Finding the right workflow automation tool can be a real challenge for accounting firms.
In this comprehensive review, we'll uncover the top 4 options that can save your firm hours of time on repetitive tasks, reduce errors, and allow you to scale efficiently.
You'll see detailed features, benefits, and considerations for leading solutions like Xero WorkflowMax, TaxDome, FloQast, and Jirav by Sage - equipping you to make an informed decision on what's best for your firm's unique needs.
Introduction to Workflow Automation for Accounting Firms
Workflow automation tools are revolutionizing the way accounting firms operate by optimizing repetitive tasks. They help streamline routine processes like client onboarding, invoice processing, bank reconciliations, and more. This enables firms to work faster and focus their efforts on more value-adding advisory services.
According to a recent survey, over 50% of mid-sized accounting practices are now using some form of workflow automation. The tools can lead to impressive productivity gains of 20-30% once implemented. They also tend to have quick payback periods of less than a year.
For accounting professionals workflow automation delivers a range of benefits:
- Faster processing and turnaround times
- Fewer manual errors and corrections
- Improved compliance with regulations
- More consistent working practices
- Enhanced visibility into workflows
- Increased capacity without adding staff
With fierce competition in the industry, forward-thinking firms are investing in the latest solutions to boost efficiency. The technology not only saves time and money, it also enables firms to take on more clients and facilitate growth of advisory services. This is crucial for long-term success.
Hopefully this overview has provided insight into why workflow automation has become so instrumental for modern accounting practices. Implementing one of the many best tax practice management software tools now available can pave the way for leveraging artificial intelligence and emerging innovations. The firms that embrace automation early stand to gain a real competitive edge.
What is your top tool for workflow automation?
Workflow automation helps accounting firms streamline repetitive tasks and processes to operate more efficiently. Some of the most popular and powerful tools on the market for accounting workflow automation include:
Monday.com
Monday.com is a great option for accounting project and task management. Key features include:
- Customizable workflows and automations
- Time tracking and reporting
- File storage and templating
- User permissions and access control
- Mobile app for on-the-go access
This platform shines for its flexibility to set up workflows tailored to your firm's specific needs. The visual interface also makes it easy to create a system even non-technical staff can use.
QuickBooks Workflow Max
QuickBooks WorkflowMax integrates directly with popular small business accounting platform QuickBooks. With deep roots in accounting and finance software, Intuit designed this workflow automation tool specifically for accounting professionals. Key capabilities include:
- Client onboarding and offboarding workflows
- Document collection and organization
- Task assignment, scheduling, and tracking
- Time and expense tracking
- Standard operating procedure templates
This purpose-built solution streamlines workflows native to accounting firms. The QuickBooks integration also reduces manual data entry between systems.
Xero WorkflowMax
Similar to QuickBooks WorkflowMax, Xero WorkflowMax integrates directly with cloud accounting platform Xero to eliminate friction between systems. Noteworthy features include:
- Email templates and automated reminders
- Client questionnaire builder
- Document tagging and optical character recognition
- Custom branded client portal
- Inventory management workflows
For accounting firms using Xero, WorkflowMax can help systematize key processes without needing to enter data across multiple platforms.
Jira
Jira began as an agile project management tool but has evolved into a flexible workflow automation solution. It offers:
- Customizable project tracking boards
- Automated task assignment and alerts
- Time logging and reporting
- End-to-end development lifecycle management
- Open API for limitless integrations
While more technical than other options, Jira gives immense control to build custom workflows exactly aligned with existing accounting processes.
In summary, today's leading workflow automation platforms help accounting firms boost productivity, collaborate better, and deliver exceptional client experiences. The right solution depends on your firm's specific needs and tech stack.
What is accounting workflow automation?
Accounting workflow automation is the process of leveraging software to systematize repetitive and manual accounting tasks. This can include everything from data entry and report generation to approving invoices and managing accounts payable/receivable.
The goal is to increase productivity, accuracy, and visibility across the accounting process through automation. Key benefits include:
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Reduced manual work: Automating repetitive tasks like data reconciliation, report building, etc. lets accountants focus on high-value work.
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Increased accuracy: Automated workflows have much lower error rates compared to manual processes. They apply accounting rules consistently without human error or oversight.
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Improved visibility: Dashboards and reporting provide real-time visibility into automated accounting workflows. This helps identify bottlenecks, trends, and performance issues.
