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THE INTELLIGENT PRACTICE PUTTING THE VALUE IN YOUR FIRM | 1

THE INTELLIGENT PRACTICEPutting the value in your Firm

2 | THE INTELLIGENT PRACTICE PUTTING THE VALUE IN YOUR FIRM

Contents

FOREWORD 3

DELIVERING FOR YOUR CLIENTS 4

The rise of the sophisticated client service experience

The demand for advisor role holds steady

Automating the tax return experience

DELIVERING FOR YOUR STAFF AND YOUR FUTURE 7

The firm of the future

Be the practice clients want to buy services from

Be the practice staff want to work for

Digital road mapping your own exit

BECOMING A DIGITAL FIRM 11

Taking the first steps – going digital

Data connectivity

Privacy

Storage and data management

BECOMING AN INTELLIGENT ACCOUNTING FIRM 13

Intelligent accounting capabilities for firms today

Intelligent accounting: transforming your practice with data driven decisions

Adding intelligence to your customer relationships

ForewordTransformation is core to the Wolters Kluwer journey and increasingly more for each and every one of our clients. This journey of re-invention is incremental and we need to stay focused on process-by-process to ensure we add value at every step of the way.

Advancements in automation and artificial intelligence for the accounting sector are putting new data in our hands. It is allowing accountants to understand a client’s business like never before. The advent of smart information is building a pathway for smarter accounting firms, smarter client outcomes and an innovative and highly productive future.

With access to intelligent accounting solutions, unique industry insights and cloud-based practice management platforms, we see a bright future for the New Zealand accounting firm.

This year’s eBook, The Intelligent Practice: Putting the value in your Firm, outlines the rise of the sophisticated client service experience and how underlying technologies, plus an approach to the cloud, can build new value for firms and their clients.

We hope you enjoy the findings from our market research into our profession and the rise of intelligent accounting, together with insights from the leading-edge firms we are proud to partner with.

Russell EvansChief Executive Officer Wolters Kluwer Tax and Accounting Asia Pacific & Brazil


The rise of the sophisticated client service experienceThe New Zealand accounting industry today is undergoing a transformation of its traditional service offerings because of innovative technology. It’s helping launch new ways of doing things and a more sophisticated client service experience.

On another level, technology is doing more than optimising the client relationship, it is increasingly replacing the manual workload for accountants. Transforming roles and processes with automated cloud-based solutions – and increasingly more intelligent machine learning – is building new value add capabilities for firms and their clients.

This is a view shared by Scott White of Aiom Limited trading as TaxSmart, a firm that led the way in implementing cloud-based technology and automation in New Zealand. TaxSmart has delivered a broad range of automated systems and workflow processes to establish and build a new accounting and business advisory environment. A long-term proponent of maintaining regular contact with his client base, White believes the benefits of cloud-based and transparent practice management solutions translate into successful business outcomes.

The New Zealand accounting industry is moving closer to developing responses and building strategic plans to navigate its way through these professional and business technology transformation challenges. Interestingly, the advisory role it enjoys with clients around the country remains positive and consistent.

According to Daniel Wyner, Director, Tax and Accounting, Knowledge and Software Solutions, Asia Pacific for Wolters Kluwer the big issue for professional accountants today in this environment is the emerging importance of new service offerings to add value to what your firm already offers your SME clients.

Delivering for Your Clients

The firm has replaced its manual systems with an automated practice management and client communication program, saving considerable time and allowing our accounting team to shift their focus to value-added advisory service offerings and a more personalised level of service.

For our staff that work remotely this has allowed them to remain strongly connected to our clients, without adding any administration or overhead costs to the business.

In fact for many clients we have seen an increase in more regular face-to-face interaction for value-added advisory services. Combining accounting capabilities with technology automation has allowed us to reduce the cost of business, but deliver premium service to our clients across the accounting and financial advisory space.

The bottom line benefit is the extremely loyal client base we have built. Today more than a quarter of our practice has been with us for more than 20 years, and in some instances, we are looking after the third generation of our original client contact.

