related documents
RR70 - The Role of Accountants in the Provision of E-commerce Support to Small UK Firms
ACCA Research Report No. 70
The Internet and e-commerce can be expected to have a very significant impact on the future operation of UK Small and Medium-sized Enterprises (SMEs). In the UK, despite the massive expansion of government-funded support services, many small firms still rely heavily on their professional advisers as a source of external assistance. Hence it was determined that a small scale, pilot-level research project might assist in beginning to clarify the role of UK accountants in the provision of e-commerce advisory support to small firms. ACCA agreed to fund a pilot scale project in which Plymouth Business School would undertake mail surveys of both small accounting practices and UK SME sector firms.
Conclusions reached from the data generated revealed that most small firms perceive that accountants are able to offer advice only in relation to basic issues such as connecting to the Internet and registering a domain name. In relation to more complex areas of e-commerce, only a minority of both accountants and small firms felt accountants could act as a source of advisory support. Lack of expertise in e-commerce among accountants is reflected by their view that there is a need for their staff to participate in Continuing Professional Development (cpd) to upgrade their e-commerce skills. The majority of respondents believe this upgrading should focus on generic issues such as developing Internet strategies and e-mail systems, and linking a firm to the Internet. Only a minority of accountants yet perceive the need for more sophisticated e-commerce cpd provision in areas such as automating transactions and linking websites to accounting systems. Most small firms are only using their website as an informational vehicle. As they move towards creating online order entry systems, a significant minority of small firms (i.e. 30%+) would expect their accountant to be able to provide guidance on issues related to linking online ordering facilities to the firm’s existing, internal, accounting system.
These results provide the basis for the conclusion that ACCA could have an important national role in (a) ensuring that e-commerce cpd provision is made available to the UK accounting profession, (b) ensuring accountants are able to provide advice on the issues associated with linking websites offering an online ordering facility to a small firm’s accounting system and (c) working with the government to promote the need for more SME sector firms to plan and implement an effective e-commerce strategy.
Recommendations are also presented on the need for further research in the areas of current successful exploitation of e-commerce by some UK accounting firms; the currently delivery of e-commerce cpd schemes to their staff; and the nature of the skills and competencies that accountants require in order to offer effective guidance on the issue of linking website online ordering facilities with a small firm’s accounting system.
Chaston and Mangles, 2001
Executive summary
The Internet and e-commerce can be expected to have a very significant impact on the future operation of UK Small and Medium-sized Enterprises (SMEs). In the UK, despite the massive expansion of government-funded support services, many small firms still rely heavily on their professional advisers as a source of external assistance. Hence it was determined that a small scale, pilot-level research project might assist in beginning to clarify the role of UK accountants in the provision of e-commerce advisory support to small firms. ACCA agreed to fund a pilot scale project in which Plymouth Business School would undertake mail surveys of both small accounting practices and UK SME sector firms.
Conclusions reached from the data generated revealed that most small firms perceive that accountants are able to offer advice only in relation to basic issues such as connecting to the Internet and registering a domain name. In relation to more complex areas of e-commerce, only a minority of both accountants and small firms felt accountants could act as a source of advisory support. Lack of expertise in e-commerce among accountants is reflected by their view that there is a need for their staff to participate in Continuing Professional Development (cpd) to upgrade their e-commerce skills. The majority of respondents believe this upgrading should focus on generic issues such as developing Internet strategies and e-mail systems, and linking a firm to the Internet. Only a minority of accountants yet perceive the need for more sophisticated e-commerce cpd provision in areas such as automating transactions and linking websites to accounting systems. Most small firms are only using their website as an informational vehicle. As they move towards creating online order entry systems, a significant minority of small firms (i.e. 30%+) would expect their accountant to be able to provide guidance on issues related to linking online ordering facilities to the firm’s existing, internal, accounting system.
These results provide the basis for the conclusion that ACCA could have an important national role in (a) ensuring that e-commerce cpd provision is made available to the UK accounting profession, (b) ensuring accountants are able to provide advice on the issues associated with linking websites offering an online ordering facility to a small firm’s accounting system and (c) working with the government to promote the need for more SME sector firms to plan and implement an effective e-commerce strategy.
Recommendations are also presented on the need for further research in the areas of current successful exploitation of e-commerce by some UK accounting firms; the currently delivery of e-commerce cpd schemes to their staff; and the nature of the skills and competencies that accountants require in order to offer effective guidance on the issue of linking website online ordering facilities with a small firm’s accounting system.