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Enhanced security: Automated controls, audit trails, and data validations improve financial data integrity and security.
Popular accounting automation software include Xero, QuickBooks Online, Sage Intacct, and NetSuite. However, specialized workflow automation tools like FloQast and BlackLine can take automation to the next level for core accounting processes like account reconciliations, journal entries, financial close management, and report building.
The right automation tools enable accounting teams to focus less on routine work and spend more time providing strategic business insights. This leads to major productivity and efficiency improvements.
How do I choose a workflow tool?
When selecting workflow automation software, it's important to fully understand your firm's needs and pain points. Here are some key considerations:
Recognize Your Firm's Specific Requirements
Take time to analyze your current processes and identify areas for improvement. Consider which manual tasks are wasting time that could be automated. Also determine what your volume needs are in terms of users, projects, documents, etc. Having clarity on your needs will help narrow down software options.
Evaluate Key Software Capabilities
Look for a solution that seamlessly handles essential functions like task routing, deadline tracking, status visibility, document management, and analytics. Also assess how easily the software integrates with the other tools you use like email, accounting systems, CRM platforms etc. User permissions, controls and access levels are other key aspects.
Understand Pricing and Scalability
Opt for software that aligns with your budget and offers flexibility to adapt as your needs change over time. Some solutions charge per user, others base fees on volume usage. Consider free trial periods to test software capabilities before committing. Scalability is also key - can the system easily onboard more users, clients or projects without issue?
By carefully weighing these factors, accounting firms can determine the right workflow automation system to boost productivity and streamline operations. The key is finding a solution tailored to your firm's unique needs and growth objectives.
What 4 things does effective workflow include?
An effective workflow typically includes four key elements:
Clear process definition
Clearly defining each step in a process ensures all team members understand their roles and responsibilities. This prevents duplication of efforts or critical steps being missed. When implementing new software, map out workflows in detail first.
Seamless integration
The various software systems and tools used should seamlessly integrate to enable smooth data flows. This eliminates manual work and reduces errors from re-entering data. With accounting software, prioritize integration capabilities during vendor selection.
Automated handoffs
Automating the handoffs between different users, applications or approval steps accelerates processes significantly. Identify manual touchpoints that can easily shift to auto-triggers instead. For example, auto-sending invoices to clients when projects are marked complete in the system.
Ongoing optimization
Continually analyze workflows to identify potential bottlenecks or redundant steps that can be removed. As your firm's needs change over time, ensure your workflows evolve accordingly. Conduct periodic reviews to find areas for improvement.
Following these best practices will ensure your accounting firm's workflows maximize efficiency. The key is taking a methodical approach - map it out, integrate systems, automate where possible, and keep optimizing. With the right workflow management strategy, your firm will be poised for scalability and success.
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Elevating Efficiency with the Best Tax and Accounting Software
Increased productivity, improved accuracy, faster processing times, and cost savings are some of the major advantages accounting firms can realize by implementing the best workflow automation tools. As client demand grows and administrative tasks pile up, the right software can streamline operations to boost capacity without inflating headcount.
Saves Time on Repetitive Tasks
Automating routine activities like data entry, report generation, and document filing with software frees up staff to focus on high-value services that directly support clients. For instance, rather than manually compiling figures into financial statements or tax returns, automated extraction and import tools populate the necessary forms with a click. Staff can then dedicate their time to analyzing results, providing strategic advice, and building client relationships. The best accounting software seamlessly moves data through predefined workflows, minimizing time wasted on mundane tasks.
Reduces Human Error
Repetitive administrative tasks often lead to mistakes over time as focus wavers. Whether due to distraction, fatigue, or unintended oversight, human error drives costly rework and auditing requirements. Automation handles repetitive processes consistently without fail, greatly minimizing misfilings, data entry mistakes, and inaccurate calculations. This reduces the risk of penalties and maintains accuracy standards for billing and reporting. As less time goes toward fixing errors, firms experience higher productivity levels overall.
Allows Scaling Without Added Headcount
Rather than hiring more full-time staff, implementing scalable workflow automation tools allows firms to take on more work without inflating headcount costs. The software handles increased volumes without getting overloaded or distracted. By removing bottlenecks around manual tasks, productivity capacity expands through technology rather than additional employees. This enables accounting practices to grow their book of business and revenue without necessarily growing their long-term liabilities. The key is choosing software smart enough to automate the right tasks at each stage while seamlessly integrating with existing systems.
