The Role of Accountants in the Digital Era: Adapting to Technology or Losing Relevance?

The accounting profession is often synonymous with the task of making financial reports. However, with the development of technology such as Artificial Intelligence (AI) and system based cloud, accountants are now faced with a new challenge: how to stay relevant and provide added value in the digital era?

In the latest episode of the podcast "Find Out" presented by Association of Indonesian Issuers (AEI), Edward Tanujaya, Director of Partnership Relations Indonesian Accountants Association (IAI), shares his views on the development of the accounting profession, technological challenges, and the role of AI in the world of accounting.

Do you still need accountants in the future?

According to Edward Tanujaya, the accounting profession will still be needed, even though its role has undergone significant changes. All institutions, both in Indonesia and in the world, definitely need money and ultimately require accountants to compile and manage their financial reports.

“Every company, every institution definitely needs money. And if you need money, you definitely need an accountant. "What has changed is the way accountants themselves work, not their needs," said Edward.

Despite this, the number of professional accountants in Indonesia is still relatively small. IAI currently has around 34,000 members, a figure that is still small compared to the number of Bachelor of Accounting graduates who have achieved 45,000 people per year. This shows that although many study accounting, not all of them pursue the accounting profession as a career.

The Role of Technology in the World of Accounting

Technology has drastically changed the way accountants work. If in the past financial reports were prepared manually, now almost all processes are based Enterprise Resource Planning (ERP), like SAP or Oracle, as well as based systems cloud computing which allows real-time data access.

“In the past, finding financial data was difficult. Must be sent from here and there. Now, with cloud"Everything can be accessed at any time and from anywhere," explained Edward.

However, the challenge for accountants is not only understanding technology, but also using it wisely correct and effective. According to Edward, there are three main aspects that today's accountants need to master:

1. Understanding Technology → Accountants must know how modern accounting systems work and how to access and utilize available data.
2. Analyzing Data → Not just recording transactions, but also understanding the numbers and drawing strategic conclusions.
3. Maintain Data Integrity → The system may experience errors or malfunction, so accountants still need to master basic accounting concepts to identify and correct errors.

Will AI Replace Accountants?

AI is increasingly being used in the world of accounting, especially in terms of automating transaction recording and analyzing financial data. However, according to Edward, AI cannot completely replace accountants, because the system still requires humans validation, interpretation, and strategic decision making.

“AI can make financial reports, but are we 100% sure the results are always correct? "This is where the accountant's role is to check, ensure accuracy, and carry out more in-depth analysis," said Edward.

For example, when using AI applications such as ChatGPT or Copilot in Microsoft Word and Excel, the results provided may not be immediately usable without double checking. It's the same in accounting: AI can help, but decisions must still be in human hands.

Conclusion: Accountants Must Be Adaptive and Innovative

Technological developments do bring challenges to the accounting profession, but they also open up new opportunities. There will be more and more accountants who are able to master technology efficient and high value, while those that only rely on old ways of working can lose their relevance.

“We are not afraid of AI, but we have to know how use it to make our work easier," said Edward.

For accountants and accounting students, it is important to continue to learn, follow technological developments, and hone analytical skills to remain relevant in the world of work. AI and digital accounting systems are not threats, but tools that can help accountants work faster and better.

Full Video: Find Out: The Impact of Digitalization & Technology in the World of Accounting!