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AI and accounting technology continue to transform the accounting profession. Consider these findings from a survey of 400 practitioners fielded by CPA.com and BILL:
- 96% of firms say a firm’s proficiency with technology has a positive impact on client relationships
- 86% that have plans to add new services also have a detailed technology roadmap in place
- 71% believe that seamless client interactions powered by technology are key to client retention
With technology linked to success factors such as these, an important question remains:
Are firms using technology to its full potential?
Survey participants said no. In fact, nearly all said they believe their firm is inefficient with how they use technology. Here are the six main issues they cited—and how to fix them.
97% of accounting firms believe they are inefficient with technology.
1. 43% say inefficient technology use is increasing manual work instead of reducing it
No one wants to increase their workload–especially when the tools they're using are supposed to reduce it. Added tasks such as data entry or hunting for paper slow down results and inadvertently keep accountants focused on small tasks instead of the big picture.
How to address this:
Review your technology’s functionality. Technology is always evolving, so your firm may not be using all the latest updates and features. Reach out to your provider to see if they can help you reduce or delete these extra steps. Firms will also often elect practitioners to be “ambassadors” to their tech providers, educating their teams about the latest updates.
Customize your solutions. Application programming interfaces (APIs) can alleviate manual work. An API enables different software programs to communicate with each other directly, increasing efficiency by letting computers access data automatically instead of relying on people to copy information from one place and paste (or type) it into another. For example, an API can enable applications to connect to banking platforms, accounting software, and ERPs. You can make your solutions cost-effective and more accessible by working with systems that come with API integrations built in.
2. 41% say delayed adoption of new technologies causes inefficiency
Researching, vetting, and adopting technology takes time and investment. Firms may not feel an urgent need to switch even if they know their systems aren’t working properly. But this mindset can result in extra work, reduced accuracy, and irritated clients.
How can you ensure your firm stays ahead of tech adoption and not behind it?
How to address this:
Create and run a technology roadmap. A roadmap ensures that your technology objectives stay in line with your business objectives.
Build a tech-forward culture. Send teams to accounting technology conferences, connect with peers at other firms, and set up regular training sessions and protocols. Establish a technology committee that will surface and research new solutions. Steps such as these will keep new technologies on your radar and provide vetting from accounting professionals already using them.
Select supportive, established providers. Choose technology providers with robust onboarding, implementation, and support infrastructure. Also, look for providers with long-standing relationships within the accounting profession.
3. 38% say a lack of integration between systems adds to inefficiency
If your systems aren’t talking to each other, your firm opens the door to manual work, lost productivity, and potentially impaired accuracy. After all, unsynced systems can lead to manual data entry to get information from point A to point B (and back again.) Examples of integration can include syncing bill pay with your general ledger or expense management with Slack.
How to address this:
Investigate functionality. Along with APIs, it pays to understand the syncs your software offers. Your software provider should offer data sheets and consultation on available integrations that your firm might not be using. If the needed integrations aren’t available or robust enough, it may be time to switch.
Adopt unified platforms. Implement integrated systems that streamline operations across the firm–for example a platform that combines AP, AR, and spend and expense management means fewer integrations are needed overall. Unified platforms also reduce the need for learning disparate tools and improve data accessibility.
4. 34% say inefficiency comes from trouble scaling to meet evolving firm needs
Can your software accommodate growth? Your firm’s needs will grow more complex as you bring on new clients, explore new verticals, and launch new practices. System issues such as limited functionality, lack of reliability, lack of innovation, and more will restrict internal and client capacity.
How to address this:
Identify the right solutions. Partner with solution providers that have the stability, trust, and innovation to build scalable functionality as firm needs evolve. Ask for examples of firms that have successfully scaled. Align the solution with your technology and service roadmap goals to ensure a good fit.
Adopt systems that integrate seamlessly. Ensure tools can communicate effectively within the firm’s tech stack to support streamlined workflows and access to real-time data.
Focus on important functionality like automation and AI. These technology innovations help firms maximize efficiency and time savings while supporting optimal customer experiences.
5. 35% cite inefficiency from over-reliance on outdated technology
Clinging to outdated technology can cause inefficiency–much like taking too long to adopt new technologies (#2 above). While it's important to maximize your investment, you should also have clear parameters. When is this technology causing more work than reducing it?
How to address this:
Evaluate regularly. Continuously assess your technology to understand how it impacts workflow.
Stay attuned to teammates. The professionals using the technology will have feedback not only from their use but also from the clients they talk with every day. Be sure to work closely with them for feedback on what’s working and what isn’t. This can help alert you to the need to transition to new technologies before problems prevail.
Build relationships. Build sound, supportive relationships with solution providers to stay up to date with the latest technology capabilities.
6. Underutilization of technology features leads to inefficiencies, according to 34%
The gap between what your technology can do and the features your team actually use isn't just unused potential—it can actively work against your bottom line. A two-prong approach helps close the gap, with a focus on strong technology provider relationships as well as change management across your firm.
How to address this:
Select the right partner. Seek a technology partner committed to driving value for your firm—one that offers resources, tools, and certifications to support your firm in understanding the platform end to end. Also, look for providers with support teams trained to understand the unique needs of firms and how they work with clients.
Think about change management. Change management helps everyone adjust to new technologies. It includes explaining why the technology matters, training everyone, and giving them time to get certified.
Optimize your tech and move to more success
Accounting firms are well-positioned for growth in 2025. But they must first address key inefficiencies if they plan to grow and scale. By investing in training, leveraging AI and automation, and creating roadmaps, firms can overcome inefficient use of technology and maximize ROI.
To learn more about optimizing technology use, consider these resources:
- CPA.com and BILL Growth & Technology Survey
- The highly automated firm - What it looks like in practice and how to achieve it
- How AI from BILL helps you bypass busy work
- Learn more about BILL: set up a demo or contact your BILL account manager.
