Agility in Accounting Offices

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In the complex and volatile world in which we live, where rapid changes bring uncertainty and a lack of predictability in the behaviors and demands of different stakeholders and the growing amount of information available is ambiguous, subject to different interpretations and of little use for analyzing the complex and unprecedented scenarios that a disruptive innovation causes, companies - and, above all, accounting firms - are being increasingly pressured to abandon traditional management models and become agile organizations .

The digital revolution and technological advances are providing new business opportunities for organizations, but they are also bringing new challenges, as they are transforming the way they operate, the way they interact with their customers and allowing the entry of new disruptive players into the market that are taking the place and challenging the japan whatsapp number database quo of traditional and contemporary companies. Instead of resisting change, agile organizations are quick and effective in sustainably adapting functions and businesses to market trends and needs.

More agile organizations. Better results for Accounting Firms.

According to a study conducted by Forbes Insight in partnership with the Scrum Alliance , there is a gradual recognition of organizational agility as the most important factor for the success of organizations. Also according to this study, the most agile organizations are those that achieve better results and have as their main benefits the shortest time to market (60%) , faster innovation (59%) , better non-financial results (58%) , such as customer satisfaction and product quality, and increased employee satisfaction and alignment (57%) . In a study conducted by McKinsey & Company, the results were similar: most respondents consider that organizational agility is a strategic priority and that customer focus, increased productivity and employee satisfaction are the main objectives of these transformations.

In this new context, traditional organizations need to reinvent themselves. Their hierarchical model, centralization of power, the way they operate and the large number of employees represent barriers to the evolution of organizations and the speed at which they respond to market changes. Whereas in the past, the larger a company's workforce, the greater its capacity to produce, today, in addition to changes in consumer behavior, technology has also made it possible to streamline, eliminate or automate manual and repetitive tasks within organizations . This means that a new competitor focused on the digital world will be able to compete and take the place in the market of organizations that are still stuck in models, systems and ways of thinking that do not serve the current reality.

New challenges

In the Digital Age, organizational agility is not an option, but rather a necessity for all types of organizations that want to be able to compete and prosper in their markets. Among others, Accounting Firms are one of the sectors of activity with the most challenges ahead. According to the World Economic Forum , it is expected that by 2022, the professions of accountants, auditors, financial analysts and human resources administrators will be redundant as they may be automated. Accounting Firms must be able to adopt agile management models that allow them to quickly and efficiently rethink and redesign strategies, structures and processes, as well as prepare people to respond to market changes and technological advances or even anticipate them in a productive, economical way and without compromising quality, with a view to creating and capitalizing on new opportunities and protecting value.

How to transform Accounting Offices?

Transforming companies in the context of agility is not just about applying work methodologies used by technology companies to all departments of the organization. It is about designing a stable and dynamic organization that allows for an increased speed of response to new challenges and opportunities. In order to accelerate transformation processes, organizations must invest in business practices and skills that allow them to navigate these uncertain times, among which the following stand out:

1. “Obsessive” focus on the customer
By incorporating the client’s perspective, Accounting Firms are forced to constantly rethink the way they view their services. Agile organizations define roles and responsibilities so that people feel motivated and stimulated to proactively seek suggestions and feedback from clients and to work side by side with them. This allows them to improve their services and identify needs that are not being met, in order to develop and launch to the market (even when there is uncertainty in the results) new services that aim to meet these needs, iteratively and in rapid learning cycles, since they cannot wait for the perfect product (it would not be viable).

2. Create a shared vision and purpose
Having a shared vision among all members of your ecosystem is an effective way to keep people emotionally engaged. In the same vein, defining a common vision and purpose can help clients choose the accountant they should trust.

3. Be flexible when allocating resources
Being agile in allocating and reallocating resources (funds, people, etc.) to develop new business initiatives, rather than following an annual plan that becomes obsolete after some time, may be the best strategy to follow. To be successful, this allocation must be carried out based on the performance of the initiatives, strategic priorities, opportunities and market responses. In this way, managers will find the best conditions to decide whether to continue investing or not.