Gone are those days when people would look at new technologies in a skeptical way and ask all sorts of hypothetical questions to ensure that technology cannot enter the foray of business. Now, everyone is embracing the new possibilities and trying to understand what could make them tick. It is from this point of view it seems hardly surprising that a good number of CEOs and senior businessmen are hailing analytics as the game changer on many levels. Businesses are hell bent on maximizing benefits from analytics and it is here accountants are going to make a significant impact.
Hierarchies are shifting
Recently, surveys have also exposed certain shifts which were not so comprehensible beforehand. It shows that CFOs are now having second position in the hierarchy of responsibilities right after the CIOs. In fact, accountants, since they have a better understanding of data, now have an upper hand in terms of using big data and giving their companies a strategic advantage. Hence, it is no surprise that their stocks are rising. In fact, the modern business environment has all to offer to them and most CFOs agree to it too.
Competition is increasing
Accounting is more important than ever and data analytics has contributed to an intensive enhancement of the competition. The predictive nature of analytics ensures that a company can often compete with the best given that the analytics is put to good use. Forecasting, as always, allows a better reaction and shock management for all sorts of situations. The most helpful in this regard would unexpected trends which can never be understood otherwise.
Improved financial reporting
Too many reports are coming through innumerable operations and before it gets too messy, companies are trying to integrate them so that the reports create a cohesive reflection. Then, it becomes easier to decide on issues of strategy, performance, methods of governance and possible prospects which then adds value to the report. This is why data analytics is so powerful since it allows such processes of conjoining through various metrics.
In fact, if your company has a lot of predictions to make, you can go for further sophisticated tools which will create a network of databases which can be further used to make reports more connected and more productive. That allows even more rigorous reporting that would impact company performance in a more direct manner.
Managing risks and frauds
Of course, risk management is a major metric in all business outcomes and it becomes easier and yet, trickier than ever before. If you are doing predictive analytics right, then you will get the best out of it and if you don’t, you may end up in a riskier situation. So, continuous auditing, monitoring and updating would contribute to a sound risk analysis using big data. Also, analytics can be extremely helpful in detecting fraudulence. For example, it can tell you what kind of transactions and promises seem impossible and hence, should be avoided at any cost. In short, accountants are now empowered with various armors thanks to data analytics.