More than a third of firms have standardized tech stacks

Accounting firms are getting tired of switching between applications that don’t integrate, so more than a third have already standardized their tech stacks for both staff and clients. 

This is one of the findings of a recent poll from Intuit. It found that two-thirds of accountants are feeling stressed from the volume and complexity of workflows required by their tech stacks, despite assistance from AI and automation. Firms use an average of eight different applications, which has led firms to struggle with high subscription costs, integration challenges, time-consuming data entry, and training staff on multiple platforms. 

In response, more than a third of firms, 36%, say they have fully standardized their tech stacks across both staff and clients to improve efficiency and reduce friction, and 57% maintain a preferred, but flexible tech lineup. These firms make sure both staff and clients are on the same page when it comes to what applications they use. 

This proportion will likely rise in the coming years, as 98% of poll respondents say there are benefits to standardization. Chief among them is accuracy and consistency in financial reporting (62%), followed by improved data processing and efficiency (56%), easier client onboarding (43%), higher client satisfaction (40%) and enhanced data security and control (38%). 

The majority of accountants, though, believe these benefits will require some sacrifice. Namely, 61% said that firms committed to tech standardization should sever ties with clients unwilling to adopt their preferred digital platforms. 

“This trend signals that technology alignment is now more than operational—it’s also strategic,” said the report. 

Strategic thinking about tech stacks is part and parcel of a larger trend of clients increasingly turning to their accountants for technology needs, with 62% of respondents saying that clients want more guidance on technology management, which generally tends to mean software implementation (57%), providing training on the new software (54%) and recommending new software products (53%). 

“Accountants are answering the call, becoming pivotal partners in their clients’ digital transitions. As technology needs expand, accountants are helping businesses tackle the most pressing challenges,” said the report. 

AI investments

Another of the report’s findings is that firms are cutting back on technology spending overall but plan to spend more on AI in particular. Firms report plans to spend $20,000 in the year ahead, lower than last year’s figure of $24,000. At the same time, 64% of respondents reported their firms plan to invest in or upgrade AI over the next year, indicating year-over-year growth from 2024 (57%) and 2023 (48%). More than 80% have already built or are planning proprietary, closed-source AI tools to tailor solutions and stay competitive. 

This lines up neatly with the results of a recent Gartner survey (see previous story) of 197 finance leaders, which found that 17% paused or deprioritized capital spending by 1 to 10%; a further 17% have done so by 10 to 25%; and 3% say they have done so by more than 25%. Only 8% say they are planning to increase capital expenditures. The report said finance leaders are reacting to uncertainty in the economy and are choosing a more conservative approach until more clarity is gained on federal policy and geopolitical risks. A combined 67% of finance leaders are either currently cutting costs with more cuts expected, have completed cuts or are planning to cut in the second half of the year. 

On the other hand, 33% said that while they are cutting costs in some areas, they are increasing them in others, with an overall net reduction; and 15% said they were doing so with an overall net increase, which Gartner said was most likely devoted to AI. 

AI in advisory

Meanwhile, Intuit also found that nearly 8 in 10 accountants (79%) expect strategic advisory work to grow over the next year by an average of 38%, and 95% say that AI and automation free them from repetitive compliance tasks, allowing them to focus more time on strategic advice and client engagement. The poll found 55% of the respondents said AI has helped boost overall efficiency, 54% said it has provided advanced analytics for deeper business insights, and 48% said it has automated repetitive compliance tasks. 

“This blend of enhanced productivity and actionable insights is positioning accountants as indispensable advisors in a complex business landscape,” said the report. 

Such results echo previous analyses of the matter (see previous story) which found that AI is now moving into what was once perceived as a safe haven from its effects. For better or worse, advisory is no longer the safe haven it once was. In the face of these changes, it is no longer enough to simply shift to advisory, as certain areas are already being transformed by AI. Instead, accountants must be smart about which areas of advisory they choose.