Company: BKR International
Name: John Beauston, Managing Partner, Moore Beauston & Woodham LLP
Title: Chair, Americas Regional Board
How is the rise of technology and automation reshaping the accounting industry?
The incorporation of technology and automation is transforming the accounting industry in a variety of ways. Increased efficiency and accuracy can be observed from:
- Automation of repetitive tasks;
- Real-time data and reporting;
- Reduced errors; and
- Advanced analytics and predictive analytics.
I have seen a rapid improvement in audit quality and efficiency, especially as AI-powered audit tools become more prevalent across firms of all sizes. These tools are significantly enhancing our ability to identify potential risks and accounting anomalies during attestation services. Most notably, they are streamlining the audit process, reducing both the time and cost involved.
Also, implementing internally AI-powered tools in new AI-driven services such as predictive analytics, fraud detection and risk assessment. These services will help clients make better business decisions and mitigate risks.
These transformations allow CPA firms to shift service offerings to value-added advisory services and become more proactive when providing all services to clients.
With the increasing volume of sensitive financial data managed by accounting firms, what advanced cybersecurity measures are being adopted to ensure data privacy and integrity?
John Beauston
Along with the wider adoption of data and email encryption, it is becoming common place for CPA firms to embrace strong authentication protocols for accessing software and related data with multi-factor authentication (MFA), not to mention the implementation of continuous monitoring of user activities and network traffic.
Firms are also integrating AI and machine learning-based tools in this monitoring process, which enables the detection of real-time anomalies more effectively, thereby significantly reducing the risk of system breaches.
In the face of inflation, market volatility and geopolitical risks, how are accounting firms preparing for potential economic uncertainties? What strategies are being implemented to help clients navigate these challenges?
CPA firms are diversifying their services by expanding advisory, consulting and risk management offerings, and by focusing on developing expertise in niche areas such as cybersecurity, international tax, and environmental, social and governance (ESG) reporting. These specialized services are increasingly in demand during times of uncertainty.
Internally, firms are focusing on cost management and operational efficiencies with strategic plans that include outsourcing and offshoring certain functions, as well as adopting cloud-based solutions to enhance flexibility and reduce overhead costs.
With the recent influx of private equity and continued M&A activity, how is the landscape of the accounting industry changing?
We’re seeing a real shift in the accounting industry with all the private equity investments and M&A activity. This is leading to larger, multi-disciplinary firms that can offer a wider range of services. The extra capital from these deals is a big plus – it’s fueling investments in cutting-edge technology like AI, machine learning and data analytics, which allows us to provide more tailored and robust services to our clients.
However, as the consolidation of the industry continues, there is increased competition for talent. Merging different company cultures, aligning values and keeping employees happy are all critical to making these deals work in the long run. Successfully managing these challenges is key to retaining the best people and ensuring everything runs smoothly after the merger.
What are the strategic advantages of BKR International membership for accounting firms in today’s rapidly changing industry?
Being a member of BKR International affords a range of strategic advantages that are invaluable in today’s fast-paced industry. Central to BKR’s initiative is “Business Knowledge and Relationships.” This translates to benefits in:
- Access to international markets.
- Cross-border client support.
- Enhanced service offerings delivered with broader expertise and collaborative opportunities.
- Brand reputation and credibility resulting in higher levels of client confidence.
- Increased competitive edge.
- Attracting top talent and offering professional development.
- Knowledge and sharing best practices among member firms.
- Networking and relationship-building.
For my firm, being a part of BKR International has been a game-changer. The resources and connections we’ve gained have equipped us to thrive in today’s rapidly evolving business landscape.
BKR International also provides ample opportunities for member firms to strengthen their networks through annual worldwide and regional meetings. These events feature top industry speakers and international experts, making them invaluable for knowledge exchange. Additionally, each region hosts a tailored Leadership Institute, which is instrumental in developing the next generation of leaders within member firms. This not only shapes the future of BKR International but also ensures that emerging leaders are well prepared for the challenges ahead.
