Digital Trends in the Accounting Profession

Suzana Keglević Kozjak – University of Zagreb Faculty of Organization and Informatics, Pavlinska 2, 42000 Varaždin, Croatia

Abstract: The rapid technological changes have profoundly affected the ac­counting profession. This study aims to systematically explore how digital tech­nology is influencing accounting, examining the forces driving this change. It also investigates crucial educational adaptations needed for future accoun­tants to navigate the evolving technological landscape. The research exam­ines various aspects, including the complex relationship between the account­ing profession and global technological changes, the evolving role of technol­ogy in accounting, and the necessary adjustments required in accounting edu­cation. Through a literature review methodology, the findings highlight a com­pelling need for a fundamental shift in accounting practices. This transformative process is gradually related within the profession, emphasizing the certain im­pact of continuous evolution in the accounting field on accounting education. In summary, while technological advances reshape specific aspects of account­ing, the discipline’s foundational principles persist.

7th International Scientific Conference on Recent Advances in Information Technology, Tourism, Economics, Management and Agriculture – ITEMA 2023 – Selected Papers, Hybrid (Faculty of Organization and Informatics Varaždin, University of Zagreb, Croatia), October 26, 2023

ITEMA Selected Papers published by: Association of Economists and Managers of the Balkans – Belgrade, Serbia

ITEMA conference partners: Faculty of Economics and Business, University of Maribor, Slovenia; Faculty of Organization and Informatics, University of Zagreb, Varaždin; Faculty of Geography, University of Belgrade, Serbia; Institute of Marketing, Poznan University of Economics and Business, Poland; Faculty of Agriculture, Banat’s University of Agricultural Sciences and Veterinary Medicine ”King Michael I of Romania”, Romania

ITEMA Conference 2023 Selected Papers: ISBN 978-86-80194-76-9, ISSN 2683-5991, DOI: https://doi.org/10.31410/ITEMA.S.P.2023

Creative Commons Non Commercial CC BY-NC: This article is distributed under the terms of the Creative Commons Attribution-Non-Commercial 4.0 License (https://creativecommons.org/licenses/by-nc/4.0/) which permits non-commercial use, reproduction and distribution of the work without further permission.

References

Akhter, A., & Sultana, R. (2018). Sustainability of Accounting Profession at the Age of Fourth Industrial Revolution. International Journal of Accounting and Financial Reporting, 8(4), 139. https://doi.org/10.5296/ijafr.v8i4.13689 

Arnaboldi, M., Busco, C., & Cuganesan, S. (2017). Accounting, accountability, social media and big data: revolution or hype? Accounting, Auditing & Accountability Journal, 30(4), 762-776. https://doi.org/10.1108/aaaj-03-2017-2880 

Berikol, B. Z., & Killi, M. (2021). The Effects of Digital Transformation Process on Accounting Profession and Accounting Education. Accounting, Finance, Sustainability, Governance & Fraud: Theory and Application, 219-231. https://doi.org/10.1007/978-981-15-1928-4_13 

Birt, J., Safari, M., & de Castro, V. B. (2023). Critical analysis of integration of ICT and data an­alytics into the accounting curriculum: A multidimensional perspective. Accounting & Fi­nance, 63(4), 4037-4063. https://doi.org/10.1111/acfi.13084 

Brandon, D. (2016). The blockchain: The future of business information systems. Internation­al Journal of the Academic Business World, 10(2), 33-40. https://jwpress.com/Journals/IJABW/BackIssues/IJABW-Fall-2016.pdf#page=28 

Cazazian, R. (2022). Blockchain Technology Adoption in Artificial Intelligence-based Digital Financial Services, Accounting Information Systems, and Audit Quality Control. Review of Contemporary Philosophy, 21(0), 55. https://doi.org/10.22381/rcp2120224 

Dimitriu, O., & Matei, M. (2014). A new paradigm for accounting through cloud computing. Pro­cedia economics and finance, 15, 840-846. https://doi.org/10.1016/S2212-5671(14)00541-3 

Frey, C. B., & Osborne, M. (2013). The future of employment. Retrieved from https://sep4u.gr/wp-content/uploads/The_Future_of_Employment_ox_2013.pdf  

Galarza, M. (2017). The changing nature of accounting. Strategic Finance, 98(8), 50.

