There is no doubt generative artificial intelligence is gaining popularity as industries, including accounting, debate how it can be adopted into workflows. A Deloitte study found more than 50% of organizations were planning to incorporate AI and automation technologies this year. AI tools hold the promise of productivity and removal of mundane tasks, allowing CPAs to have more time for valuable client relationships. It’s even more enticing for firm leaders as the industry faces a major labor and talent shortage.
While exciting for the future, new technology like AI can be overwhelming for a firm, which needs to consider how it can be adopted and strengthen existing business processes. Accountants often don’t have the time to gain a certain level of technical skill which is required to cultivate the most value out of the technology. There can also be increased anxiety among teams as AI begins to eliminate the need for some roles. A full job takeover is unlikely, but we can expect to see AI plugins aid — rather than fully replace — tasks accountants do on a day-to-day basis. We can also expect to see some financial regulations arising as regulatory bodies consider what frameworks should be placed around automation technologies. AI can be an authoritative liar, so information needs to be double-checked and handled with care in an industry where trust is the cornerstone of every client relationship.
All of this uncertainty can create a lot of worry for firm leaders and paralyze decision-making that could support future growth. However, instead of worrying about whether or not AI will take over roles or the intricacies of the technology, leaders should embrace the intelligent outcomes they can achieve and train staff on how to get the best outcomes from the tools so they can be successful in this increasingly competitive environment.
Proactive change is required
Year after year the industry goes through busy seasons with accountants fighting their way through long hours and stressful deadlines. By the end of it, everyone is ready to take a break and not go through additional pain to make changes to the way they operate. However, firms no longer have the luxury of doing things the way they’ve always done them. Many just went through a busy season without enough staff and could see additional client or service losses if action wasn’t taken.
Automating costly, lengthy and mundane tasks will give accountants back valuable time to increase the value they provide clients. We are already seeing valuable use cases of AI being implemented across firm roles and supporting CPAs during the talent shortage. For example, AI is being used to create tailored job descriptions to ensure the best talent is hired and AI-powered training tools, such as chatbots, are supporting junior staff in skills development and providing valuable feedback on tasks. AI is also providing CPAs with new ways to approach client opportunities and identify similar clients to a firm’s existing portfolio for new business prospects.
Proactive change with AI will smooth the process of future busy seasons and meet growing customer expectations. Customer expectations have changed in the past few years, from clients expecting quicker responses to emails to additional pressures to offer more services without added costs. With less staff to support these increased expectations, firms need to be proactive with how they adjust for future busy seasons and technology can get them there.
Look to practice management first
Busy seasons will always bring challenges for accountants as new regulations and laws keep CPAs on their toes. What firms can have control over — and what they should look to first when determining where to utilize AI technology — is practice management. Who are you billing? What are you billing? Are resources and workflows efficient? When a firm can properly manage and maximize its resources with AI, it can protect the bottom line when challenges arise.
Whether or not the economy is good or how complex new regulations are that are thrown their way, firms can utilize AI to have a constant solution that helps them maintain profitability when things get busy. This is where the value of productivity and removing mundane tasks that AI promises comes most into play. Streamlining and automating time-consuming admin tasks, tracking projects and workflows, and storing valuable data improves efficiency and enables stronger decision making.
Future investments
It’s important for firm leaders to find solutions that will help them do more each day without forcing them to work more. Automation technologies that can streamline workflows and make it easier to accomplish tasks they’re already doing will help firms stay competitive and avoid feelings of burnout. AI also allows firms to invest in their futures to grow their practice and increase revenues. Firms can make their practice more competitive in gaining new clients and retaining existing clients by looking to AI to achieve and grow more. We don’t know what the future will bring, but making technology-focused changes today will set firms up for success tomorrow.
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