The accounting and finance industries are evolving at a rapid pace. According to the Chartered Accountants Australia and New Zealand (CA ANZ), “it is important that we are agile enough, as both individuals and businesses, to adapt to what’s next.” The CA ANZ’s accounting experts detail their five critical predictions for the accounting and finance industry in 2019:
Cyber attacks are a lasting threat. Experts indicate that the threat of cyber attacks is becoming more real, with higher risk levels. Concerns are that cyber attacks will not only affect small businesses and companies but cities and countries as well. It is advised that one should prepare business matters as if they will be subject to a cyber attack. This includes having a recovery plan to ensure cybersecurity.
Alterations to superannuation are coming. Significant changes are expected this year for the superannuation industry. It is predicted that the final recommendations of the Royal Commission, the federal election, and the recently released final report into the efficiency of the superannuation industry by the Productivity Commission will dominate superannuation matters this year. All of these have direct influence/have the power to change aspects of superannuation. In addition to this, many are waiting to see whether the Government will be able to gain support from crossbenchers to push through its superannuation reforms after a lack of support last year.
Embrace technological change. The advancement of technology brings about revolutionary ways of conducting business. The use of artificial intelligence (AI) is predicted to become the norm very soon. As mentioned in the first point though, AI systems need to be correctly installed and operated to ensure safe business. On top of this, incorporating AI into business needs to be done in a socially and ethically friendly way—especially as it becomes more prevalent.
Smarter streamlined regulation. There is a continuing drive for Government to adopt smarter streamlined regulation. It is expected that the Government will increase its focus on modernising business registers and facilitating better exchanging of business information between government entities.
Going digital. More and more companies are going digital. Furthermore, experts predict that the government is likely to announce further initiatives in 2019 to encourage small businesses to be digitally connected.