Introduction:
As we begin 2016, the accounting industry is changing rapidly. In its lengthy history, the profession had to deal with the kinds of challenges that it must confront today. With the end of this year and starting of the new fresh year ahead, most accounting firms are now likely to prepare and make strategy for business challenges which they are going to expect to face in 2017. A recent survey by IFAC Global SMP indicates the top concern for Professional Accountant is to attract new clients as it has been rated as high challenge in their survey (Gómez, 2015).
However, with all the challenges faced by the Professional Accountant it has been ranked third best career by US News and World Report of 2014 Best Jobs. According to US Bureau …show more content…
Therefore, it has been a crisis point which will get worse in near future.
A report from Chartered Accountant Australia and New Zealand illustrates mega trends in the Market, which will influence the Professional Accountant practices. One issue which they highlighted is Technology. Shift in technology is the major key driver of change in the Accountant profession (CAANZ, 2015).
As today’s climate of business demand new skills as explained by Rebecca Mahler, senior manager at the AICPA. She explained that Professional Accountant now required to build critical thinking and relationship building skills as well as to improve their verbal and communication skills in order to be successful. She also added that technical Knowledge is a not a main requirement anymore, Candidate must acquire a diverse range of skills (McCabe, 2015).
This puts Professional Accountant in great stress that they must have a diverse range of skills which includes technical, interpersonal and critical thinker. This should be the only concern of an Accountant or there might be other factors which are needed to be …show more content…
This indicates that these shifts in the market will exert great influence on the profession. Increase in regulatory requirement and strong corporate governance will impact the industry. For example, intergovernmental tax action will have a major impact on the practices of accountants. This will limit the profit shifting of the multinational companies. Therefore, the main drawback for this change will be for specialist in tax, as most countries, political and social agendas are for fairness in tax (ACCA, 2016).
Shift in Technology will have great impact on the practice of Professional Accountants. Smart software is now replacing the manual and tidy work such as bookkeeping. The trend of outsourcing has changed the dynamics of the business as companies focus on cost cutting strategy. Therefore, accountant is required to acquire knowledge of new business models.
The shift in business climate has increased the expectation of business as they demand new skills for accountants. They are required to build skills, competencies in order to meet the demand of futuristic information and ad hoc reporting from the stakeholder. These demands will create a pressure among accountant as a more transparent form of information are requested by shareholders and government agencies (ACCA,
As we begin 2016, the accounting industry is changing rapidly. In its lengthy history, the profession had to deal with the kinds of challenges that it must confront today. With the end of this year and starting of the new fresh year ahead, most accounting firms are now likely to prepare and make strategy for business challenges which they are going to expect to face in 2017. A recent survey by IFAC Global SMP indicates the top concern for Professional Accountant is to attract new clients as it has been rated as high challenge in their survey (Gómez, 2015).
However, with all the challenges faced by the Professional Accountant it has been ranked third best career by US News and World Report of 2014 Best Jobs. According to US Bureau …show more content…
Therefore, it has been a crisis point which will get worse in near future.
A report from Chartered Accountant Australia and New Zealand illustrates mega trends in the Market, which will influence the Professional Accountant practices. One issue which they highlighted is Technology. Shift in technology is the major key driver of change in the Accountant profession (CAANZ, 2015).
As today’s climate of business demand new skills as explained by Rebecca Mahler, senior manager at the AICPA. She explained that Professional Accountant now required to build critical thinking and relationship building skills as well as to improve their verbal and communication skills in order to be successful. She also added that technical Knowledge is a not a main requirement anymore, Candidate must acquire a diverse range of skills (McCabe, 2015).
This puts Professional Accountant in great stress that they must have a diverse range of skills which includes technical, interpersonal and critical thinker. This should be the only concern of an Accountant or there might be other factors which are needed to be …show more content…
This indicates that these shifts in the market will exert great influence on the profession. Increase in regulatory requirement and strong corporate governance will impact the industry. For example, intergovernmental tax action will have a major impact on the practices of accountants. This will limit the profit shifting of the multinational companies. Therefore, the main drawback for this change will be for specialist in tax, as most countries, political and social agendas are for fairness in tax (ACCA, 2016).
Shift in Technology will have great impact on the practice of Professional Accountants. Smart software is now replacing the manual and tidy work such as bookkeeping. The trend of outsourcing has changed the dynamics of the business as companies focus on cost cutting strategy. Therefore, accountant is required to acquire knowledge of new business models.
The shift in business climate has increased the expectation of business as they demand new skills for accountants. They are required to build skills, competencies in order to meet the demand of futuristic information and ad hoc reporting from the stakeholder. These demands will create a pressure among accountant as a more transparent form of information are requested by shareholders and government agencies (ACCA,