Scott WhiteTaxSmart


“We do believe the transformation of the typical practice will continue to see the cloud and higher levels of self service and automation with clients become the norm. This may potentially see the fixed price cost agreements debate subside – this is not the priority for many clients. Instead the demand remains for accountants to be more involved in correctly setting clients up in the cloud and being able to deliver wider business process efficiencies.”

Most SMEs in fact seek their accountant’s opinion for bookkeeping and accounting software purchasing decisions. The Wolters Kluwer ANZ Tax and Accounting Landscape 2017 research highlighted the growing influence of the accountant with clients. In 2016 83 percent of SMEs were influenced by their accountant, with 30 percent

highly likely to act on their advice. This grew to 87 percent in 2017 with 32 percent of SMEs directly following their accountant’s advice.

Wyner believes the accounting industry’s ability to influence the business technology capabilities of its client

base is strategic. “This includes bookkeeping, business intelligence solutions and any other business-related software solution that will help their business. This is going to be of paramount importance. We see this rise of ‘Intelligent Accounting’ will let firms check in frequently with clients and help keep them on track.”

For McCoy & Co, transformation via software solutions is a reality. Moving to the cloud a few years ago has allowed the firm to continue to embed technology innovation into its practice. McCoy & Co has achieved significant improvements to the management of its practice resources and has also built a pathway to deliver enhanced services

for clients.

With improved capacity planning and workflow, jobs for the practice stay on track in terms of delivery dates and budgets, resulting in a 50 percent reduction in write offs. Its ability to better manage staffing, deadlines, documentation and the set-up of recurring jobs is contributing to the ongoing growth and satisfaction levels.

“Cloud-based practice management software delivers a much more consistent and professional level of service for our clients, and provides unique insights into the day-to-day challenges of our growing practice”.

The demand for advisor role holds steadyThe numbers don’t lie – the demand for the advisor role is holding steady. This is borne out in the Wolters Kluwer ANZ Tax and Accounting Landscape 2017 research with 71 percent of small to medium enterprises (SMEs) viewing their accountants as trusted business advisors. A role that has maintained its public image and tracked slightly higher (one percent) over a five-year period.

Jules Benton, General Manager, Wolters Kluwer New Zealand believes the demand for advisory services may not be reflected in how accounting firms assess their own capabilities.

“A fascinating shortfall exists between the client perception of the accounting role and that of the practice itself. Only 66 percent of accountants surveyed believed their clients saw them as a business advisor beyond tax and accounting-related matters – this is a 5 percent perception difference. Are accounting firms selling themselves short?”

However, Benton believes this will be overcome by many firms as they seek to actively ramp up advisory offerings in the next five years.

Likelihood that SMEs will be directly influenced by their accountant

0 30 60 90 80 100

32%

30%

87%

83%2016

2017

LIKELY HIGHLY LIKELY

Our taxation accountant now has New Zealand Inland Revenue data pushed through daily, allowing more time to be focused on client accounts and less time on administration. This is a key bonus for us.

Craig McCoyMcCoy & Co

71% of SMEs view their accountants as a trusted business advisors


“Approximately 74 percent of firms surveyed in our Wolters Kluwer Business Intelligence: Navigating the Future 2017 survey forecast an increase in clients using advisory services over the next five years.”

The impact of cloud and how clients would consume accounting and related services was further detailed in the Wolters Kluwer ANZ Tax and Accounting Landscape 2017 research. In 2017, 75 percent of SMEs surveyed managed bookkeeping entirely in-house, versus 81 percent wanting to take this option in 2016 – a 6 percent increase in outsourcing in 12 months.

Automating the tax return experienceThe need to focus on the development and delivery of value add advisory services is evident with the roll out of digital automation from regulatory bodies like Inland Revenue and the potential outcomes for accounting firms. Traditional tax services, such as filing tax returns, are becoming increasingly incorporated into businesses’ accounting software, enabling businesses to file their returns directly with Inland Revenue. This in turn may see the underlying information held in tax returns no longer under the management of an accountant – and no opportunity for proactive advisory returns for both parties.

Plans are in place to simplify and streamline the tax system and provide new digital services. Inland Revenue has plans to help the tax payer manage their own tax business and entitlements from multiple platforms. It is also working with agencies across government and in the private sector to design and deliver integrated services that make dealing with government easier for business and individuals.

