Many major changes have used placed in the accounting profession for the previous years. Since 1494 when Luca Pacioli took over as first man to describe a system that consists of debit, credits, ledgers, and journals, numerous changes have used place due to technological, economic, and numerous other advancements.

History has guarantee that Accounting started in those times of Assyria, Babylon, Sumeria, and Mesopotamia. Its popularity grew pretty fast, and today, it’s everywhere in the world. Every business today should could do with accounting to record its financial transactions and provide detailed financial reports beyond just the stakeholders by using financial statements.

Right at the top of the list of areas that have undergone lots of evolution which happens to be the record-keeping part of accounting. Computers together with other technology gadgets have changed the character of accounting, it also’s for that reason that accounting has come to be a dynamic and quick-paced profession. One of the most important, and probably the most marked step along this evolution at this moment computer-based application packages started being used. It brought loads of changes while in process created it simpler to get financial reports comparable to financial management reports, debtors, and creditors reports among others.

Prior to computerized accounting

Just before the start of computerized accounting, everything was accomplished the manual way, knowing that managed to get it a lot more difficult to avoid mistakes. In a suggestion to correct those mistakes, work hours can be needed for recalculation and presented very high risks for fraud. Also, the reputation that any accountant had was that of a nerd, and not somebody who might help an enterprise make crucial decisions. Finding for errors was also a hard and cumbersome process.

After computerized accounting

The use of pencils, paper ledgers, and calculators was eliminated.

The margin of error was brought all the way down to an acceptable level.

The process of locating mistakes, in addition to correcting them became easier.

The speed for when accounting jobs were done increased significantly.

Using computers has changed the role that accountants play from just being number crunchers. In the meanwhile, it’s the role and duty of accountants to recommend the proven ways to the company management of companies, suggest approaches to reducing costs and boosting profitability.

This process caused it to be needed for those invoved with accounting professions in order to produce their interpersonal skills instead of just ensuring that the numbers are correct.

Benefits used by today’s computerized accounting environment

With computerized accounting, the volume of benefits which were achieved is enormous. Also, with technological advancements, other roles associated with an accountant came up, and such role changes could be attributed to some major shifts which have happened.

The main target has shifted from record-keeping and generating reports beyond just the interpretation of economic figures.

Today’s accountants are increasingly consultants.

Accounting professionals are actually starting working in positions of decision-making in key organizations.

Conclusion

With the fast pace at which technology is advancing, the accounting profession is also adapting fast, and the longer term seems promising. Adaptability has become a vital quality that accountants need to have for his or her survival, while also remaining competitive in a classy and dynamic environment.