It’s easy in a job market like this to have a quick way to weed out “unqualified” candidates. But it’s not always a black and white situation.
Industry Experience Can Be a Game-Changer – Sometimes
In certain situations, hiring someone who knows the industry inside and out makes perfect sense. Think about roles that require:
- Regulatory compliance: Healthcare, finance, or government accounting all come with heavy compliance requirements.
- Specialized financial planning: Different industries track different KPIs. Someone from manufacturing will speak a different financial language than someone in SaaS.
- Fast onboarding needs: If you need someone to hit the ground running, it helps if they already understand the business model (like an ad agency) and terminology.
For highly specialized or senior roles, industry experience can save you time, reduce risk, and add strategic value right away.
Is It Always Necessary?
Not always. In fact, hiring strictly from within your industry can sometimes backfire.
- It narrows your talent pool. Great accountants exist across industries. By filtering for industry experience only, you may miss out on technically sound, highly adaptable candidates.
- It can limit fresh thinking. Someone coming from a different background might spot inefficiencies or introduce new tools or approaches.
- Transferable skills matter. Accounting fundamentals don’t change from one industry to another. Strong problem-solving, analytical skills, and commercial acumen can often outweigh lack of industry-specific exposure.
A More Balanced Approach
So, what’s the right answer? It depends on the role.
- For compliance-heavy or executive positions: Industry knowledge may be essential.
- For mid-level or general accounting roles: Prioritize technical skill, adaptability, and learning agility.
- For long-term impact: Consider building teams with a mix of insiders and outsiders. You’ll get the benefit of deep knowledge and new ideas.
Industry experience can be valuable, but it shouldn’t be a blanket requirement. Look at the whole picture: the demands of the role, the structure of your team, and the kind of thinking you want to bring into the room.
Sometimes, the best hire is the one who hasn’t worked in your industry – yet.
Would you rather hire someone who knows your space inside out—or someone who asks the questions no one else has?