For the practice owners that do not see the value of this continued automation and the cloud, nor see the benefits which artificial intelligence may deliver – the future where technology may displace the need for human intervention may come as a shock. However, this won’t be because of a Terminator-style robot taking over their duties – something more along the lines of clients switching to a system that offers advice and consulting on complex, challenging issues.

Collaborative accounting – a current capability of various cloud accounting software platforms and an area where accountants can deliver client service benefits right now – is changing the consultation process between an accountant and their client. According to the Wolters Kluwer ANZ Tax and Accounting Landscape 2017 research, 28 percent of SMEs using accounting software use it to collaborate today, versus 22 percent in 2016. Last year just over half of firms not practicing collaborative accounting thought it may be of value for their firm. This figure increased by 10 percentage points to 63 percent in 2017.

The big issue for professional accountants today is to solve how to keep across what is going on. It is important to remember the cloud favours no-one. Anyone can tap into the same information with the tools and the access that are widely available today. The key is to grab this information that can benefit a firm and demonstrate to clients how to add value by sharing the information. The last thing you want to see for your firm is a future where clients learn how to do it themselves.

Daniel WynerWolters Kluwer

Corporate tax and compliance and indirect tax compliance were the activities most likely to be co-sourced or outsourced

2017

2017

2016

2016

Corporate tax and compliance Indirect tax compliance

0 20 40 60 80 100

67%

68%

77%

72%

Other

No - haven’t thought about it

No - tried it, didn’t like it

No

Yes to offshore-based provider

Yes - to NZ-based provider

8%

53%

16%

21%

3%

3%LARGER FIRMS ARE MORE LIKELYTO UTILISE OUTSOURCINGWITH 21% USING A NEW ZEALAND-BASED PROVIDER

Source: INSIGHTS, TRENDS AND BENCHMARKING FOR THE NZ ACCOUNTING PROFESSION: 2016


The firm of the future The accounting firm of the future will need to navigate three major challenges – new forms of regulation, the globalisation of reporting and disclosure standards and the continued evolution of digital technology – leading to the ‘intelligent’ practice.

Managing these challenges, together with rising client expectations and mounting fee pressure, has become a way of life for tax and accounting professionals.

Additionally, over the last 10 to 15 years many accounting firms have seen the business context in which they operate change dramatically. Cloud computing, automated workflow, exception-based processing, customer relationship management software – once the realm of big business – are now available technology choices for accounting firms wanting to build and maintain a competitive edge. Multiple sources of research all confirm one thing - clients expect best practice accountancy services.

The New Zealand accounting industry has made inroads to the cloud era and the Wolters Kluwer ANZ Tax and Accounting Landscape 2017 research reflects this - around 38% of firms use cloud software.

Delivering for Your Staff and Your Future

38%

36%

24%

18%

CLOUD SOFTWARE

BOOKKEEPING SOFTWARE

TAX SOFTWARE

ACCOUNTS PRODUCTION SOFTWARE

In the cloud


1 - 2 Partner FirmsWhile only 41% of 1 -2 Partner firms are experiencing increased fee sensitivity, just over half consider the profitability of the profession is being eroded, particularly when it comes to compliance. However, not surprisingly, the top performers have a different view and are more optimistic about the future.

YES NO44%56%

Professions being eroded?

The future looks bright with half of respondents not currently using cloud bookkeeping solutions planning to adopt cloud in the next two years, with the balance of non-cloud users split. Half will look at adopting cloud on a longer time horizon and the other half is planning to avoid cloud entirely. For those not considering cloud it may have ramifications on your overall exit strategy for the business, ability to hire and retain staff – and deliver the new services clients expect.

Wolters Kluwer Daniel Wyner outlined: “Earlier this year we asked our clients to put themselves through an interactive business fitness test to gauge where else their practice was benefiting from cloud automation. Our Future Fit survey highlighted key areas where accounting practice software could better support growth, efficiency and profitability.”

� Only 17% of respondents believed accounting firm partners and managers were receiving real-time information on budgets, WIP and job progress so they could manage exceptions as they happened.

