November 24, 2022
In the last few years, accounts outsourcing and financial operations have become a need of the hour for accounting firms because of various advantages. However, to make outsourcing effective, the most common roadblock that any accounting firms presumably face is a mild or unwarming response from the workforce within the accounting firm.
The main reason behind such a response comes from a certain understanding that outsourcing will take away the job and job security. Outsourcing operations can only be successful if the workforce is on board. It is quite obvious that changes will meet with a certain resistance.
Therefore, it is essential to address such resistance to reduce them and spread awareness of the opportunities & challenges that will come with it.
Let’s look at why the workforce resists change regarding accounts outsourcing.
Fear of losing a job is the most common reason behind resisting an outsourcing decision. Accounting outsourcing includes technological advancement, systems, and platforms for accounting and bookkeeping that will streamline the financial aspect of the projects, prove pivotal in cost reduction, and increase productivity and efficiency. All these upgrades make the workforce perceive that their role in the accounting firm will be eliminated.
One of the crucial reasons behind workforce resistance is hampered communication. The accounting department in any accounting firm often feels that such decisions regarding outsourcing are not communicated effectively to them.
If the management fails to communicate effectively about the outsourcing strategy, those working in the traditional ways will not welcome the decision.
Not knowing the result of outsourcing outcomes makes the workforce averse to outsourcing. Some team members may cling to the past way of working as it was secure, understandable, and predictable. If something worked for them in the past, resistance might arise out of fear that they will not achieve similar results in the future.
Before the pandemic, regular routines made teams worldwide feel in control over their work environment. A slight change in their operations makes them feel powerless and confused. A team is more likely to understand and implement changes when they sense they have some control. By outsourcing, staff members share their workload with external agencies, which may create insecurity and fear of losing control over their comfort zone.
There is absolute denial from the in-house team regarding admitting incompetency and inefficiency. Organizational changes demand changes in skills, and some team members won’t take such a transition well. Therefore, the only way for them to survive is by resisting the change.
The ideal way of introducing change is when no other major initiatives are happening. At times, the actions of management create resistance to outsourcing. Resistance often occurs because changes are introduced insensitively or at a discomfiting time.
The general attitude of not accepting outsourcing also comes from a bad experience in the past. For instance, if an accounting firm partnered with an outsourcing agency that failed to deliver results in the past, it is enough to garner a lukewarm response from the internal team. Similarly, small or mid-sized accounting firms who want to collaborate with an outsourcing agency make it difficult for the workforce to appreciate the decision.
These are some of the most common reasons that accounting firms meet outsourcing decisions with resistance. However, accounting firms need to motivate the team to become part of the transformational process and welcome the upgrades.
Let us look at three ways that can help in motivating the team.
3 Ways to Motivate Team about Outsource Accounting
Accounting firms must communicate steadily with team members to deliver information through various mediums such as email, calling, or sending text messages that can brief the firm’s strategy and the necessity to outsource. Effective communication and proactive inclusion can eliminate misconceptions and motivate the team to embrace the upgrade.
Ensure that the firm’s workforce gets clear messages always. This practice helps in developing trust between employees and employers.
There will also be situations where accounting firms might need to convey the message to team members individually. Face-to-face communication will help convey key information about outsourcing so they feel well-informed.
The involvement of team members in new operations & procedures is important and a healthy indicator for an accounting firm. The first step is to start training sessions and educate staff about outsourcing accounting opportunities. For instance, the workforce will learn how outsourcing can improve their productivity, make them efficient, and help them with new opportunities and visions. It develops future performance and helps focus on employee growth.
Besides, staff will clearly understand new roles and responsibilities with proper training. It will reduce the resistance toward outsourcing.
Allowing team members to take responsibility for outsourcing operations and run with it is one way to motivate a team. Allocate responsibility for operations and outcomes.
Accountability and responsibility are vital aspects of outsourcing, especially accounting-related activities. Also, it will help in building trust among team members.
By allocating responsibilities and establishing Accountability, accounting firms can have positive results, and the transfer of accurate information to clients will help save time and avoid delays. By outsourcing, staff members become responsible for communicating with the outsourcing agency’s representative, who can help serve clients better. If any problem arises, the solution will come by working collectively rather than individually.
Accounts outsourcing is an important business management decision that holds the potential to transform businesses entirely. However, executing such strategies is not easy and might impact team members. With the three ways mentioned above, you can easily execute an outsourcing strategy in your accounting firm.
Greenbucks Accounting helps your accounting firm in its journey to becoming profitable and productive. We have a team of experienced professionals readily available to manage your accounting operations. Contact us at firstname.lastname@example.org or call us at +1 (214) 429-4141 and start your outsourcing journey today.