The Implication of IT on Accounting Perspective

Information technology or IT plays an important role in advancing economic growth and reducing scarcity. There is some research from the internet that covers the intonation of economic growth area. It really related to accounting perspective basically. We can see firms in developing country that uses IT grow faster, more productive and profitable than those do not invest in IT. As mentioned by Bill Gates (Microsoft founder), IT and Business are becoming interrelated between each other. He adds that not one can talk meaningfully about one without the talking about the other. Subsequently, when there is the business and transaction is made, it’s really related to accounting perspective basically. There are implications of IT in accounting perspective based on database, costing, and organizational structure.
My observation on database, international public accounting firm all over the world recently made large investments IT, primarily in audit software and knowledge-sharing applications. The results from both regression analysis and Data Envelopment Analysis (DEA) indicate significant productivity gains following IT implementation, documenting the value impact of IT in a public accounting firm. Nowadays, criminal in business is variety. So the evidence of transaction, bookkeeping record, and digital files are really important. With just with some queries, we can trace any problem or solution there. Freshly, many developer manage to come out with more effective and secure software that user friendly to accounting and auditing purposes.
It is consistently that the spread of IT has reduced radically the costs for firms of collecting, analyzing, retrieving and re-using information. The growth of voice and data communications means firms are increasingly able to share and spread this information at great speed and over large distances. Cutting cost is the effective ways to maximize profit of the firm. The usual impact is less expense for paper for any record, agreement and quotation. Some conference or meeting cost can be drop by having video digital conference. All the cost to travel, accommodation and time can be control by all IT gadgets. Actually IT moves faster than us. Internet and e-mail have practically eliminated the physical costs of communications. That is why, recently there are many accounting firms appeared because of the huge cost is eliminate.
The most impact that we can see is the big change in organizational structure. IT help and give ability to managers invent new process, procedure, and development. In accounting perspective also, some changes have been made to make it more parallel the situation. IT also has their negative result, so accounting principle has changed for sure to give efficiency theory and practical.

In the nutshell, IT gives the big pressure both positive and negative impact in accounting perspective in database, costing, and organizational structure. Some adjustment and control can help accounting grow matching with IT tempo.