� More than 25% of survey respondents indicated they would like to have access to more reliable information to better manage workloads and estimate fees.

� Over 57% of survey respondents confirmed they were running the usual reports to highlight job overruns, though it was often too late to do anything but write off a chunk of the WIP.

Writing off a chunk of the WIP is revenue and revenue means potential profit. Client expectations have changed irrevocably and if your firm can’t deliver real-time insights, greater transparency and capacity planning, then it stands to reason it may be unnecessarily operating under more pressure than ever before.

Compliance Work: Mounting Fee Pressure

Source: INSIGHTS, TRENDS AND BENCHMARKING FOR THE NZ ACCOUNTING PROFESSION: 2016

Sole PractitionersA number of sole practitioners are philosophical about the profitability of the profession, with many experiencing increased client fee sensitivity. On the flip side the more profitable, who are leveraging off their client relationships, are less likely to experience pressure to reduce fees.

YES NO60%40%

Fee Sensitivity?

3 or more Partner FirmsSurprisingly more (59%) of the larger firms are experiencing fee sensitivity than smaller size firms (40-41%). While more firms are experiencing fee sensitivity these firms are more optimistic about the industry with only 38% feeling that the profession’s profitability is being eroded. Top performers are feeling less fee sensitivity from their clients than others. Given they are also seeing increases in the number of clients, it continues to hold that having a good working relationship with your client reaps rewards.

YES NO92%8%

Reliance on a few clients?


Be the practice clients want to buy services fromFor today’s accountant, now is a great time to lead by example. Make sure automation gains from the cloud help build the type of practice clients want to buy services from. Today there is a real need to focus on how the convergence of technology and collaborative tools, as well as the new service expectations from clients, can be managed all at once by a professional practice. Cloud accounting platforms can also now connect you and your clients to financial services and business software, adding even more value.

In the Wolters Kluwer Business Intelligence: Navigating the Future 2017 survey, 32 percent of our respondents had established their firm in the last decade, a time when cloud accounting truly began to emerge.

What is it then that sets apart the firms that lead the way?

Established in 2008, Arnerich & Associates is part of a new wave of accounting firms incorporating innovative collaboration tools into the practice and transforming how they deliver traditional products and services. Joining the first wave of users for the recently launched CCH iKnow platform hub of practical tools and software is delivering bottom line business benefits. For Founder Tracey Arnerich, this has saved time and provided certainty.

Be the practice staff want to work forDigital natives are driving the change in technology consumption in the workplace and 2017 marks an interesting milestone. This is the first year that Gen Z will be settling into a full year of employment, with an even more evolved outlook for technology than millennials – highlighting the increased technology gap between the younger millennial and Gen Z workers versus the Gen X and boomer generations.

These are the accountants that want to use cloud-based automation to move beyond data entry tasks. Advanced, more intelligent technologies can produce more evolved and efficient outcomes. For example, the next generation of accountants may be less collaborative as an industry and instead be more competitive. Accountants may not charge for tax returns, instead opting to data mine client files to identify and act upon higher value advisory services.

For Gartner VP, distinguished analyst, Whit Andrews, millennials are already disrupting workplace technology and should be consulted when identifying and purchasing business solutions. “Millennials have the reputation of complaining about the technologies their organisations provide them for their work. In fact, they’re satisfied with the technologies they’re given, but are heavy users of organisation-tolerated technologies that may not be approved, and also technologies that are not officially allowed at all.”

In “How Millennials are Disrupting Workplace Technology” by Gartner, it outlines how millennial digital workers really are different from older employees. They are twice as likely to use personally obtained applications or web services that are not work sanctioned, plus a significantly heavier user of storage and sharing tools.

How many years have you been in practice?

40+

30-40

20-30

10-20

5-10

<5 YEARS

31.62%

19.2%

10.54%

6.56%

14.52%

17.56%

We don’t have time to navigate around the tax Act in its current state and CCH iKnow provides clear and straight to the point commentary for the team.

