Is your firm 'digitally fluent?'

Walk into most accounting firms today, and you'll see an interesting disconnect. Staff are experimenting with artificial intelligence tools like ChatGPT, Copilot or vendor-built automations, while many firm leaders still aren't touching them. In fact, a 2024 RightWorks survey found that 73% of firm leaders aren't using AI in any way, even as their people are quietly exploring it.

That gap is a leadership risk. If you're not digitally fluent, you risk being outpaced by your own team and, more importantly, by your competitors.

Digital fluency is about being able to navigate, evaluate and lead in a digital-first world. And the numbers show we have work to do. According to data compiled by Software Oasis:

• 57% of accountants lack advanced Excel or Power BI modeling skills; and,
• Only 34% of entry-level accountants are proficient with advanced technologies.

These gaps affect your firm's ability to transform because your firm is only as ready for change as the people in it.

What is digital fluency?

Think of digital fluency as the combination of skills, mindset and adaptability that allows you to use technology strategically. The core elements of digital fluency include:

• Digital mindset. Digitally fluent firms view business challenges through a digital lens and envision technology-enabled solutions.
• Technological literacy. Team members understand fundamental concepts, capabilities, risks and limitations.
• Common language. When leaders and staff share the same digital vocabulary, you bridge knowledge gaps, reduce communication barriers, and make it easier to gather requirements and implement solutions.
• Continuous learning culture. Digitally fluent firms nurture an environment that encourages experimentation, knowledge sharing and staying current with emerging technologies.

Digital fluency isn't just "nice to have." It drives growth and competitiveness. In fact, Accenture research shows that digitally fluent companies were 2.7x more likely to experience high revenue growth over the past three years.

Leaders need to catch up

Your staff are already exploring and adopting digital tools and using AI, whether or not leadership is involved. That creates risk for the firm. Without guidance, employees may underutilize tools and leave potential value untapped.

It also creates a cultural divide. If staff see leaders as lagging, it erodes credibility and slows adoption of firm-wide initiatives.

As leaders, your role isn't to be the most technical person in the room. The goal is to create the conditions for fluency across the firm. That means:

• Conducting digital readiness assessments to understand where your people are today.
• Appointing digital champions. These are respected peers with a natural curiosity for technology who can mentor others.
• Investing in ongoing training. Karbon's 2025 State of AI in Accounting Report found that firms that train employees in AI free up the equivalent of seven weeks of capacity per year, per person. That's not just efficiency, it's strategy.
  

From fear to fluency

For many leaders, the hesitation around AI and digital tools stems from fear: fear of misuse, fear of mistakes and fear of replacement. But we need to shift our mindsets from thinking of technology as a replacement for expertise to thinking of it as augmenting it.

Human-centric AI puts people at the center, using technology to accelerate routine work, enhance accuracy and free capacity for higher-value client service. When you frame adoption as augmentation, you move from anxiety to advantage.

Here's a path forward if you're not sure where to begin:

1. Baseline your readiness. Use surveys or self-assessments to understand digital comfort levels across your firm.
2. Start small with prompts. Build a library of effective AI prompts to use in audits, tax and client communications. This reduces trial-and-error and accelerates adoption.
3. Create no-penalty learning zones. Give people space to test, fail and learn without fear. Celebrate small wins to build momentum.
4. Champion success. Share stories of how technology saved hours or improved client deliverables. Stories stick far better than metrics alone.

Remember, you don't have to master every tool. Set the vision, remove barriers and create an environment where digital fluency thrives. When you do, your people will be better prepared to keep pace with technology and unlock new ways to serve clients and grow the firm. The most successful firms will be the ones with leaders who step up when technology evolves.