Abstract
Artificial Intelligence’s (AI) rapid advancement has triggered major changes to the way professional services go about daily operations and create value for clients. Given the routine nature of work, accounting firms are under pressure to integrate AI-driven analytics (AIDA) into workflows, placing the profession at the crossroads of technology and organisational change. This study addresses the current knowledge gap and focused on firm-level capabilities for adoption of AIDA in accounting firms. By interviewing 24 accounting professionals in Singapore from accounting firms of varying sizes, this study finds that firms are building capabilities through three dimensions: sensing AIDA opportunities through client engagement and technological trends, seizing opportunities via strategic use of AIDA tools, and reconfiguring internal processes through cross-functional collaboration and workforce transformation. Despite firm similarities, subtle differences had significant impact for digital transformation. To successfully integrate AIDA, emphasis must be placed on developing firm-wide capabilities on top of individual competencies.