Ghani, E. K., & Muhammad, K. (2019). Industry 4.0: Employers Expectations of Accounting Graduates and its Implications on Teaching and Learning Practices. International Journal of Education and Practice, 7(1), 19-29. https://doi.org/10.18488/journal.61.2019.71.19.29 

Gulin, D., Hladika, M., & Valenta, I. (2019). Digitalization and the Challenges for the Account­ing Profession. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.3492237 

Hales, J. (2018). The future of accounting is now. CPA Journal, 88(7), 6-9.

Hasan, A. R. (2022). Artificial Intelligence (AI) in Accounting & Auditing: A Literature Re­view. Open Journal of Business and Management, 10(01), 440-465. https://doi.org/10.4236/ojbm.2022.101026  

Hatane, S. E., Johari, I. V. D., Valencia, J., & Prayugo, L. E. (2019). The Acceptance of Account­ing Students on the Use of Internet of Things. Proceedings of the International Confer­ence on Tourism, Economics, Accounting, Management, and Social Science (TEAMS 19). https://doi.org/10.2991/teams-19.2019.44 

Islam, M. A. (2017). Future of accounting profession: Three major changes and implications for teaching and research. Business Reporting, International Federation of Account­ants (IFAC). Retrieved from https://www.ifac.org/knowledge-gateway/preparing-fu­ture-ready-professionals/discussion/future-accounting-profession-three-major-chang­es-and-implications-teaching-and-research 

Jackson, D., Michelson, G., & Munir, R. (2020). The impact of technology on the desired skills of early career accountants. CPA Australia.

Junger da Silva, R., Tommasetti, R., Zaidan Gomes, M., & da Silva Macedo, M. Á. (2020). How green is accounting? Brazilian students’ perception. International Journal of Sustainabili­ty in Higher Education, 21(2), 228-243. https://doi.org/10.1108/ijshe-07-2019-0232 

Karmańska, A. (2021). Internet of Things in the accounting field. Benefits and challenges. Op­erations Research and Decisions, 31(3). https://doi.org/10.37190/ord210302 

Kokina, J., & Blanchette, S. (2019). Early evidence of digital labor in accounting: Innovation with Robotic Process Automation. International Journal of Accounting Information Sys­tems, 35, 100431. https://doi.org/10.1016/j.accinf.2019.100431 

Kruskopf, S., Lobbas, C., Meinander, H., Söderling, K., Martikainen, M., & Lehner, O. (2020). Digital Accounting and the Human Factor: Theory and Practice. ACRN Journal of Fi­nance and Risk Perspectives, 9(1), 78-89. https://doi.org/10.35944/jofrp.2020.9.1.006 

Kumar, K. (2018). Impact of digitalization in finance & accounting. Journal of Accounting, Fi­nance & Marketing Technology, 2(2), 1-9. DOI: 10.35629/8028-1007035156 

Mala, R., & Chand, P. (2015). Judgment and Decision-Making Research in Auditing and Ac­counting: Future Research Implications of Person, Task, and Environment Perspective. Accounting Perspectives, 14(1), 1-50. https://doi.org/10.1111/1911-3838.12040 

Malviya, B. K., & Lal, P. (2022). The changing face of accounting: Prospects and issues in the application of artificial intelligence. International Journal of Accounting, Business and Fi­nance, 1(1), 1-7. https://doi.org/10.55429/ijabf.v1i1.6 

Mancini, D., Lamboglia, R., Castellano, N. G., & Corsi, K. (2017). Trends of Digital Innovation Applied to Accounting Information and Management Control Systems. Lecture Notes in Information Systems and Organisation, 1-19. https://doi.org/10.1007/978-3-319-49538-5_1 

Mauricette, J., Wells, P., & Haar, J. (2022). User perceptions of cloud-based small business accounting software. Pacific Accounting Review, 34(4), 595-613. https://doi.org/10.1108/PAR-05-2021-0065 

