like. In stark contrast, of those that have ‘fully embraced’ cloud computing and big data, a majority of 54% and 62% respectively said they are able to access real time data ‘very quickly’.
Hucker added,
“Decision makers need to continue to reassess their rationale of sticking with the status quo. In the long term, an inability to adapt and sticking with what you know, even when you know it isn’t suitable, may lead to long term stagnation for the finance function and the businesses they serve.”
Xledger is a leading true-cloud finance solution for accountancy practices and mid-market organisations with ambition. With a suite of automation features including OCR, purchase to pay, reoccurring and professional services billing and in-system payment processes, its value is giving back time to accountants and allowing them to spend more time on higher value-added activities.
This study was conducted among a combined 1000 in-house and in-practice accountancy professionals in the UK during April 2023 by CensusWide.
