From Blockchain to Accounting Profession: Evidence from Indonesia
Blockchain technology has become a world discussion due to its excellence in security, increasing trust, and real-time information availability. Also, it is strongly believed to promote excellent improvements in the accounting sphere. Blockchain would undertake the accounting profession's roles. The potential impact of Blockchain on accounting like reduced fraud, reduced auditing, improved regulatory compliance, easier reconciliation, and improved efficiency. However, there is a concern about will the accountants lose their job. For that reason, the study aims to analyze accountants' perspectives of blockchain on the impact on the accounting profession in Indonesia. This study's novel work is to build a positive perspective of implementing Blockchain, particularly Indonesia accountants, even though it will significantly affect the profession. The research method of this study is a qualitative exploratory study. The data collection was derived from in-depth interviews of four Indonesian top layer accountants. As a result, this study finds that the initial perception that accountants will lose their job of the presence of Blockchain is not true. The responsibilities of accountants will not change dramatically. Moreover, this study's findings will be divided into three (3) themes; understanding the blockchain, obstacles on the blockchain, and investment in blockchain. Eventually, the business still needs qualified accountants to interpret and categorize the information resulting from Blockchain. Therefore, blockchain's impact on the accounting profession will provide transparency, efficiency, and record permanency.
Keywords: blockchain, accounting, profession, Indonesia.
AGNEW H. Auditing: Pitch battle. Financial Times, 2016. https://www.ft.com/content/268637f6-15c8-11e6-9d98-00386a18e39d
APPELBAUM D., & NEHMER R. The coming disruption of drones, robots, and bots: how will it affect CPAs and accounting practice? CPA Journal, 2017, 87(6): 40-45. https://www.cpajournal.com/2017/07/03/coming-disruption-drones-robots-bots/
BLOOMBERG L. D., & VOLPE M. Completing Your Qualitative Dissertation: A Road Map From Beginning to End. 4th ed. Sage Publications, Thousand Oaks, California, 2019.
CAI C. W. Triple-entry accounting with blockchain: How far have we come? Accounting and Finance, 2019, 61(1): 71-93. https://doi.org/10.1111/acfi.12556
CONG Y., DU H., and VASARHELYI M. A. Technological Disruption in Accounting and Auditing. Journal of Emerging Technologies in Accounting, 2018, 15(2): 1–10. https://doi.org/10.2308/jeta-10640
CORBIN J. M., & STRAUSS J. Basic of Qualitative Research: Techniques and Procedures for Developing Ground Theory. 3rd ed. Sage, Thousand Oaks, California, 2007.
DAI J., & VASARHELYI M. A. Toward blockchain-based accounting and assurance. Journal of Information Systems, 2017, 31(3): 5–21. https://doi.org/10.2308/isys-51804
DAI J., WANG Y., and VASARHELYI M. A. Blockchain: An Emerging Solution for Fraud Prevention. The CPA Journal, 2017, 87(6): 12–14. http://esc-web.lib.cbs.dk/login?url=http://search.ebscohost.com/login.aspx?direct=true&db=bth&AN=123973389&site=ehost-live&scope=site
DAVENPORT T. H., & KIRBY J. Just how smart are smart machines? MIT Sloan Management Review, 2016, 57(3): 21-26. https://sloanreview.mit.edu/article/just-how-smart-are-smart-machines/
DELOITTE. Blockchain Technology A game-changer in accounting? 2016. https://www2.deloitte.com/content/dam/Deloitte/de/Documents/Innovation/Blockchain_A game-changer in accounting.pdf
GRIGG I. Triple Entry Accounting, 2005. https://doi.org/10.13140/RG.2.2.12032.43524
GUTHRIE J., & PARKER L. D. Whither the accounting profession, accountants and accounting researchers? Commentary and projections. Accounting, Auditing and Accountability Journal, 2016, 29(1): 2-10. https://doi.org/10.1108/AAAJ-10-2015-2263
HARYANTO S. D., & SUDARYATI E. The Ethical Perspective of Millennial Accountants in Responding to Opportunities and Challenges of Blockchain 4.0. Journal of Accounting and Investment, 2020, 21(3): 452-470. https://doi.org/10.18196/jai.2103159
IKATAN AKUNTAN INDONESIA. Menguasai Perubahan, Menyiapkan Masa Depan. Prakarsa, 2019, 6(1): 1–65.