Mosteanu, N. R., & Faccia, A. (2020). Digital systems and new challenges of financial man­agement–FinTech, XBRL, blockchain and cryptocurrencies. Quality–Access to Success, 21(174), 159-166. https://www.srac.ro/calitatea/en/arhiva/2020/QAS_Vol.21_No.174_Feb.2020.pdf  

Pan, G., & Seow, P.-S. (2016). Preparing accounting graduates for the digital revolution: A criti­cal review of information technology competencies and skills development. Journal of Ed­ucation for Business, 91(3), 166-175. https://ssrn.com/abstract=2728160 

Ranta, M., Ylinen, M., & Järvenpää, M. (2023). Machine learning in management accounting research: Literature review and pathways for the future. European Accounting Review, 32(3), 607-636. http://dx.doi.org/10.2139/ssrn.3822650 

Sever Mališ, S., Žager, L., & Brozović, M. (2021). The Future of Audit in Light of Technologi­cal Changes: Opportunities and Threats. Fostering Innovation and Competitiveness With FinTech, RegTech, and SupTech, 228-249. https://doi.org/10.4018/978-1-7998-4390-0.ch012 

Solikhatun, I., Sari, R. C., & Nurfatmawati, L. (2023). Accounting Profession and Industrial Revolution Era 4.0: Opportunity or Threat?. Journal of accounting and business educa­tion, 5(1), 57-69. http://dx.doi.org/10.26675/jabe.v7i2.17350 

Stoica, O. C., & Ionescu-Feleagă, L. (2021). Digitalization in Accounting: A Structured Litera­ture Review. Resilience and Economic Intelligence Through Digitalization and Big Data Analytics, 453-464. https://doi.org/10.2478/9788366675704-045 

Sumarna, A. D. (2020). Akuntan Dalam Industri 4.0: Studi Kasus Kantor Jasa Akuntan (KJA) di Wilayah Kepulauan Riau. KRISNA: Kumpulan Riset Akuntansi, 11(2), 100-109.

Vetter, A. (2018). Four steps to prepare for the future of accounting. Journal of Accountancy; https://www.journalofaccountancy.com/newsletters/2018/nov/prepare-future-accounting.html  

Vitale, A.-M. (2020). Re-imagining the Future Accountant—Our Call to Action. In­ternational Federation of Accountants (IFAC). Retrieved from https://www.ifac.org/knowledge-gateway/preparing-future-ready-professionals/discussion/re-imagining-future-accountant-our-call-action 

Witkowski, K. (2017). Internet of Things, Big Data, Industry 4.0 – Innovative Solutions in Logistics and Supply Chains Management. Procedia Engineering, 182, 763-769. https://doi.org/10.1016/j.proeng.2017.03.197 

Wu, J., Xiong, F., & Li, C. (2019). Application of Internet of Things and Blockchain Technolo­gies to Improve Accounting Information Quality. IEEE Access, 7, 100090-100098. https://doi.org/10.1109/access.2019.2930637 

Yilmaz, N. K., & Hazar, H. B. (2019). Analyzing technology acceptance for internet of things (Iot) among accounting and finance students. Pressacademia, 8(4), 198-208. https://doi.org/10.17261/pressacademia.2019.1163 

Yilmaz, N. K., & Hazar, H. B. (2019). The rise of internet of things (IoT) and its applica­tions in finance and accounting. Pressacademia, 10(10), 32-35. https://doi.org/10.17261/pressacademia.2019.1139 

Žager, K., Tušek, B., Mamić Sačer, I., Sever Mališ, S., & Žager, L. (2016). Računovodstvo I. Hr­vatska zajednica računovođa i financijskih djelatnika.

Zhang, Y., Xiong, F., Xie, Y., Fan, X., & Gu, H. (2020). The Impact of Artificial Intelligence and Blockchain on the Accounting Profession. IEEE Access, 8, 110461-110477. https://doi.org/10.1109/access.2020.3000505