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Efficient Implementation Of Blockchain Technology In Accounting: A Practical Guide For Professionals

Author

Listed:
  • MONICA-MIHAELA DRAGAN (RADU)

    (Valahia University of Targoviste, Romania)

  • ELENA-SIMONA TACHE (BUZATOIU)

    (Valahia University of Targoviste, Romania)

  • AMALIA-MAGDALENA DANAILA (CALAFETEANU)

    (Valahia University of Targoviste, Romania)

Abstract

Research Question: How can blockchain technology be effectively implemented in accounting to optimize financial processes and increase data security? Motivation: Blockchain technology, with its decentralized and immutable ledger, holds the potential to reduce risks related to fraud and errors, thus revolutionizing the management of financial information. Understanding how blockchain can be implemented in accounting to achieve these benefits is crucial for professionals seeking to adopt innovative technological solutions. This article aims to provide a practical guide for accounting professionals interested in leveraging blockchain for optimizing accounting processes and improving security. Idea: This article presents a model for implementing blockchain in accounting, focusing on strategic planning, development, customization, integration with existing systems, and employee training to ensure efficient use. Data: The paper includes insights gathered from a systematic review of the literature on blockchain in accounting, drawing from over 120 articles and narrowing down to a detailed analysis of 50 key studies. Tools: The proposed model uses agile development methodologies and emphasizes the importance of strategic planning, change management, and performance testing in blockchain implementation. Findings: The article highlights that while blockchain offers substantial benefits in terms of transparency, data integrity, and process automation, challenges such as scalability and system integration remain critical. Case studies demonstrate a reduction in fraud risk, increased efficiency, and cost savings after implementing blockchain. Contribution: This paper contributes by providing a detailed, practical framework for blockchain adoption in accounting, offering clear steps for implementation and addressing both the benefits and challenges associated with integrating this technology into existing financial systems.

Suggested Citation

  • Monica-Mihaela Dragan (Radu) & Elena-Simona Tache (Buzatoiu) & Amalia-Magdalena Danaila (Calafeteanu), 2024. "Efficient Implementation Of Blockchain Technology In Accounting: A Practical Guide For Professionals," Annals - Economy Series, Constantin Brancusi University, Faculty of Economics, vol. 5, pages 135-142, October.
    • Handle: RePEc:cbu:jrnlec:y:2024:v:5:p:135-142
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    References listed on IDEAS

    as
    1. Jana Schmitz & Giulia Leoni, 2019. "Accounting and Auditing at the Time of Blockchain Technology: A Research Agenda," Australian Accounting Review, CPA Australia, vol. 29(2), pages 331-342, June.
    2. David Yermack, 2017. "Corporate Governance and Blockchains," Review of Finance, European Finance Association, vol. 21(1), pages 7-31.
    3. Peters, Gareth W. & Panayi, Efstathios & Chapelley, Ariane, 2015. "Trends in cryptocurrencies and blockchain technologies: a monetary theory and regulation perspective," Journal of Financial Perspectives, EY Global FS Institute, vol. 3(3), pages 92-113.
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