Overall, as accounting firms aim to elevate efficiency, the best practice management solutions provide that essential lift. Purpose-built automation cuts out the manual busywork bogging down staff to unlock newfound potential. With more time and mental energy freed up, accountants can then apply their expertise toward bigger-picture strategic initiatives that ultimately boost the bottom line. The future of accounting lies in leveraging software, not resisting it. Firms that embrace workflow automation today will transform their operations and leap ahead of the competition.
Decoding Features for Management Accounts Software
The most useful workflow automation tools for accountants have OCR, integration capabilities, dashboard reporting, and strong data security. These key features streamline manual processes and provide insightful analytics to help accounting firms operate more efficiently.
OCR and Document Processing
Optical character recognition (OCR) technology extracts text and data from scanned documents or PDFs. OCR converts unstructured data like invoices or bank statements into structured, digital information. This eliminates the need for manual data entry which is tedious and prone to human error.
By automating document processing with OCR, accounting professionals save significant time and effort. This allows them to focus on providing value-added advisory services for clients rather than administrative tasks.
OCR accuracy rates have improved tremendously with advances in machine learning. However, the best workflow automation tools provide options to train the OCR engine on specific document types or review data extraction results. This helps maximize accuracy for individual accounting firm's needs.
Integration With Leading Tax Practice Software
Seamless integration with popular tax and accounting platforms like QuickBooks Online, Xero, or Sage is essential. This enables automatic syncing of client data between systems without manual exporting or importing of files.
Native or custom-built integrations via API allow workflow automation tools to connect with various tax preparation software, practice management platforms, or CRMs used by accounting firms. This eliminates duplicate data entry and ensures different systems remain continuously updated.
With real-time syncing across platforms, accountants can rely on automation to keep data flows running smoothly. This means more accurate reports and financial statements delivered faster to clients.
Easy-to-Use Workflow Builder
An intuitive drag-and-drop interface for building workflows makes automation accessible for non-developers. Workflow wizard templates further simplify initial setup by providing pre-configured workflows for common accounting tasks.
With an easy learning curve, all team members can be trained to automate various processes - from A/P and A/R to reconciliation or financial reporting. Firms customize workflows to best suit their needs and scale automation across different clients or tasks.
As requirements change, workflows are easily edited and optimized without IT help. This enables continuous process improvements as accounting firms embrace digital transformation.
Analytics and Reporting
Insightful analytics around automated tasks and workflows are invaluable for spotting and resolving issues early. At-a-glance dashboards clearly display stats like task throughput, processing times, accuracy, failures or exceptions.
Trend analysis over time helps assess seasonal workload changes or identify recurring bottlenecks in current workflows. Data driven decisions optimize future automation to maximize productivity gains.
Detailed audit logs provide transparency around all transactions for compliance. Scheduling reports or setting alerts ensures stakeholders have full visibility into automation health, productivity, and ROI.
Conclusion
Automating manual tasks allows accounting professionals to provide more value-driven services. The right workflow automation tools become a seamless extension of existing systems. Key features like powerful OCR, deep integrations, an easy-to-use builder and rich analytics pave the way for long-term automation success.
Top Accounting Workflow Automation Tools
We review software purpose-built to streamline workflows for tax practices, bookkeeping firms, and accounting departments.
Xero WorkflowMax: A Robust Tax Practice Management Software
Xero WorkflowMax integrates seamlessly with Xero accounting software to help automate and optimize workflows. This makes WorkflowMax a great choice for firms already using Xero.
Key features include:
- Client onboarding tools like data collection forms to quickly gather info from new clients
- Customizable engagement letters with eSignature capabilities
- Secure client portals for easy document sharing
- Automated workflows for processes like account reconciliation
With robust process automation capabilities purpose-built for accounting teams, WorkflowMax reduces manual work and helps firms focus on high-value advisory services. The native Xero integration also makes data flows between the two platforms seamless.
For growing accounting practices looking to scale more efficiently, WorkflowMax is a top choice to consider that plays nicely with Xero's accounting tools.
