How the Accountants Adapted to the Challenges Faced During Covid-19
September 3, 2021
OHI
In the ever-evolving landscape of business, organizations worldwide are confronting unprecedented challenges that have the potential to create profound impacts. The onset of the Covid-19 pandemic has been a testament to this, reshaping the very fabric of professional environments. For CPAs and accounting professionals, the landscape has transformed dramatically, and many believe it might never revert to its previous state. As the world gravitated towards telecommunication in adherence to social-distancing norms, a significant portion of the workforce transitioned to working from home. This shift, while necessary, introduced a myriad of challenges, especially in terms of communication, which became notably more complex compared to the traditional office setup.
This seismic shift in work dynamics, triggered by the challenges faced during Covid-19, has catalyzed profound changes in the operational modalities of organizations globally. Managing accounting operations during Covid-19 became a focal point, as despite the physical distance, accountants found themselves at the epicenter of professional activities. The turbulent economy, coupled with the introduction of relief packages by various governments, inundated accounting firms with a surge in business. However, this silver lining was not without its clouds. As the world grappled with the pandemic, accountants too faced a unique set of challenges in this new work paradigm. In the subsequent sections, we will delve into how accountants adapted and navigated through these challenges and the intricacies of managing accounting operations during the Covid-19 era
Invest in Technology
With strict lockdown in place, people turned towards other means of technology to keep up with their work. The use of digital tools quickly gained major hype as it was the only convenient way to get on with it.
Top firms need to channel their funding towards new technologies and go paperless with time to improve efficiency. Most companies are switching towards cloud-based networks to make ends meet. This is to make ends meet for the employees and the clients as well.
New Digital Relationships
As we know, free movement has been restricted due to the pandemic. Thus, people have switched towards technology to communicate with each other.
Even though this technology helps you interact with your team members and clients efficiently, landing a new client can be a bit difficult.
If you approach a new client, a face-to-face meeting can have a significant impact than just talking to them on the phone.
As the person has little to no idea about you, getting a meeting over the phone or video call cannot help the cause. Although there is a silver lining to it, as with these technological tools, you can connect with anyone online to manage things from home.
Adapted Auditing
In the current time, every accounting companies have to adapt to this fast-growing digital transformation. The most difficult part was auditing, as it was impossible to make any on-site visits.
The auditor’s assessments and responses to the risk of financial statement, misstatement and fraud are critical to audit quality. Since every sector was affected by the pandemic, there are a lot of changes in the business practices, work environment, and economy overall.
Despite the complexities, auditors must continue to focus on high-quality audits to help the clients with their business.
Focus on the Vulnerable Businesses
Even though the government has offered many relief packages, many organizations still fall under the vulnerable category.
To avoid this, organizations need to take a decision to change their business model in terms of their governance and management.
Accounting companies helped these businesses to figure out these pain points and avoid bankruptcy in the long run. These accountants reinvented their working models and focused on helping businesses to get back on their feet.
Conclusion
With this new normal, providing online accounting services is challenging but achievable. You can adapt to this changing world and still provide businesses with critical auditing services that can help them rise up again.
In this environment, many of the changes are driven by COVID-19, but companies recognize things that happened must be evaluated and then worked through with the auditors.
There will always be unexpected challenges coming your way, but you need to figure out ways to tackle them and rise to the top.
About Us
OHI is a specialized finance and accounting outsourcing service provider with over fifteen years of finance and accounting outsourcing experience. We have strong functional outsourcing expertise in end to end accounting processes covering daily accounting activities, reconciliations, month end and year-end account finalization processes, employee reimbursements, payroll processing, management reporting and financial analysis.