CCH iKnow is easy to use and its powerful search engine delivers content that is easily understood. It’s fast too and that helps when you are faced with issues every day. It has to a certain extent reduced the use of an external tax advisor, which is another benefit for the firm.

Tracey ArnerichArnerich & Associates


Digital road mapping your own exitOver the last decade the average age of a partner in public practice in New Zealand has increased slightly from 45 years to 48 years. Interestingly from 2019, 1 in 4 practices will have a partner reach retirement age (GBU Insights Staff Mix 2016). For those partners considering retirement the systems and processes of a firm must be in good shape to unlock the maximum value from the business.

Often, we have heard it is crucial to ‘begin with the end in mind’ for any exit strategy, however the advent of cloud has changed things. With cloud comes the opportunity to consider your technology journey – after all it will benefit your clients now plus add value to your firm when it comes time to sell. Post-sale the implementation of innovative cloud accounting and associated business software solutions can further act as a tool to retain the team and the client base.

Having the right cloud accounting solutions for practice management and client compliance and advisory services can contribute to the overall valuation of the firm.

Building a cloud-based business is an elegant solution for a service driven world - open collaboration with clients and a system that puts clients at the core. With a cloud-based practice it is easier to train a lens on clients and their data. Cloud ecosystems can pool together packets of data to identify a correct treatment, process, income stream, or piece of advice that matters most to the client’s business.

For public practice accountants, there is an opportunity to make the most of the cloud and automate the current level of compliance requirements.

Four Goals to Transform your Practice:

Be Cloud AgileMake the most of the cloud, apps

and mobile devices

Be ProactiveBuild a path to support the compliance

function as it changes and emerging advisory revenue streams

Add ValueDemonstrate value to clients in a more

commoditised environment

Access to Data Use your client database for more sophisticated client servicing and frequent business development

Younger clients are digital natives and they expect cloud automation benefits to deliver a different experience with their accountant. Younger staff – the most likely purchasers of today’s accounting firms – will also expect digital technologies in their work environment. If you don’t invest in cloud accounting and new options for intelligent accounting who are you going to be servicing and selling your firm to?

Daniel WynerWolters Kluwer


Taking the first steps – going digitalThe first step towards becoming a digital firm is moving to the cloud – adding a cloud accounting platform to enhance how you work with clients. Cloud accounting software enables collaboration, a capability that is growing in value as firms become more familiar with collaboration outcomes. Plus, the larger the SME, the greater the return on collaboration. When you add social media to the mix you have improved collaboration, engagement with stakeholders and disclosure even further.

Cloud accounting will also support the move towards outsourcing services - this also includes the trends for firms to commit to greater levels of overseas outsourcing.

As a business owner, you need to understand what it takes to move to the cloud and how this should look. Your infrastructure needs to meet your business goals, plus the wider requirements for governance and legislative requirements.

Data ConnectivityProfessional strength data connectivity is imperative for accounting firms to understand and implement a range of cloud accounting solutions to service client book keeping requirements. A professional cloud accounting solution needs to unlock and leverage the right kind of data from multiple book keeping solutions across a range of Automated Programming Interfaces (APIs) – from both firm and client sides.

APIs are key for innovation and can reshape the way accounting professionals work – automating data entry, pre-populating workpapers and developing other time saving tools which contribute to the overall goal of efficiency and accuracy gains. Scanned documents and receipts can automatically populate client files – saving time, reducing errors. Invoices can be completed quickly and efficiently – being sent the minute a job ends.

Becoming a Digital Firm

Cloud accounting is more efficient for servicing and processing demands during peak tax time – it’s prone to less errors - and it provides a level of security well above unprotected paper files and USBs. With the Inland Revenue moving towards a digitisation of its service offerings, it makes sense to ensure your own client documents are in secure web portals and can be processed automatically straight through to the regulator.


PrivacyThere are specific industry requirements for the storage and transmission of financial data for every working New Zealander. The data needed to file a tax return is extensive, from personal to financial details and corporate governance and legislative requirements again apply. Just as financial data has been subject to strict controls for many years by larger banking institutions, each accounting practice needs to implement strict access and

communication controls to restrict access to its client’s valuable information – even from within its own firm.

