Finance leadership has been bombarded with labor issues over the past 12 months. As new labor trends, talent retention, new generational workforce demands, and benefit offerings have been impacting. the entire C-suite’s approach to labor, CFOs and their teams have also been affected by a continuing accountant shortage.
Whether it ripples from the larger issues impacting labor, higher education’s approach to the discipline of accounting, or the lack of work/life balance associated with being a CPA, this issue is impacting finance teams, regardless of industry.
According to new data from FloQast, access to technology can make an accountant's job a little easier and may entice them to stick around in their role. According to the survey of a little over 200 accountants taken in October 2022, companies that offered an integrated technology solution to their accountants were 80% more likely to retain those employees.
Technology to Manage Workload
Much like their CFO counterparts, accountants have a lot on their plate. With the technology available to lighten the workload for these employees, investment in SaaS products may add more value to a finance team’s output than initially anticipated. As not even four in 10 (39%) of accountants told FloQast they could complete their work, combined with the shortage of accountants, the only feasible option to relieve pressure on CPAs is technology.
The likelihood of accountants sticking around without technology integration drops significantly. Surveyors reported that when companies offer only an integrated technology system (not a solution), the likelihood of the accountant remaining employed with that company drops 61 percentage points to 19%. With no integration at all, the likelihood of a CPA sticking around drops even further to just 10%. This overall integration, which harmoniously works with multiple technology solutions, is making the jobs of accountants easier.
“We recognize that the industry is facing a massive talent crunch and are dedicated to creating powerful solutions that empower accountants and make their lives easier,” says Mike Whitmire, CEO and co-founder of FloQast. “Our research demonstrates that as more and more organizations leverage automation technology, the broader accounting industry becomes far better positioned to attract and retain accounting talent.”
Efforts Toward Integration Aren’t Unnoticed
For companies that are behind on tech integration, the ability to recruit and retain quality accountants isn’t lost. According to further findings, employees who strongly believe in their company’s ability to select and implement technology had the highest probability of staying on the job, 76%. The chances of employees with less confidence in their company’s abilities staying on dropped drastically, with some belief in the company garnishing a 38% likelihood of retention versus little confidence at 27%.
Interestingly enough, those who said they had no confidence in their company’s ability to implement technology had a 36% probability of retention, hinting that less than wholehearted effort toward technology is worse than no effort at all.
Technology’s Role in Long-Term Satisfaction
Not only is technology for CPAs a pressing issue for job satisfaction, but it may be a determining factor in the decision-making process of a highly qualified candidate. According to findings, nearly two-thirds (63%) of accountants said that technology’s importance in their job satisfaction has increased.
These accountants, regardless of their work experience, as the survey notes, use a company’s tech stack as an important factor in deciding which organization they wish to work for. Regardless of the quality of their tech stack or approach to improving it, finance officers must be ready, along with their managerial teams, to discuss their approaches with potential hires. According to FloQast's findings, 96% of interviewing candidates said they are likely to ask about technology during the interview process.