The only constant is change—but is that true for Accounting Firms?
We’ve all heard the saying, “The only constant is change,” but does it really hold true for accounting firms? This ancient Greek paradox feels far less applicable when faced with the inertia of some professional services and accounting firms. Would the philosopher have been as quick to proclaim it if confronted with many firms’ reluctance to embrace new technologies, alternative processes, or innovative business models?
For some firms, it’s still business as usual marked by hesitation to adopt fresh perspectives or take bold steps forward. Yet, the accountancy profession is at a critical point, shaped by powerful forces—private equity reshaping firm structures, the rapid evolution of AI and technology, a widening generational divide, shifting client expectations, and broader economic uncertainty. Standing still is not an option. Firms must decide whether to adapt and evolve or risk being left behind in a market that is moving forward with or without them.
What’s slowing firms down?
Change, even when beneficial, can be unsettling because it challenges the status quo. Additionally, resistance isn’t always about fear. More often, it comes from uncertainty—the risk of making the wrong choices, disrupting what already works, or struggling to ‘survive’ the transition.
Overcoming cognitive entrenchment: The “Dark Side of Expertise”
Many firms may also experience cognitive entrenchment—the deeper the expertise, the harder it is to embrace new approaches. Experience often leads professionals to rely on tried-and-tested methods. While this provides stability, it can also create resistance to change.
Adapting to new ways of working becomes difficult when firms are deeply invested in practices that have historically worked well. But the reality is clear: what brought firms success in the past may not be enough to secure their future.
Overcoming cognitive entrenchment doesn’t mean abandoning expertise. Instead, it’s about building on it—creating a shared journey where teams and firms can work together to challenge norms, embrace curiosity, and shift mindsets.
Learning from the past: making change work this time
Adding to this challenge, many firms may have already attempted and failed at implementing change and when not managed in the right way, teams are left confused and tired – enter “change fatigue”. A poorly executed CRM rollout, a pricing model shift that lacked partner buy-in, or an automation initiative that faced resistance can leave firms hesitant to try again. These past challenges often lead to scepticism, making leaders wary of investing time and resources into new transformation efforts.
Each of these requires more than just training—they demand mindset shifts, leadership buy-in, and cultural adaptation to be truly effective.
How can firms overcome these setbacks and start making progress?
“Mindset over Matter”
A shift in mindset is essential—it means moving past failures and entrenched, risk-averse habits and embracing innovation. By fostering a learning culture where continuous improvement and experimentation are the norm, change becomes a part of the fabric and isn’t forced.
In Hidden Potential, Adam Grant – acclaimed organisational psychologist and best-selling author – highlights how clinging to familiar habits and resisting new approaches can hinder growth. In the early chapters, he explains how the discomfort of learning new skills or adopting unfamiliar methods often deters individuals from reaching their full potential. Sticking to what feels natural or comfortable, he argues, leads to stagnation, while embracing discomfort is essential for personal and professional development.
This insight resonates with challenges faced by many accountants. Their deep expertise and reliance on traditional methods often make adapting to change more difficult. Grant’s observation that “growth comes from discomfort” underscores the importance of shifting mindsets and fostering curiosity to beat inertia.
Organisations must create environments that support the questioning of old habits and embracing new techniques. This aligns with Grant’s assertion that “potential isn’t about being perfect, but about getting better” (Hidden Potential, Chapter 1). By applying these principles, accounting professionals can move beyond resistance to drive meaningful transformation.
As Grant says, “The best way to accelerate growth is to embrace, seek, and amplify discomfort.” When people recognise discomfort as a marker of growth, they become motivated to push beyond their comfort zones.
Breaking the cycle: embracing change with purpose
The key to successful transformation lies not just in making a change, but in making the right changes—strategic shifts that align with long-term goals and create lasting impact. This requires:
- Reframing change as opportunity – viewing transformation as a chance to improve efficiency, elevate client service, and future-proof the firm.
- Building a culture of adaptability – encouraging teams to embrace new ideas, challenge outdated ways of working, and develop a growth mindset.
- Managing uncertainty with data – leveraging insights and analytics to guide decision-making, rather than relying on intuition or legacy practices.
- Committing to continuous evolution – recognising that change isn’t a one-time event but an ongoing process that requires leadership, engagement, and adaptability.
A vision for progress
When it comes to change, perception is everything. Firms often view their ‘great ideas’ as isolated projects, when they are in fact full-scale change programmes. Whether it’s rolling out a new CRM, revamping the appraisal system, merging with a smaller firm, or introducing a new audit methodology, these initiatives go beyond training—they require a cultural shift. As Shakespeare wrote, “Some are born great, some achieve greatness, and some have greatness thrust upon them.” The same applies to change—some firms take charge and drive transformation, while others have it forced upon them. True success lies not in simply “putting up” with something new but in adopting and evolving and ensuring the culture shifts along with it.
The concept of “constant change” can be reframed as an opportunity for deliberate, thoughtful evolution. The accountancy profession is at a crossroads, shaped by the rapid advancement of AI, the influx of private equity, emerging business models, and the changing expectations of the next generation of accountants, and their clients. Owner-managers, for example, increasingly expect reductions in accountants’ costs due to AI, viewing automation as a tool to streamline processes and drive efficiency.
Each of these pressures demands a willingness to adapt, innovate, and rethink long-standing practices. By shifting mindsets, managing resistance, and embracing transformation strategically, firms can turn change from a challenge into a powerful driver of growth.
In the next article, we’ll explore practical strategies for implementing this approach—how to engage teams, overcome resistance, and create lasting change. Stay tuned for insights on making transformation a success.