June 2, 2023


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Pandemic lesson: Accounting and finance technologies tops tech

Cited as the preserving grace to surviving COVID-19, businesses stated quantities tech trumped collaboration platforms or project administration solutions.


Image: iStock/Avosb

When the pandemic despatched companies scrambling to endure, lots of started by throwing numerous tech at the proverbial wall and observing what would adhere. A new report from Sage revealed that, amazingly, it was not new collaboration platforms or task management solutions that stored firms from being buried by the pounds of the limits the pandemic imposed: It was accounting and finance technology. 

SEE: Operating from property: The long run of organization is remote (ZDNet/TechRepublic unique feature) | Doing work from house: How to get remote proper (totally free PDF) (TechRepublic)

Just about 30% of corporations explained they thought accounting and finance tech was their “conserving grace” through the COVID-19 pandemic. 

Three-quarters of finance teams, the report found, are confident of a return to advancement by the conclude of the 12 months. And customer relations are on the upswing: 79% of enterprises “sense extra related to their clients” than they did in 2020. Most companies visualize a return to pre-pandemic earnings levels in Q3, July to September 2021 (22%), or Q4, Oct to December 2021 (23%).

The pandemic accelerated lots of organizations’ digital transformation, with 28% of the surveyed businesses stating the pandemic accelerated digitization programs by extra than five a long time to deal with the special worries. 

Firms that took that leap of faith and invested early in electronic transformation have been the most assured in seeing substantial income expansion around the forthcoming calendar year. Additional than one-quarter (28%) of respondents in Sage’s surveyed team of 1,050 chief economic officers for modest- to medium-sized firms polled in March hope to see revenue raises of 11% or additional more than the course of the calendar year, substantially bigger than the upcoming best cohort, with 17% of small organizations also expecting the similar amount of development. 

Client aid

Some businesses offered prospects fiscal assist by means of flexible payment selections (43%), minimized rates (42%) or net new incentives or benefits (47%) for buys. These methods ended up “a significant topic across U.S. organizations,” Sage found.

SEE: How to protect against (and manage) unethical scenarios at get the job done (TechRepublic)

Most corporations do not strategy to roll again initiatives carried out during lockdown.

Practically two-thirds of organizations stated they been given a Paycheck Security Software personal loan, with 32% citing the PPP financial loan as “the cause their enterprises did not go under.”

There is a lot of assist for COVID-19 protocols, far too, with 70% responding that condition regulations and general public wellbeing steps, which include things like social distancing and place of work occupancy regulations, experienced a optimistic affect on firms.

Govt aid

For 2021, people polled had been asked what sort of aid they’d want for their companies to do well, with 52% stating amplified resources for COVID-19 screening and supplemental protection measures, 47% claimed elevated help for staff members, 40% explained elevated payroll and defense help, 34% questioned for personal debt reduction and bank loan forgiveness. 5 per cent said they did not will need any government guidance.

Tech investments

Technologies is a superior industry to devote in: 77% of companies continue on to make investments extra means in technological know-how to boost efficiencies and conclusion-making, in addition to supporting a distant and in-place of work workforce. 

SEE: $152 billion for occupation teaching in Biden’s infrastructure strategy could support with the tech worker shortage (TechRepublic)

The leading a few answers companies plan to raise expenditure in are: 

  • Business enterprise intelligence and analytic technologies (48%)
  • Cloud accounting / finance technological know-how (47%) 
  • Cloud administration engineering (47%) 

Self-confidence in a return to pre-pandemic figures is substantial: 69% of businesses foresee profits to return to pre-pandemic amounts right before the conclude of the year.

More than fifty percent of the enterprises surveyed reported they greater their digital promoting endeavours,  and 45% stated they enhanced their social media footprint and spending budget.

Employers demonstrated they wanted to keep their employees and entice new applicants with 27% of corporations giving enhanced or non-conventional HR products and services, these kinds of as childcare stipends and versatile operate arrangements as a pandemic reaction.  

Community became a precedence

Regardless of the many problems, charitable giving continued, with 88% surveyed reported they produced some type of charitable contributions, these as products and services (53%), revenue (48%) and goods their business produced (45%). Forty-nine % claimed they preferred to continue to further more as nicely as boost charitable neighborhood supplying courses, and 87% plan to manage or improve the quantity of donations to the group in 2021.

Pandemic procedures keep in put

Almost 50 percent (48%) of respondents reported the corporation experienced carried out long lasting remote functioning guidelines, 42% expanded health care services and 39% provide kid treatment aid. Nearly a quarter (24%) explained they additional new worker recognition applications. 

Improvements ended up seen across the board: 20% stated undertaking management abilities improved, and 29% reported administration abilities improved. 

Organizations (37%) with 500 to 999 workers intend to considerably improve budgets tied to employee retention types, 26% of huge enterprises of 1,000 personnel of a lot more, and 10% of smaller sized organizations (50 to 249 employees). These firms claimed they’re going to carry on to glimpse for workers with a dynamic skill established, with tech (39%) and administration (28%) getting the most sought soon after by using the services of managers.

The prime four locations finance leaders sense they can have an effect: 40% tech, 28% customer assistance and advertising, and 26% strategic organizing.

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