The Future of Accounting Profession in an Era of Start-Ups

PurposeThe purpose of this research is to contribute to knowledge-building on microenterprises in emerging economies, by assessing the determinants that drive their use of accounting systems.Design/methodology/approachA probabilistic model was developed to determine the likelihood that a micro-firm would adopt an accounting registry system as a function of a series of contingencies and personal characteristics of their owners/managers. Data from the Microentrepreneurship Survey (EME), from the National Institute of Statistics of Chile for 2017 was used.FindingsThe findings suggest that access to external funds, the size and the use of technology strongly influence micro-firms' adoption of accounting systems.Research limitations/implicationsDespite the richness and scope of the data, direct measurements of entrepreneurial orientation and environmental uncertainty, both central variables of the contingency theory, were missing. Hence, duly justified proxies were applied. It is also likely that there would be other variables that also influence the probability of using accounting tools.Practical implicationsThe study contributes to a better understanding of microenterprises, and the factors that determine the use of accounting systems. The results highlight that public policies aimed at fostering microenterprises should facilitate access to technology and external funds. Consistent with previous studies, the authors’ findings highlight the importance of training owner/managers on issues related to their business.Originality/valueThis paper contributes to theory by arguably being the first study to confirm that contingency theory does explain the adoption of accounting systems in microenterprises in emerging countries.

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Accounting trends in the modern world

Melnyk¹,

Trachova²,

Kolesnikova³

et al. 2020

Ind. Jour. Manag. & Prod.

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The purpose of the article is to determine the current directions and future trends in the development of accounting. The conclusions made on the basis of research materials, surveys, reports of reputable international and professional accounting organizations. Synthesis and analysis reveal that some trends and drivers among analyzed will be more significant (such as globalization of business and the profession; spread of digital technologies; expectations of business and professional accountants) than others (such as regulation and governance) and will, in varying degrees, affect specific accounting roles, skills, knowledge. As a result of research, was determined that modern accounting professionals move from performing technical accounting functions (hard skills) to support the companies` management and play a significant role in improving the development of society. It is established that the main thing in the strategy of accounting companies` progress (both large and SMEs) and accounting specialists will be the development of the latest technologies, soft skills, professional flexibility. It is substantiated that the change of priorities will turn the challenges facing the accounting profession into its advantages.

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The Future of Accounting Profession in an Era of Start-Ups

Cited by 8 publications

References 28 publications

The Effects of Digital Transformation Process on Accounting Profession and Accounting Education

The Effects of Digital Transformation Process on Accounting Profession and Accounting Education

Determinants of the use of accounting systems in microenterprises: evidence from Chile

Accounting trends in the modern world

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