With the rise of automation and AI in the Accounting industry, many accounting firms invest in cloud software packages. Cloud bookkeeping is becoming a standard for many businesses enabling them access to accounting information and management reports in real time.
Indeed, AI / automation are the keys providing the processing speed that is required for the “real time” promise. But when we look at the current hype around AI, and all the claims from different companies, we sometimes feel it may be “too good to be true”.
When using a Cloud software, along with its AI-powered algorithms, one may think that all work is processed automatically by computers, and that the data is safe. But that’s not always the case.
Take Botkeeper, as an example. Botkeeper is an “automated bookkeeping” service for small businesses and CPA firms. Even the name contains “Bot” in it, leaving little doubt to the fact that their service is completely based on AI. In the end, it turned out that a big part of the work is done through offshore labor in the Philippines. You can watch the discussion between Blake Oliver, David Leary and CEO of Botkeeper-Enrico Palmerino on this subject.
When you use a Cloud software, or when you engage an Outsourcing Service provider, the same questions should come in mind:
- Where are the staff based? Where is the work actually done?
- How to guarantee the security and confidentiality of your clients’ data?
- And other checklists to help you choose a right service provider that we already provided in our Practice Management series https://www.odyssey-resources.com/category/practice-management-series/
To summarize, Bots are really coming, but it’s not yet at the stage of replacing human bookkeeper or accountants. Offshore back-offices may still be doing the manual processing behind the scenes.
At Odyssey, we have 15-year experience of outsourcing for Australian accounting firms, and we strongly invest in our systems. Our Outsourcery Management System (OMS) is one of the results of our vision – using technology and automation where possible, and trained experienced accountants for the rest (still being the main work). And most importantly, with complete transparency for our clients.
Drop us a line if you would like us to assist with your bookkeeping or accounting jobs.