One of the most exciting technologies in today’s business world is Robotic process automation or RPA. An RPA in accounting eliminates typical work-a-day tasks and has become the necessary tool in the corporate back office. Businesses automate rule-based routine business processes, allowing employees to devote more time to higher-value and more meaningful work.
What is an RPA in accounting?
Robotic Process automation in accounting is one of the compelling technologies used in offices today. An RPA means various things based on the specific use case, from auditing financial statements automatically to speeding up the pace at which the accounts complete payable and receivable tasks. It is a set of automation tools used for reproducing any manual, repetitive process at scale.
How is RPA used in accounting?
Robotic Process automation in accounting performs the most manual elements of an accountant’s workday and accomplishes them automatically, usually instantly. An RPA, also known as a computerized accounting tool, does the number crunching and transaction tracking for a business.
The Benefits of using RPA in accounting
There are many tasks within auditing, finance, and accounting. An RPA eliminates these tasks out of human hands for swifter work. However, there will also be some risks to automating, concerning process mistakes and employee confidence. If deployed correctly, RPA has many benefits such as:
- Accurateness
Mistakes in a program may cost money and delay the procedure. An RPA in accounting provides precision at each step to reduce such risks. An RPA saves the business from any monetary loss & also makes essential processes move swiftly.
- Technology evolves and develops every day.
Implementing RPA in the present will further grow its automation in the future. The investment today could open unexpected rewards as new opportunities for automation arise.
- Work smarter rather than working harder.
RPA reduces repetitive works as copying and pasting results from program to program creates employee job satisfaction and boosts productivity.
- Increase efficiency and reduces the cost
With the help of Robotic Process automation in accounting, a business can reduce costs and resources. The immense financial impact, such as preventing fines, the fallout from penalties, valuation, and the lawsuit that results from the incorrect filing of financial statements, is also avoided by automation.
- Forecasting and Financial Planning
Robotic Process automation in accounting helps in financial planning. But planning can not be correct without accurate data. A business compares these data against its budget and derives the forecast.
Types of Robotic Process automation in accounting
There are three different types of robotic process automation, and they are:
1) Attended Automation
Usually, the user deploys this RPA bot and resides on the user system. The user uses attended automation RPA in the tasks that arise when they are hard to detect in the program. It can work as a proxy, perform the needed operations, and ask for guidance from the rep if needed.
2) Unattended Automation
Unattended automation RPA bots are like batch processes on the cloud where data processing tasks are complete in the background. It reduces the work of back-office employees.
3) Hybrid RPA
A combination of both attended and unattended bots is Hybrid RPA and provides automation for both the back and front office activities. This RPA bot enables end-to-end automation of a process.
Conclusion
Robotic process automation has grown immensely since its original introduction to the business world. It has an essential role within a broader strategy of automation of a business. When an RPA is correctly implemented and configured, it will translate into significant time and cost savings for your business. With the help of Robotic Process automation in accounting, you can nurture better standards of doing business.
