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The Awkward Of�ce Love Affair of Bots and Bookkeepers AI bots will speed data processing but businesses that let bots entirely replace humans will �nd it impossible to stay competitive.
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Mathew Heggem GUEST WRITER
CEO of SUM Innovation
November 1, 2016 6 min read
Opinions expressed by Entrepreneur contributors are their own.
Business owners, be forewarned: The AccTech (accounting + technology) bots are taking over. But
they’re not the towering metal giants or eerily humanoid robots of sci-� nightmares. These bots are
Image credit: Javier Pierini | Getty Images
lines of code that grab information and communicate with humans about your business operations.
They know (almost) everything before you’ve even whispered the thought, and they might want to
take your bookkeeper’s job -- or maybe just work alongside her.
I had a recent conversation with Jan Haugo, CEO and vice president of the Institute of Certi�ed
Bookkeepers USA (ICBUSA), who emphasized all the ways emerging technologies will transform the
role of small business bookkeeping. In particular, we discussed how machine learning and arti�cial
intelligence will enable accountants to interact with bots the same way they would with a human
co-worker.
Accounting technology brands such as Xero are already capitalizing on this trend. It’s continued its
innovation by releasing AI tools that will minimize -- and ultimately eliminate -- the amount of
transaction coding businesses must do. This may seem scary now (at least for a few old-school
number crunchers), but as technology develops and people cozy up to the practice, bookkeeping
bots will continue their industry domination.
The evolution of your company’s bookkeeper. Bookkeepers play a vital role in many organizations, but what happens when bots handle the �ow
of information and render several of their manual tasks redundant? The common perception of
bookkeeping as a reactive role focused on tracking and managing data gets turned upside down.
Technology is reaching a point where humans don’t need to be involved in data collection and
management. #ZeroDataEntry -- meaning functions such as the recording of invoices can occur
automatically and without human intervention -- is quickly becoming a reality for many
accounting teams.
The bookkeepers of the future (and, perhaps, the future is now) will go beyond understanding
debits and credits and your business’s current software. Bookkeepers must be able to think about
technology, address work�ow issues and add value on the topics of �nance and operational
strategy. Evaluate the effects of tech on your company, and decide how your current bookkeeper �ts
into this future narrative. She can assist in future-proo�ng your business if you give her a chance to
become that AccTech advocate.
According to Haugo, the U.S. lags behind other countries in this area, so how can you help to close
the gap? With the shifting demands of the bookkeeper, do we have enough of the “right” candidates
in the market? And what can you do to accommodate for this new role?
These are all important questions. So here’s some advice on �nding (and retaining) bookkeepers
who will drive your organization into the new era of accounting:
1. Know your skills gap -- and ll it! According to a survey of American executives, 45 percent believe a lack of skilled labor hinders
growth, and another 30 percent believe it negatively affects their businesses’ pro�ts. This is
magni�ed when dealing with numbers professionals. So �nd out what’s missing, and identify
the skill sets that are most critical to your company’s growth. Doing so will help you recruit the
right people to �ll the gap.
But don’t just hire a bookkeeper because your friend recommended her or because you share an
alma mater. Instead, conduct your due diligence to ensure you’re building a strong, versatile team
with each new recruit.
2. Recruit from a pre-vetted talent pool. It’s more crucial than ever to hire and retain top-notch talent -- especially when direct replacement
costs up to 60 percent of the previous employee’s salary. But as a small business, you need people
now, and you can’t rely on outdated educational institutions to generate the workforce you need.
So start looking for candidates elsewhere.
If you’re not sure where to �nd top accounting talent, check out progressive industry
resources. Accountex (formerly The Sleeter Group) and Xero invite top-level individuals to speak at
their conferences. These panelists are change agents and leaders within the community, making
them valuable additions to your network. If they can’t help you directly, they may have the
resources to �nd the right person for you.
3. Go beyond the bank reconciliation. Look beyond a candidate’s recordkeeping prowess or whether she can complete a bank
reconciliation. Instead, ask if she’s familiar with Xero, and see if she can discuss any of the 400-plus
apps that exist within her market.
Evaluate her attitudes around cloud accounting and the impact of technology on the industry.
Knowing a few tricks with QuickBooks Desktop and Excel won’t cut it, but familiarity
with Expensify, Hubdoc, Avalara or Zapier indicate an awareness of how tech transforms
bookkeeping.
Finally, have her share stories about how she’s continued to hone her skills and what problems
she’s solved for previous employers. The future of bookkeeping is about managing data �ow,
working with tech and problem-solving. Her responses will give insight into how she’ll approach
the open position.
4. Develop talent, and make personnel changes. Bots will force changes in how bookkeepers work. If your current accounting team is �lled with
smart people you’d like to retain, help them learn relevant skills or transition to new positions
within the company.
Online education via AccTech products and organizations (such as ICBUSA) have expanded our
access to future-forward bookkeeping training. Leveraging these resources for on-the-job training
is crucial as companies help current accounting teams prepare for this shift. Those worth keeping
will be excited by the opportunities to grow. Someone who’s resistant to change might not be a �t
anymore.
AI bots will facilitate better, faster data processing, but they can’t do everything. Businesses that
welcome the bot takeover and halt their investment in humans will �nd it impossible to stay
competitive. People (still) matter! So strike a balance between talent and tech, and do your part in
making this awkward love affair between bots and bookkeepers the thriving marriage it can be.