Maintaining security controls for client data enables staff to be authorised or restricted for clients and projects and it means that practice managers can have a very clear understanding of end-user access control.

Storage and Data Management

Know where your data is physically hosted, locally or internationally – and how data is stored in the cloud.

And when firms consider moving from an on-premise solution to a cloud hosted environment, it is not just enough to ‘go to the cloud’. There is always a financial impact to downtime and considerations must be made to compare preparing for server failure, software updates not working on premise and engaging IT staff.

Redundancy policies and procedures, whilst part of a cloud services provider’s Service Level Agreement (SLA), in turn are the basis for a firm’s SLA to its own customers. Establishing a benchmark with a cloud service provider is necessary to keep a business running.

Less than 20 percent of accounting firms not using the cloud see security as a barrier to entry. However, security remains one of the overall considerations for storage and data management policies – particularly with mandatory data breach disclosure laws changing soon.

1. Would you like to replace paper files with a more secure online offering?

2. Will you be using the cloud for practice management and growth?

3. Are you ready to move your IT spend to an outsourced model?

4. Would you like your business to be mobile and yet secure?

5. Would an online client portal improve your current client communications?

6. Have you thought about your current data privacy obligations?

7. Would you like to implement a transparent Practice Management solution?

8. Do you want to streamline your reporting and time-sheeting capabilities?

9. Do you want to be more efficient servicing and processing taxation and compliance documentation?

10. Can your existing system integrate with industry knowledge solutions?

Know when you need a digital practice:


In 2016 Oxford University released report results which showed 57 percent of jobs across the OECD would be impacted, or be at risk of automation. For accountants, the rise of artificial intelligence and automation is an opportunity to drastically reduce the mundane repetitive tasks and ensure their contribution is focused on value add.

Shifting repetitive tasks to machines will allow us to re-invent traditional accounting as we know it. Machine learning – the edge of artificial intelligence – uses algorithms to interpret data and predict outcomes – learning from its successes and failures. Machine learning has the capability to penetrate accounting to take care of the data, and instead let accountants focus on the interpretation of the data and make valuable recommendations to their clients.

This is what clients want, no more transactional once a year tax return-type visits with their number one advisor. Instead automation and the benefits of artificial intelligence can create a deeper and broader relationship between accountant and client.

In the Artificial Intelligence in the Accounting Profession 2017 survey the pervasiveness of artificial intelligence was recognised. Respondents were positive about the benefits artificial intelligence could deliver to the accounting profession.

Independent advisory firm, capioIT managing director and survey author, Phil Hassey says: “Survey respondents were very positive about artificial intelligence and its transformation of ‘intelligent accounting’. There was a lack of understanding around the maturity of the capability of artificial intelligence in the profession.”

Becoming an Intelligent Accounting Firm

Firms will need to adjust to ensure they can leverage the value of the output from artificial intelligence. Feedback from our survey indicated there was no point to intelligent accounting if it was not linked to improved business outcomes and of course client outcomes. Education will be important for firms, employees and clients. As with the cloud accounting, and other innovations, it is hoped that the shift towards artificial intelligence will help them become trusted advisors and business managers rather than just accountants

Phil HasseycapioIT


Intelligent accounting capabilities for firms todayThe accounting firms that harness the automation benefits of artificial intelligence found in professional software solutions will become the front runners of a new type of accounting advisory service – building on an evolution of the compliance role. For these savvy business owners, artificial intelligence will find the tax-related events, curate the relevance of these events and outline the potential impact – and match to a likely type of client that will be impacted by the event. More client-focused communications which can be tailored are now available at the touch of a button.

Intelligent accounting: Transforming your practice with data driven decisionsThis information can be found in client tax returns and artificial intelligence can now unlock this information by analysing it quickly, automatically and allowing all parties to act on it straight away.

In 2016, we called it predictive intelligence and for accounting firms integrating this approach into their firm, we now refer to it as intelligent accounting.

Early adopter firm are already experiencing the benefits of intelligent accounting, both for the client base and the firm. For these firms being cloud and web-based is non-

negotiable for achieving their goals, both financial and non -financial.

