Change is inevitable, but that doesn’t make it any easier to manage. Today, the UK government’s aim is to create the most effective digital tax system, Making Tax Digital (MTD), which has resulted in many accountants having to meet change head-on.
Research has revealed many firms have not been adopting the digitisation needed to implement MTD practices appropriately, either because they need more support or the rate of change is too fast. It is likely that reluctance to embrace MTD is down to people’s fear of technological and digital change. So how can we encourage people to overcome this?
Fear of the unknown is common, but we can embrace this to improve how we work. Gaps in knowledge around the specifics of the change can result in dragging feet when it comes to implementing the processes needed.
With new legislation rolled out annually, new tax reporting methods and requirements and clients to bring along on the journey, there are pressures on all sides to face this change, whether they want to or not.
Sufficient resources and tools need to be used to ensure a smooth and easy transition. At the top of the list is communication with clients about how best to move to MTD. By starting the discussion, advising of next steps and conveying the benefits sets expectations and helps overcome any initial concerns clients may have.
It’s important to be realistic about change and accept the fear some may have in relation to change. Open communication gives people a platform to be honest about their hesitancies, which in turn will make them easier to overcome.
While MTD has put pressure on accountants, technological change has the potential to improve and ease working life. The right digital solution can help increase productivity, but it must be managed correctly. Through communication and putting people at the heart of any change management project, firms can ease the adoption of new change for those who are more resistant.