The digital and technological revolution is progressing rapidly, and companies need to respond to the challenges involved. In the business of companies providing professional services, transformation has already begun – we are witnessing a large demand for specialist skills in technology areas such as big data, business analysts and blockchain.
Information drives the 21st century. However, information that is not reliable is not useful at all. This means that trusted and reliable information and greater transparency are becoming even more important. Today's auditors must be qualified and prepared to ensure this.
Today's companies are more complex and legislation much wider. We cannot be specialists in everything, so interdisciplinary teams consisting of professionals with expertise in specific areas are needed.
Future for audit and consulting companies
No matter how revolutionary technology becomes, business will continue to be driven by people. Business leaders and stakeholders need our services, our professional judgment and our advice. As auditors, we are perfectly prepared because we understand their activities and the way they act. Therefore, instead of consolidating existing services, we will probably cover other areas of customer needs. But we have to get ready.
Moreover, the methodology used to draw conclusions about the company evolves to analyze large-scale data. This helps us not only to verify financial and non-financial information, but also to identify and mitigate business risks and to support developing companies through their financial and operational restructuring. Our services increase added value more than ever.
How can smaller audit firms adapt to these challenges?
Our industry has seen more changes in recent years ten years than in previous years thirty. This means that we cannot be complacent and rely on the reputation developed in the previous decades, because in the new world it is not important. In the coming decades, audit and consulting companies will have to adapt to even greater changes. In order to continue to compete, we will have to train constantly.
Today's companies are more complex and legislation much wider. We cannot be specialists in everything, so interdisciplinary teams consisting of professionals with expertise in specific areas are needed. This gives small and medium-sized companies opportunities to cooperate with others. Customers are also very smart and value the honesty and humility that a smaller company brings. We may not be able to solve all their problems, but we can provide solutions through cooperation.
Smaller companies must focus on offering services
Instead of focusing on challenges and market opportunities, it is important that small and medium-sized companies focus on their service and adapt it to their customers. The benefits of a narrower boutique offer of specialized services are attractive.
This is followed by specialist knowledge of local markets and flexibility, which characterises smaller companies and helps them meet the requirements of constantly changing markets. The personalized service that smaller companies can provide is an attractive proposition.
Now we have to become more than auditors. We need to become trusted advisors to our clients. Instead of controlling what has already happened, we should work with business leaders who will help anticipate and adapt to changing environments.
About the author
Ricardo García-Nieto Serratosa, GNL Russell Bedford, Barcelona, Spain. Managing partner in a member company Russell Bedford in Barcelona, GNL Russell Bedford. Member of the International Board Russell Bedford. His specialization includes tax and financial advice, audit, due diligence, transfer prices and valuation and compliance services.
It also supports companies through independent reviews, restructuring, analysis and business forecasts and business plans. He is a member of the Official Register of Auditors (ROAC).
source: www.russellbedford.com/Late/insight/proportunities-for-the-audit-profession/