Robotic process automation in accounting systems

• DOI: http://doi.org/10.1002/jcaf.22457
• Date: 01 October 2020
• Author: Steven A. Harrast
• Published date: 01 October 2020

EDITORIAL REVIEW

Robotic process automation in accounting systems

Steven A. Harrast

College of Business Administration,

Central Michigan University, Mt.

Pleasant, Michigan

Correspondence

Steven A. Harrast, College of Business

Administration, Central Michigan

University, Bellows Street, Mt. Pleasant,

MI 48859.

Email: harra1sa@cmich.edu

Abstract

Robotic process automation is rapidly transforming the world of work for

accounting and other information professionals. Data collection and entry that

used to occupy much of the workday is being automated by programmable

software robots or bots. Automation using bots should begin with processes

that are stable, repetitive, and consume sufficient resources to generate a solid

return on investment. As bots are implemented, a number of governance, risk,

and compliance issues need to be considered including appropriate controls on

bot access to sensitive records and transactions. The bot development process

also requires controls so that only tested and authorized bots are deployed. For

many companies, RPA is exactly what they have been looking for to drive

higher efficiency in information processing.

KEYWORDS

process automation, RPA, software robots, technology controls, technology governance

Modern information technology has greatly extended the

ability of companies to manage large amounts of data,

to integrate processes and to control the enterprise.

But technology innovation has also brought new chal-

lenges. Companies often have many different applica-

tions and systems running as part of their overall

information system landscape. Large companies may

support thousands of different applications. This usu-

ally necessitates capturing and moving data from one

application or system to another, a time-consuming

and error-prone activity. Many companies simply

patch their systems together with spreadsheets and live

with the inefficiency.

Until recently, options for eliminating data patches

were limited, and human labor was often a significant

part of the process. Individuals collected information

from emails and spreadsheets and entered it into an

application. Some companies have built elaborate mac-

ros, which work as long as the author is available to sup-

port them, yet too many spreadsheets are a control risk.

While the attempts made to maintain current systems

have been reasonably effective, efficiency has certainly

been an issue. Unfortunately, there have been few good

alternatives to transferring data from one system to

another.

Recently, tools have been developed that far exceed

previous attempts at streamlining information processes

across applications. The technology, called robotic pro-

cess automation (RPA), has nothing to do with physical

robots, in spite of its name. The new robotic tools, or

bots, execute macro-like procedures across applications

and can imitate human keyboard actions. For many com-

panies, RPA is exactly what they have been waiting for to

drive greater efficiency. Watching a bot run is like

watching an invisible person at work at a computer—

files are opened, data are copied, applications are opened,

data are entered and emails are sent. Almost everything

looks like a human is sitting at the keyboard, but the

work is being done by a software robot.

Software tools are available to automate almost any

imaginable human computer interaction. No longer are

humans required to move data between systems. We are

entering a new era in information technology, an era in

which software robots will take over many repetitive

tasks once performed by clerks. Work is moving quickly

from clerical to analytical. This may sound like hype, but

Received: 5 March 2020 Revised: 14 May 2020 Accepted: 22 May 2020

DOI: 10.1002/jcaf.22457

J Corp Acct Fin. 2020;31:209–213. wileyonlinelibrary.com/journal/jcaf © 2020 Wiley Periodicals, Inc. 209