- August 23, 2018
- Posted by: AcoBloom International
- Category: Business plans, Economics, Finance & accounting, International
It is generally a perceived notion among accounting firms that outsourcing brings loss of jobs to the organisation which is not the case. As per decade of our experience in outsourcing, what tends to happen in fact is that when transactional/regulatory compliance work is outsourced, the senior accountants get freed from the transactional & compliance work like bookkeeping, accounts production, management accounts and thus can be involved in value added task which also impacts the top line of your practice by bringing more revenue.
Junior accountants and students preparing for their ACCA’s can be re skilled as per upcoming technologies which can be adopted by your practice to stay relevant in the market. Junior accountants and students’ program of reskilling also keeps the generation of leadership process alive in the practice.
Also, the quality of work increases when outsourced, contrary to the notion of quality being reduced. The fact of the matter is because generally students/junior accountants having less than 2 years of work experience, work on the accounts production, bookkeeping, management accounts, payroll & taxation and it is highly likely of making errors. Eventually, when the work is being reviewed by your senior accountant/practice manager, it becomes struggling at times for them to work out, thereby reducing the productivity and efficiency which is itself a cost.
On the other hand, when the work is outsourced to the team specialised in the UK accounting with hands on the softwares and working on the accounts of several other accounting firms, the likeliness of quality work increases. The layers of the quality checks are designed as such, that virtually it becomes impossible for accommodating minute mistake when delivered to the onshore. In gist, the accounting firm in the UK do not have to spend hours while reviewing the jobs processed by the team at offshore.
Also, at the same time when practice is growing the no. of staff can be increased at offshore which also saves your time to spend time at your clients’ location to nurture the client relationship. And, new business development strategy can be thought of. (read more on the business development of accounting firms)
At this point, it brings lot of value when the time, resources, energy and money at the least are saved and can be re invested to your practice.