This may be a moot point for many accounting firms who have already moved to the cloud after March 2020 when the pandemic forced most firms to go remote. Even if the work environment in 2021 returns somewhat to normal, there are numerous benefits to using cloud computing for accounting that will remain long after COVID-19 prompted teleworking. Unfortunately for many firms, they were forced to jump into remote work without the proper preparation and now find themselves unsure of what to do next. They aren’t fully in the office, but they don’t have full capabilities for remote work, so they find themselves facing lower efficiency, new remote security vulnerabilities and organizational uncertainty. We’ll go through the benefits of fully transitioning to the cloud, and offer a checklist to get started in this transition.
Flexibility and Scalability: One of the best things about the cloud is that you get full access to your firm’s capabilities, such as files, software, and security from any device that has internet connection. You also don’t need the same amount of hardware such as servers, desktop computers, office space, and even wires. What’s more, if you want to upgrade your on-premises technology you may need months of planning, and then will need to use that same technology for years until you can afford another upgrade. With cloud accounting, you can upgrade relatively quickly, or even downgrade if you’re finding that you don’t need many of the capabilities.
Improved Work Culture: For most accounting firms, nothing can replace face-to-face interactions with coworkers and clients at the office, or even in the break room. But by using the cloud, you can send a message to employees that you trust them to telework, encourage spending time outside the office, and yet remain committed to completing work deliverables regardless of where or when they’re finished. In 2021, this option is a huge advantage for employees and is becoming more and more expected.
Security: The number one concern for most CPA firms contemplating a move to cloud-based accounting is security. However, there is good evidence that moving to the cloud can actually make your firm MORE secure. As long as employees take security precautions, using the cloud can be as secure as working on site. And there are other benefits to this solution such as redundancy in the event of a disaster, access to advanced security, detection and prevention technologies, 24/7 monitoring, and a dedicated security team.
With COVID prompting fast changes, some firms simply did their best to adapt, but lack the IT direction or expertise to take the next step.
Getting started with cloud accounting can be challenging. You’ll need to choose an experienced company who can help migrate all of your on-site capabilities to the cloud. After all, we know you may need access to 24/7 support when working those odd hours during tax season.
Cloud accounting can be extremely secure, assuming you have the right technology and your employees are taking proper precautions. The exact technology you’ll need will depend greatly on the type of firm you have and your existing capabilities. Most cloud service providers will be able to assist you with this step.
If your organization has traditionally been entirely office-based, then you’ll need to get your organization ready for working in the cloud. You’ll have to outline not only what’s expected regarding accountability, but also provide training on how to use the new technology and what security measures they’ll need to take. Fortunately, with most cloud systems, the technology is pretty intuitive, and many function exactly the same for the user at home or in the office.
In the aftermath of the COVID-19 pandemic, the cloud is projected to increase to 14.2% of the total global IT spending, up from 9.1% in 2020. This technology is here to stay, and for good reason. We know that change is hard, especially when the old way was working well. Now, you don’t need to go 100% remote or bring in the video games and pingpong tables to your on-site offices, but gradually integrating cloud accounting into your CPA firm will yield positive results.