They are experiencing how intelligent accounting can really legitimise the difference between what they can offer and a general accounting firm. For many premium service is paramount and the ability to easily automate actionable events in an easy to read format to our clients within 48 hours is a core benefit. It allows them to be more proactive as opposed to reactive with their approach to accounting and advisory services.

Adding intelligence to your customer relationshipsIntelligent accounting’ can also help accounting firms better know and engage with their clients. The first wave of intelligent accounting is utilising artificial intelligence to find relevant industry events, curate their relevance and highlight the impact of the event. This artificial intelligence tool improves the speed to market, accuracy and relevance of the matter at hand for all parties.

A unique approach to boosting its relationship with its global client base via social media channels is now starting to gain traction across Australia and New Zealand. International accountants and strategic business advisors, Thompsons Australia are now incorporating ‘intelligent content’ – content developed with the latest artificial intelligence tool available in the market – is generating online commentary, deeper engagement and multiple new business opportunities.

� Access to related information in real time

� Ability to benchmark performance with a broader set of markets. This information can help us to remain a trusted advisor

� Enable me as a professional to spend more time helping the client with managing their business, and less time doing routine paperwork. Automation is important

� Improve my ability to educate myself and my team on changes in Accounting

� Reducing mistakes and errors

Key benefits:

Artificial Intelligence in the Accounting Profession 2017 survey

CCH iKnow is very impressive. With the modern user- friendly search function the team finds it easy to navigate and source the content they need. Together with access to new detailed commentary, we are finding CCH iKnow has become a key business tool. It’s helping us find the right content we need quickly and building better customer service outcomes.

Barbara MillerMiller Johnson Chartered Accountants


For Greg Thompson, Principal, Thompsons Australia it’s all about collaboration. “We are benefiting from the production and delivery of up to date, automated content for the team and our client base. Intelligent accounting insights help educate everyone in the firm, saving them hours of searching, collation and analysis.”

Thompson concluded: “Having intelligent accounting content integrate into our services offering is part of our overall marketability. It has helped build on our own digital-first firm approach with staff and clients.”

Data driven decisions are a way of using a predictive intelligence tool to recognise actionable information from hundreds of macro-economic and legislative events that take place every year – such as changes to tax laws – using “client match” technology to search an accounting firm’s database to match the event with impacted clients.

A single search can match to multiple client outcomes, bringing a greater level of depth and insight to a firm’s

clients, helping the practice to build relationships based on high-value tailored advice. Professional accounting firms can flag new business opportunities, communicating through a choice of pro-forma letters, impact statements or even calculators. Imagine using a new solution to automatically share the firm’s thought leadership on possible outcomes with a new digital platform reaching clients automatically.

It empowers accountants to pick up the phone to their clients and have valuable conversations all around compliance – before they even know it’s happened! Effectively taking the leap in shifting from retrospective compliance to proactive advisory work. Leap to lead.

Additionally, we can now lift content and commentary and integrate this into our social marketing, whether that is a typical social media channel such as Facebook or our own newsletter channel. Our engagement levels have increased and we find that these informal touch points, or the more formal scheduled conversations responding to queries have generated revenue for the firm and provided a more responsive customer service offering for clients.

Greg ThompsonThompsons Australia

Intelligent accounting is based on Big Data algorithms that search legislation, rulings, the precedents created by legal proceedings, commentary and practice aids. By applying filters across results by content type, library, topic, and jurisdiction or by court it can match possible changes to any field held in a tax return where client data has been entered. Predictive intelligence big data can also search news items and cross match them to legislation outcomes enabling more accurate advice. Toolkits can even assess the impact to other financial transactions property valuations or SMSF portfolio management software.

How intelligent accounting works:

Considerable shortcomings in AI knowledge

Shortcomings can be managed with upfront communication plans

AI can help the Accountant become a trusted advisor

Any solution has to maintain and enhance

trust between the client and accountant

There are a number of complementary and

competitive solutions in the Accounting Profession

Key Outcomes


CONTACT US TODAY

P: 0800 500 224 E: [email protected] W: www.wolterskluwer.co.nz

APD-

17-0

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© 2017 Wolters Kluwer Asia Pacific

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