The Ledger
Curated content foranalytical business leaders
New Skills Are Required For Accountants to Remain Successful
July 18, 2018
The digital revolution is upon us and management accounts are feeling the heat. Change is here and its pace is accelerating, so it is important for accountants to transform their skills to succeed in the new role that digital technology created. As technological advances are eliminating or displacing many entry-level tasks, accountants are being freed up to focus on higher-level, more strategic tasks. That means other skills will become increasingly important and will be required earlier in your career. To remain relevant, there are six core skills that management accountants must be proficient in.
Technology and Analytics. As Big Data matures, management accountants will need knowledge of data extraction tools for mining structured and unstructured data. They’ll need to be able to employ data analysis tools that help collate, manage, and analyze this data, as well as be used for data visualization and storytelling.
Strategic Management. Strategic management includes activities such as competitive analysis, forecasting and budgeting, operational decision analysis, enterprise risk management, and innovation.
Reporting and Control. With robotic process automation (RPA) increasingly being used to automate accounting processes, management accountants will need to be able to evaluate the efficiency and effectiveness of accounting processes and to make recommendations to optimize them. They’ll also need to implement sophisticated costing techniques and procedures to ensure data security, protect assets, and meet legal and reporting requirements.
Business Acumen and Operations. Business acumen includes industry-specific and operational knowledge as well as quality management, continuous improvement, and project management skills.
Leadership. Soft (personal) skills in areas such as motivating and collaborating with others, communications, change management, talent management, relationship management, negotiation, and conflict management will remain critical for management accountants.
Professional Ethics and Values. The evolution of technology and analytics raises new ethical dilemmas that must be addressed by accounting and finance professionals. As management accountants get more involved in the strategic planning process, there will be a greater need for professional skepticism around the inputs and assumptions in that process. Additionally, it becomes crucial to be prepared to confront a colleague’s unacceptable behavior to foster a workplace culture that upholds ethical standards and mutual respect.
If our profession is to remain relevant and influential both now and in the future, we must move faster than the pace of technological change and embrace this call to action to upskill. Are you ready?
How Effective Are Data Analytics Projects, Really?
July 17, 2018
Companies everywhere are realizing that data analytics tools can help them identify real-time business changes, understand customers, and vanquish competitors. When so many web pages, whitepapers, and webinars promise that finance-led data analytics programs will transform an organization, it’s easy to buy into the hype. But how do you know which analytics solution will give you the real-time, granular insight required to make important business decisions? Enterprises can’t expect the insights to start rolling in just because a data analytics project has been green-lighted. Success may lie much farther down the path.
Don’t Lose Sight of Your Visibility
July 16, 2018
Often times, finance leaders leave little time to step back and look at how their business is performing day-to-day. Instead, viewing performance in any detail happens at year-end, where they are only able to see overall performance throughout the year. This method lacks the detail needed for important decision-making and boosting performance. Having year-round visibility is key to knowing how the business is performing in detail. Equipped with this visibility, users can forecast what will most likely happen in the future and take steps to prevent or solve any issues.
Read More at The Digitalist by SAP >
Year-Round Planning is Key for Farmers
July 12, 2018
There will always be circumstances that come up in the farming industry where plans need to be adjusted due to new information or changes in external factors (climate, crop success, etc..). Most planning for farmers happens in the winter, but the practice usually gets pushed to the side during the busy summer months. However, it is important to view plans and financials throughout the year so they can get a grasp on the farm’s costs, profits and better understand where improvements need to be made. Equipped with financial information from the summer and winter, farmers can now plan effectively for each season by projecting potential outcomes and better understand their entire business.
