CPAs Dump Old Technologies for New

Tech Trends: CPAs Shifting to an Electronic World

via NYSSCPA

According to Bay Street Group and Capstone Marketing, 69 percent of CPA firms are planning to spend more on technology in the next six to 18 months.

“The volume of data and things to manage has gone up dramatically,” said Mike A. Pinna, chair of the Society’s Technology Assurance Committee. “Four years ago, it was all paper. Now there’s an inundation of files to sort through, and technology has made it possible to do so.”

“[CPAs] are almost completely reliant on computer technology,” said Jason M. Palmer, chair of the NYSSCPA’s Information Technology Committee. “People are definitely automating … moving from day planners to online scheduling.”

According to Palmer, there’s a big push among CPA firms to move to electronic resources and project management systems, and establish remote access for employees.

“Remote access is key because it provides a lot of support and synchronization with CPAs in the field,” Palmer said. “People used to be isolated islands in the field.”

With remote access, “teams are now part of the fabric, in a web and are connected all the time.”

Much of this technology spending will be for implementing paperless technology like electronic workpapers systems, Palmer said.

According to the survey, “leaders” — CPA firms the study considered to be top performers in terms of revenue, profit, technical excellence, client satisfaction, staff morale and tenure, reputation and brand value — were five times more likely to adopt new technology early, eight times more likely to provide continuous training to staff, and 17 times more likely to create and follow a strategic technology plan.

One technology that more CPA firms are turning to for data management, according to the survey, is cloud computing. Whereas only 11 percent a year ago said they would be using cloud technology, 28 percent of the firms anticipated spending money on cloud services this year.

Posted on August 15, 2010