Digitalisation, automation and process rethinking in accounting

Finance and accounting are key functions in any organisation, responsible for managing financial transactions, servicing taxation and controlling, keeping accurate records and reporting to decision-makers. Traditional finance and accounting processes are notorious for being time-consuming and repetitive, which can lead to inefficiencies and delays. Today, digitisation, automation and process re-engineering are emerging as solutions to streamline financial and accounting processes and increase efficiency.

In this newsletter, we will explore this topic, starting with digitalisation, which is the process of using digital technologies to transform traditional processes into digital processes. In finance and accounting, digitisation involves digitising paper-based processes and enabling remote access to financial data. This can significantly improve efficiency by reducing the time needed to complete tasks and providing users with reliable quality information.

Automation is the use of technology to perform tasks that were previously done by humans. In finance and accounting, automation can be used to perform tasks such as data entry, reconciliation, reporting and analysis. By automating these tasks, finance and accounting professionals can free up time to focus on strategic and value-creating activities, and to interpret and use this information to make decisions.

Process re-thinking involves re-evaluating traditional financial and accounting processes to identify inefficiencies and opportunities for improvement, and to increase transparency and reliability. It involves reviewing the financial and accounting process, identifying bottlenecks and redesigning the process to improve efficiency, reduce errors and increase accuracy.

Digitalisation, automation and process rethinking are bringing many benefits to finance and accounting. First and foremost, they can significantly improve efficiency and ensure a effective use of human resources. By digitising processes, finance and accounting professionals can reduce the time and effort required to complete tasks, allowing them to process transactions faster, close books more quickly and prepare financial reports more efficiently. In addition, automation can help reduce errors and ensure data accuracy and consistency, improving the quality of financial information.

Digitalisation, automation and process rethinking can also enable better collaboration and communication between the finance team and other parts of the organisation, which can contribute to better understanding and decision making. By enabling remote access to financial data and streamlining processes, these tools allow for a more flexible and faster response to changing business needs.

In addition, digitalisation, automation and process re-engineering can help organisations reduce costs and even increase productivity. By automating routine tasks and eliminating inefficiencies, the finance team can manage processes more easily without additional staffing. Correspondence with the tax authorities is already done through digital channels, with the next stage of this being the preparation of draft tax returns.

In summary, digitalisation, automation and process rethinking are essential tools for companies looking to improve efficiency, reduce costs and increase accuracy. By leveraging these tools, companies can free up time to focus on strategic areas, improve the quality of financial information and better support decision-making. In addition to the above, improved data reporting will contribute greatly to transfer pricing and related regulatory compliance.

The accounting experts and auditors of Molnár&Partners Business Solutions Kft. have combined their accumulated professional knowledge with the digital technologies available to them, on the basis of which they have created a program designed to review the operation of the finance and accounting departments of companies based on the above aspects.

If you are interested, contact your adviser for a consultation.