august2022 - 7

FROM THE TRENCHES
competitors like Intuit or
IRIS
Software have been working on
connecting more products in their
stack or associated solutions that
are friendly players. Traditionally,
buying everything from one vendor
is the suite approach. The promise is
that client data entered in one module,
like tax, will flow seamlessly to
another module, like billing. Indeed,
some of these rudimentary connections
are working and help your
firm's efficiency. However, while
CCH Axcess and Thomson Reuters
CS Suite work this way, it is far more
of a stretch for other suppliers to
achieve the same efficiency.
Most importantly, a single supplier
is less likely to provide every tool you
need for your firm today. Buying various
solutions and connecting them is
known as the best-of-breed approach.
Firms of all sizes favor this approach,
trying to get a better solution. However,
efficiencies break down when the
solution stack is missing critical parts.
In other cases, your tools are getting
long in the tooth. You may have
selected and used a product for the
last 10, 15, or 20 years and the supplier
has not done a significant upgrade. It's
almost like your firm is living in the
past with software that does the job,
but you know there must be a better
way. However, the cost of switching,
few viable competitive options, and the
risk of going from a solution that works
to one that doesn't have kept your firm
frozen in the past. Even on the day I
wrote this article for you, I listened
to three different firms explain issues
they were having with old and new
software alike. One named a popular
tax product and was told by their
publisher that there was " no known
solution, " which was why we spoke.
Indeed, there wasn't a solution to
the problem, and they strategically
decided to work around it. Unfortunately,
their vendor also recommended
over a decade-old solution that will not
perform as claimed.
In a second case, I listened to
another trusted advisor with years of
experience with a particular software
product. New ownership had changed
the method of setup and support of
their legacy product. Further, the company
was creating a new product that
did not work correctly. The advisor had
repeatedly pointed out the flaws in the
new platform. Customers were told the
new platform worked a certain way,
which did not work as the company
claimed. While the advisor is correct,
the decision-makers in the company,
who traditionally could make a difference,
did not have the authority to get
the repair done.
In a third case, I listened to an
explanation of a paid consulting
interaction for a large company we
all know that will remain nameless.
They have a new product that has various
functional deficiencies. A novice
employee asked for guidance on what
needed to be done to make the product
work. The company's legacy product
works properly. One suggestion was to
speak to so and so (a specific person)
who knew the correct way to do the
calculation in the legacy product.
" We're not allowed to do that. They
are in a different division. " As of this
writing, the problem still exists.
One of the benefits I enjoy of speaking
at so many conferences and consulting
with so many firms is learning
about approaches that are working and
those that are not. Additionally, we get
to see how vendors are selling firms.
Many sales teams are quite sincere in
trying to solve your problems for your
clients. We frequently try to create new
and better approaches to real-world
problems in your firms. However, it
takes visionaries and people who can
execute in companies to make these
solutions work for you, your firm, and
your clients.
This year's conferences have
revealed new tools, strategies, and
relationships, including AICPA Engage,
Scaling New Heights, and more.
Further, it has been nice to confer
with trusted advisors and creators
of products with powerful new tools.
On the other hand, it has been sad to
watch well-resourced organizations
stumble and ineffectively squander
competitive advantage. You, your
firm, and your clients wind up being
the biggest losers. And you had little
to do with your handicap in serving
your clients.
One primary concern I have for
the tools in our profession is that
innovation is happening in various
areas. Still, the insightful design and
skillful execution to complete the
solution is frequently lacking. While
there are notable exceptions, many
solutions in the market are less than
half-baked. However, most accounting
professionals I know are pretty smart
and can overcome these deficiencies.
And that gets me to the point of this
article. How do you carefully select the
right technology stack to support your
firm's strategy?
SO, WHAT DO I DO NOW?
First, many of you are trying to select
a stack based on a consultant's or an
association's recommendations. While
many approaches are reputable and
correct, I'm appalled at those that
are not. While I'm happy to share the
stacks I have developed, I like to make
you aware of various stacks advanced
in the market and the tools in those
stacks. My team and I have followed
and assisted with many of these
tools for years. Don't be surprised to
discover tools that are new to you.
It would be best if you held yourself
responsible for selecting your stack.
Second, you will have to step up
your efforts in various critical areas.
One crucial need is to consider your
strategy in each of your primary
service offerings inside your firm. If
your team doesn't have the internal
expertise, you may have to do some
of your preliminary research. You
might get lucky to find a consultant
to assist, but many consultants are not
independent and have vendor agendas
and biases in their recommendations.
You will have difficulty discerning
factual and unbiased advice from
polished sales pitches. I've noted
that many of these approaches are
practiced sounding logical and correct.
However, it would be best if you did the
work to understand your offerings and
what is needed to deliver each offering.
Third, you must step up your
game in due diligence, selection,
and contracting for services. Reliable
resources are far less available, and
you may have to do more of your
own work. It is wise to think about
the phrase " follow the money " when
considering your solutions. While I'm
a long-term believer in partnerships,
inappropriate financial relationships
from service contractors may not help
your firm or your clients as you expect.
Further, besides the financial implications,
many providers are farming
your clients' data inappropriately with
marginal and minimal disclosure.
It would be best if you were more
diligent than ever.
Fourth, your stack will become
your firm's competitive advantage.
While you can do things like your
peers in your association, your client
needs, and team member capabilities
should also drive your stack decisions.
I believe you'll build a stack for tax,
a stack for CAS, and other functional
areas in the firm. The training and
transition may be a lengthy process,
but in the end, you will have a collection
of tools from suppliers you
trust doing the work for clients in a
secure and more accessible fashion.
It would be best to chart your own
stack to have a competitive advantage.
If you research your options and
thoughtfully execute deploying each
innovative technology and stack,
you'll build your own secret sauce.
As a benefit, you'll get out of the
older past and into a brighter future
that fits your firm's strategy for your
clients. Plus, you'll get an excellent
firm experience with a competitive
advantage working in the best style
for all involved. ■
AUGUST 2022 ■ www.CPAPracticeAdvisor.com
7
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august2022

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