The reason why last name, first name is not a great format for Teams is due to the way Teams interacts with you. This is especially the case where Microsoft Teams is concerned. However, the modern day applications are now more capable in terms of searching and ordering of data, and applications are geared towards first name, last name formats as the new standard. This format dates back to some perceived naming standard when application search was limited so ordering by surname meant that finding the right record was an easier task. However, some larger and older organizations still use the Last name, First name as their display name format. For some organizations this is never an issue. In Microsoft Teams, the name of your internal contacts is displayed in the format found in the displayName field in Azure AD.
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