TaxDome: An All-in-One Solution for Tax Professionals
TaxDome specializes in helping tax professionals streamline and automate their operations. Key features include:
- Automated data import from common tax forms and documents using OCR
- Easy e-signature workflows to collect client forms
- Centralized document management with automated naming and sorting
- Customizable tax return checklists to standardize quality control
With tools built specifically to eliminating tedious manual processes for tax preparation, TaxDome enables professionals to complete more returns accurately and efficiently.
Everything from data collection to e-filing is optimized for simplicity. This makes TaxDome a leading tax practice management platform. It's an excellent solution for automating tax workflows.
FloQast: Streamlining CPA Workflow
FloQast is dedicated to optimizing accounting processes, especially around monthly financial closes. Key features include:
- Customizable close checklists with automated reminders
- Deadline tracking tools
- Reconciliation software for bank accounts, balance sheets, and more
- Reporting automation for faster financial statements
By automating many of the repetitive workflows CPAs handle around month-end closes, FloQast lets accounting teams focus on value-added analysis and advisory work.
Whether eliminating spreadsheet reconciliations or standardizing close checklists across business units, FloQast helps accounting departments scale more efficiently. It's a top accounting workflow automation solution.
Jirav by Sage: Smart Management Accounts Software
Jirav aims to simplify management accounting through process automation and AI-powered tools. Key features include:
- Hundreds of accounting process templates out of the box
- Intelligent OCR form processing and data extraction
- Automated reconciliation of accounts like bank statements
- Real-time reporting dashboards powered by AI
With strong process automation capabilities tailored for management accounting teams, Jirav reduces the reliance on spreadsheets and manual workflows.
Whether it's accelerating order-to-cash or automating balance sheet reconciliations, Jirav provides the templates and tools accounting teams need to scale smoothly. This makes it a leading workflow automation platform for management accountants.
Ensuring Seamless Integration with CPA CRM Systems
Properly setting up and adopting workflow automation ensures long-term success and return on investment for firms. When integrating new software tools like automation, it's important to have a phased, collaborative approach to ensure seamless adoption.
Start Small, Then Scale
Focus initial automations on high-volume repetitive tasks like invoicing, document management, and data entry. Simple workflows are easier to set up and allow your team to get comfortable with the technology. Once proven effective, you can begin automating more complex cross-system workflows between your accounting platform, CRM system, email, and other tools you use daily. Starting small reduces disruption as you scale automation more broadly across the firm.
Involve Staff Early On
Get team input early in the process to ensure you automate the right pain points. Have them identify manual workflows that are draining productivity. Secure buy-in before launch by including staff in planning and testing. Employees will more readily adopt new automations when they've provided direct input into their creation. Ongoing feedback channels also allow you to refine workflows post-launch to better suit employee needs.
Monitor and Optimize
Continuously check analytics across your accounting, CRM and other systems for opportunities to improve automated workflows. No automation is perfect right out of the gate. Review performance metrics like task time savings, error rate reductions, and throughput increases to isolate issues. Be aggressive in updating workflows that underperform expectations. Well-tuned automations that evolve based on real-world usage data will provide the highest long-term value. Also consider quarterly reviews to implement newly available features and functionality.
The Future of Intelligent Accounting Automation
AI and machine learning have enormous potential to transform accounting workflows by enabling software to become smarter and more adaptive over time. As these technologies continue to advance, we can expect to see intelligent automation deliver even greater productivity gains.
Here are some ways that AI is likely to impact accounting in the years ahead:
Enhanced Data Processing
AI will be able to automate more complex data tasks that currently require human judgment. Software will become better at identifying anomalies, detecting fraud, and handling exceptions through pattern recognition across large datasets. This will free up significant time for accountants.
Dynamic Task Recommendations
Accounting software will provide personalized recommendations on the optimal next steps in various workflows based on individual user behavior. This will help guide accountants to complete tasks more efficiently.
Continuous Improvement
As AI algorithms process more data over time, the software will continuously refine its recommendations and processes to boost productivity. What used to require updates from software vendors can become automated through machine learning.
The integration of emerging technologies like AI, machine learning, and robotic process automation will lead to accounting workflows that are smarter, more adaptive, and highly automated. This presents an exciting future for the industry. While AI won't replace human accountants entirely, it will significantly augment their capabilities. Those who learn to utilize AI tools are likely to thrive in the years ahead.
