Accounting in Cloud

Abstract

Cloud computing is a new technological trend that since the last decade brings challenges in computed accounting, such as a significant reduction of running cost, together with unrestricted access to data from anywhere and anytime. Cloud accounting software enables its users a real time access to business finances, easy set up and easy use, access to information from anywhere, work with sales force, to synchronize instantly with bank, make tax returns precise and effortless. Cloud computing offers a short implementation time and low initial costs and it is offered by ERP providers in the SaaS (Software as a Service) mode. As an essential condition for massive expansion is generally considered availability of access to the high frequency internet. As accounting data are very valuable, security, such as encryption of data, granting access to the data and backups are necessary conditions to ensure their proper treatment. The aim of this article is to identify key advantages and disadvantages and milestones of such a solution. Department of Financial Accounting and Auditing, W. Churchill sq. 4, 130 67 Prague 3, Czech Republic, <xsinj900@vse.cz>. The article is processed as an output of a research project Impact of the changes in IFRS on financial statements quality under the registration number F1/91/2017.

Enhancing accounting operations through cloud computing: A review and implementation guide

“…This transition to cloud accounting software fundamentally altered the dynamics of financial reporting and analysis, extending beyond traditional data storage and management. Singerová (2018) highlighted that these changes have significantly impacted the accounting profession's efficiency, accuracy, and strategic role within organizations. While the move towards cloud-based systems has brought scalability and cost-effectiveness, it has also raised concerns about data security and the necessity for continuous adaptation to rapidly evolving technologies.…”

“…One of the primary advantages of integrating predictive analytics and AI into cloud-based accounting, as discussed by Singerová (2018), is the substantial enhancement in efficiency and accuracy. Traditional accounting methods often involve manual data entry and data reconciliation processes, which are time-consuming and susceptible to errors.…”

The Effect of Assuring the Cloud User-Related Cybersecurity Risk Management Voluntary Disclosure on the Nonprofessional Investors’ Judgments and Decisions: The Mediating Role of Perceived Management Assertions Reliability-An Experimental Study in Egy

“…Moving to the cloud looks like outsourcing important sensitive data storage to another party in a remote virtual location outside the control of the firm. For instance, Enterprise Resource Planning (ERP) systems can give users immediate access to the data they need to perform their daily managerial activities allowing them to accomplish work faster and with reduced costs when being outsourced to a cloud service provider (Singerová, 2018). This, in turn, motivated the need for a new level of control over the whole value chain.…”

The Impact of Information Technology Governance in Reducing Cloud Accounting Information Systems Risks in Telecommunications Companies in the State of Kuwait

“…However, when companies use CA services, the cloud service providers own, manage and control the CA infrastructure (Khanom, 2017). Where servers, devices, and applications are not located within the company, but in the premises of the service providers (Singerová, 2018). Păcurari and Nechita (2013) argue that there are security concerns when using CA.…”