Continuous improvement isn’t aspirational for accounting firms—it’s necessary to stay competitive and relevant, especially as technological advancements like artificial intelligence (AI) reshape how firms operate.
Leveraging AI can unlock incredible efficiencies and drive firm-wide progress, but firms need to integrate these tools thoughtfully into their processes. In this article, we’ll explore how firms can incorporate AI into their continuous improvement efforts while remaining agile and responsive to the fast-paced nature of technological change.
The role of continuous improvement
Continuous improvement is a process for regularly evaluating and optimizing workflows, technologies and methodologies. Over time, the systems and processes your firm relies on evolve due to new technologies, shifts in client needs and regulatory requirements. To remain efficient, you must constantly assess how these changes impact your operations and proactively identify opportunities to enhance performance.
This mindset is particularly important in today’s environment, where technologies seem to change and evolve on a daily basis. For example, you might implement a new scheduling module for a workflow solution or upgrade your tax software with machine learning capabilities. But without evaluating how these changes impact your processes, those solutions might not deliver the desired results. Worse, they may create inefficiencies by clashing with existing processes. This is why you need a firm-wide commitment to continuous improvement—it ensures any new technology aligns with business goals and enhances rather than hinders workflows.
AI in accounting
AI is transforming how people work across industries, and accounting is no exception. From automating routine tasks like data entry to enhancing decision-making with predictive analytics, AI offers a lot of possibilities. Many firms have already started adopting AI responsibly, incorporating policies that safeguard client data and ensure compliance with privacy regulations.
However, while AI brings opportunities, it also brings potential challenges—especially when it comes to how AI integrates with existing processes. For example, an AI-powered bot might automate certain client-facing tasks, such as answering common tax questions. But if these tasks are disconnected from overall client management, AI could unintentionally create bottlenecks or redundancies. This is where a continuous improvement mindset is crucial.
Aligning AI with process improvement
Introducing AI into your firm isn’t a one-time event. It should be part of an ongoing effort to support and refine firm operations. Firm leaders should regularly assess how AI impacts their team’s workflows and determine whether it truly adds value to their processes. Are there areas where AI generates inefficiencies? Can they better integrate the tool into the firm’s broader systems? These are the kinds of questions firm leaders should ask when adopting AI.
AI can also be a powerful tool for identifying inefficiencies. For example, algorithms can analyze vast amounts of process data to uncover patterns that might not be immediately apparent to humans. By flagging potential issues early, AI can help firms address weaknesses in their workflows before they become major problems. But to truly unlock this potential, firms need a culture that prioritizes regular process evaluation and is willing to adjust as necessary.
The competitive advantage of continuous improvement
Having a culture of continuous improvement ensures people use AI effectively and gives the firm a competitive advantage. Firms that embrace this mindset can adopt emerging technologies faster and integrate them into their operations. This kind of adaptability is critical in accounting, where being slow to adopt new technologies can mean falling behind the competition.
Firms that continuously evaluate their processes are also better equipped to identify threats early and respond to changes in the business environment. Whether it’s a new tax regulation, a shift in client needs or a cybersecurity threat, being proactive about process improvement helps firms stay ahead of the curve. AI can help firms identify and address these challenges.
Responsible AI adoption: Balancing innovation and control
Approach AI adoption with a balance of innovation and control. Policies and guidelines can help team members use AI tools responsibly and safeguard sensitive client data. However, responsible AI use also involves continuously evaluating how these tools impact your processes. Simply having a policy isn’t enough—you need to assess whether AI tools actually improve workflows or create unforeseen challenges.
One potential risk is that AI could disrupt existing processes, especially if you introduce it without sufficient planning. For example, an AI tool that automates invoicing might speed up billing but could create delays in other parts of the client engagement process if you don’t properly integrate it with your accounting software. To prevent these issues, you need to regularly review how AI tools interact with your workflows and adjust as needed.
AI can revolutionize accounting, but firms willing to adopt a continuous improvement mindset will have an easier time leveraging the possibilities. By regularly evaluating processes, identifying areas for optimization and staying nimble in the face of change, you can ensure AI becomes a competitive advantage rather than a stumbling block. The firms that succeed in this space will embrace AI not as a one-off solution but as part of a broader commitment to constant evolution and improvement.
Could you benefit from structure and accountability as you strive to push your firm forward?
The Boomer Process Circle is a peer group of top Process and Lean Six Sigma leaders in the accounting profession who share tools and resources for pushing change within their firms. Apply now to tap into the experience and expertise you need to lead the charge for continuous improvement.
Amanda Wilkie, Consultant at Boomer Consulting, Inc., has a computer science background, but she’s not your average geek. With two decades of technology experience, Amanda has spent 13 years driving change and process improvement through innovative technology solutions working across firms of varying sizes in the public accounting profession. She has held strategic leadership positions in firms ranging from Top 50 to Top 10 including her most recent role as CIO of a Top 30 firm. Amanda is a recognized expert in the profession who regularly speaks and writes on blockchain and cryptocurrency and their impact on the profession.
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