IANSITI M., & LAKHANI K. R. The truth about blockchain. Harvard Business Review, 2017. https://hbr.org/2017/01/the-truth-about-blockchain
KARAJOVIC M., KIM H. M., and LASKOWSKI M. Thinking Outside the Block: Projected Phases of Blockchain Integration in the Accounting Industry. Australian Accounting Review, 2019, 29(2): 319–330. https://doi.org/10.1111/auar.12280
KOKINA J., MANCHA R., and PACHAMANOVA D. Blockchain: Emergent industry adoption and implications for accounting. Journal of Emerging Technologies in Accounting, 2017, 14(2): 91–100. https://doi.org/10.2308/jeta-51911
LAZANIS R. How Technology Behind Bitcoin Could Transform Accounting as We Know It. Digital, 2015. https://www.borndigital.com/2015/01/22/how-technology-behind-bitcoin-could-transform-accounting-as-we-know-it-2015-01-22
LODHIA S. K. Research methods for analysing world wide web sustainability communication. Social and Environmental Accountability Journal, 2010, 30(1): 26-36. https://doi.org/10.1080/0969160X.2010.9651819
MURRAY J. The Coming World of Blockchain: A Primer for Accountants and Auditors. CPA Journal, 2018, 88(6): 20–27. https://www.cpajournal.com/2018/06/19/the-coming-world-of-blockchain/
MURTHY U. S. Researching at the intersection of accounting and information technology: a call for action. Journal of Information Systems, 2016, 30(2): 159-167. https://doi.org/10.2308/isys-51413
NAKAMOTO S. Bitcoin: A peer-to-peer Electronic Cash System. Journal for General Philosophy of Science, 2008, 39(1): 53–67. https://doi.org/10.1007/s10838-008-9062-0
PAN G., & SEOW P.-S. Preparing accounting graduates for digital revolution: a critical review of information technology competencies and skills development. Journal of Education for Business, 2016, 91(3): 166-175. https://doi.org/10.1080/08832323.2016.1145622
SAUNDERS M., LUWIS P., and THRONHILL A. Research Methods for Business Students. 7th ed. Pearson Education Limited, Harlow, 2016.
SCHMITZ J., & LEONI G. Accounting and Auditing at the Time of Blockchain Technology: A Research Agenda. Australian Accounting Review, 2019, 29(2): 331–342. https://doi.org/10.1111/auar.12286
SUSSKIND R., & SUSSKIND D. The Future of the Professions: How Technology Will Transform the Work of Human Experts. Oxford University Press, London, 2015.
SWAN M. Blockchain: Blueprint for a New Economy. O’Reilly Media, Sebastopol, California, 2015.
TAN B. S., & LOW K. Y. Blockchain as the Database Engine in the Accounting System. Australian Accounting Review, 2019, 29(2): 312–318. https://doi.org/10.1111/auar.12278
TAPSCOOT D., & TAPSCOOT A. How Blockchain Will Change Organizations. MIT Sloan Management Review, 2016. https://sloanreview.mit.edu/article/how-blockchain-will-change-organizations/
THE INSTITUTE OF COST ACCOUNTANTS OF INDIA. A Game Changer in Accounting. The Journal for CMAs, 2018, 53: 128–141. https://doi.org/10.4324/9780080938813-11
MHANA A., MOHAMMED G. N., and JABOR F. K. Enhancing Privacy and Improving Security in Scalable Blockchain. Journal of Southwest Jiaotong University, 2019, 54(5). https://doi.org/10.35741/issn.0258-27188.8.131.52
YERMACK D. Corporate governance and blockchains. Review of Finance, 2017, 21(1): 7–31. https://doi.org/10.1093/rof/rfw074
- There are currently no refbacks.