Why Many Accounting Firms Fail at Digitalisation (Even After Buying Software)
Many accounting firms in Singapore and across ASEAN invest in software — yet they still struggle with inefficiency, slow delivery, low margins, and poor client experience. In fact, it’s common to hear partners say: “We bought a system, but nothing really changed.”
So what’s going wrong?
The plain truth is this: software alone does not equal digitalisation. Firms fail not because technology is weak, but because they misunderstand what digitalisation really entails.
This article explains why accounting firms fail at digitalisation, even after buying software, and what firms must focus on to make it work.
What Digitalisation Actually Means
Before we get into mistakes, let’s clarify what digitalisation is — and what it is not.
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Digitalisation is not just buying software
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Digitalisation is not moving files from desktop to cloud
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Digitalisation is not colour-coded dashboards
Digitalisation is the integration of technology into workflows, processes, and decision-making — in a way that changes behaviour and improves outcomes.
Without that, software becomes a fancy filing cabinet, not a business accelerator.
Why Many Accounting Firms Fail at Digitalisation
1️⃣ They Treat Digitalisation as a Technology Project
Often, partners think:
“We bought X system, so we are digital.”
However, effective digitalisation is a change management and business strategy project, not an IT box-ticking exercise. If people don’t change how they work, tools become shelfware — bought but unused.
For example:
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Staff continue using email instead of the new system
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Templates are still exchanged over WhatsApp
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Approvals happen on paper instead of workflows
In short, technology alone does not change behaviour.
2️⃣ They Don’t Redesign Processes Before Coding Them
One of the biggest traps is automating broken processes.
If Paper Process A was inefficient, moving it to System A simply digitalises inefficiency. The outcome remains slow and error-prone.
Instead, firms should:
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Map current processes
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Identify bottlenecks
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Redesign for efficiency
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Then select tools that support the redesigned workflow
Without process redesign, digital tools are grafted onto chaos.
3️⃣ They Lack Clear Goals and Metrics
Many firms buy software without asking:
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What problem are we solving?
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How will we measure success?
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What KPIs will improve?
A digitalisation initiative without measurable goals invites failure.
Useful KPIs include:
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Turnaround time per engagement
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Utilisation and realisation rates
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Write-offs and rework
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Billing cycle time
However, KPI tracking must be paired with accountability — otherwise data collects dust.
Suggested external link:
A practical guide to KPIs and key metrics for professional services shows how firms can measure performance beyond hours and revenue.
Sources: https://www.wrike.com/professional-services-guide/faq/h/ow-to-set-kpi-for-professional-services
4️⃣ They Ignore Change Management
Digitalisation fails not because of tech limitations, but because people resist change.
Common human blockers include:
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Fear of new systems
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Attachment to old routines
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Lack of training
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No clear leadership vision
Successful digitalisation requires:
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Leadership sponsorship
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Structured training
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Internal champions
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Regular reinforcement
Without behaviour change, tools remain unused.
5️⃣ They Focus on Features Instead of Outcomes
Sales demos often emphasise:
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Beautiful dashboards
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Automated reminders
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AI insights
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Drag-and-drop interfaces
However, firms rarely ask:
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Does this reduce manual effort?
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Does it reduce errors?
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Does it make clients happier?
Features are nice — outcomes matter.
6️⃣ They Don’t Integrate Tools Seamlessly
Digitalisation fails when systems don’t talk to each other.
For example:
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Practice management tools not integrated with billing
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Onboarding portals disconnected from document stores
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Time logs not connected to realisation reporting
Siloed systems force work back into spreadsheets, defeating the purpose of technology.
7️⃣ They Skip Post-Implementation Review
Too often firms celebrate go-live — then forget to assess results.
True digitalisation requires a feedback loop:
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What worked?
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What didn’t?
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Where are bottlenecks?
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Where do workflows break?
Without review, mistakes repeat.
Framework for Successful Digitalisation
If software alone doesn’t solve problems, what does?
Here’s a practical framework:
Step 1: Define Clear Objectives
Start with why.
Examples:
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Reduce turnaround time by 30%
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Halve write-offs within 6 months
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Increase utilisation rate above 70%
Without goals, success is guesswork.
Step 2: Map and Redesign Processes
Before choosing tools, understand workflows.
Document current states and design improved workflows — before selecting software.
Step 3: Choose Tools That Support Workflows
Not all tools are equal. Ask:
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Can this integrate with existing systems?
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Does it support governance?
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Does it centralise data
?
Choose tools that enhance the redesigned processes — not replace them.
Step 4: Train and Change Behaviour
Digitalisation is about people.
Invest in:
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Structured training
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Internal champions
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Routine check-ins
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Performance dashboards
Behaviour change must be measured, not assumed.
Step 5: Track KPIs and Adjust
Set a baseline. Then track:
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Turnaround time
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Utilisation and realisation
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Billing cycle
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Client satisfaction
Adjust workflows and tools based on insights.
Digitalisation and Risk Management
Good digitalisation also reduces risk.
For example:
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Centralised documentation improves compliance
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Audit trails support regulatory review
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Standardised workflows reduce errors
In regulated environments — especially in accounting and tax — this isn’t a luxury. It’s a necessity.
Digitalisation Is Not the End — It’s a Journey
Importantly, digitalisation is ongoing, not a one-off project.
Technology evolves. Business models shift. Compliance standards update.
Firms that treat digitalisation as a continuous improvement journey outperform peers.
Final Thoughts
Many accounting firms fail at digitalisation not because they lack technology — but because they lack process discipline, behaviour change, and performance focus.
Digitalisation succeeds when firms shift from tool buying to operational transformation.
How uSafe Can Help
uSafe assists firms with:
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Digital operating model design
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Process mapping and redesign
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Tool selection and integration
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KPI framework and dashboards
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Behaviour change plans
If your firm bought software but saw limited improvement, let’s assess what’s really holding you back.
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