Monday, February 20th, 2017

Challenging Problems

“The measure of success is not whether you have a tough problem to deal with, but whether it is the same problem you had last year.” – John Foster Dulles

Do you shy away from challenging problems?

Certified Public Accountants are basically, nice people. They do not want to create contention or participate in confrontation. So, many challenging problems have a very long life-span inside accounting firms.

You have a renegade partner. They develop work-arounds to almost all of your processes and systems and rarely go along with the partner group’s initiatives. You even wonder what they are saying to clients.

You have a sacred cow employee. A person that apparently cannot be fired for continual poor performance. It’s someone who has been with the firm for decades and has evolved to the point where they have a very bad attitude. Even their work has become shoddy and they are beginning to drive people away from the firm.

The business world is quickly becoming digital and your firm is still not even paperless! You have a partner who absolutely refuses to move into the future. They must have everything in paper and they refuse to learn how to even review tax returns on-screen. Young, up-and-comers will soon find greener pastures.

Some partner groups are so afraid of confrontation that they pay a consultant thousands of dollars to come in and deal with the challenging problem.

Sure there is risk involved and it might feel very uncomfortable, but why not step-up to the plate and deal with your challenging problems? That’s what great leaders do.

(If you receive my blog via email, be sure to visit my website to read each days quote at the bottom of the page.)

  • "One thing is sure. We have to do something. We have to do the best we know how at the moment. If it doesn't turn out right, we can modify it as we go along."
  • Franklin D. Roosevelt

Saturday, February 18th, 2017

Lighten-Up, It’s The Weekend. How about some Disco!

“One good thing about music, when it hits you, you feel no pain.” – Bob Marley

When I first began my career in public accounting, we actually had a partner who would wear a leisure suit to work… honest! It was light blue. A few years later, some of our partners would wear plaid pants with navy blue blazers. Oh, my.

Fashions change, that’s for sure. Back then we would never have believed that partners would some day be wearing blue jeans on a weekday. I do know that I prefer jeans to leisure suits any day.

Lighten-up this weekend and enjoy John Garrett’s video – – It’s not the Dancing Queen that accountants love, it’s an Adding Machine.

Friday, February 17th, 2017

CPA Firm Management Association – A Great Resource

“There is a fundamental distinction between strategy and operational effectiveness.” – Michael Porter

Do you have a firm administrator? Do you wish you had a firm administrator?

If you do have one, be sure they are a member of the CPA Firm Management Association (CPAFMA). If you don’t have one, join the Association to learn more about how you can find one and how you could be saving your accountants a significant amount of time by having someone else take care of firm operations.

Today, I will be attending the Ohio CPAFMA Chapter meeting to learn a lot about what’s new in employment law, something all of you should be learning. Be sure to follow my tweets today.

There are many chapters around the country. If you are a managing partner or if you are responsible for any part of firm operations (what goes on behind the scenes), join CPAFMA and attend chapter meetings.

  • "The greater danger for most of us lies not in setting our aim too high and falling short; but in setting our aim too low, and achieving our mark."
  • Michaelangelo

Thursday, February 16th, 2017

Be Efficient With Your Email

“I’m really good at email.” – Elon Musk

It’s that old devil – the inbox! So many accounting firm citizens, from all levels inside the firm, lament how difficult it is to keep up with emails.

I have even heard partners talk about the number of emails they received in almost a bragging tone! “I get 100 emails a day!” “Well, I get almost 200!”

Don’t let email run your daily life. Don’t make it your default, open page on your desk top. Don’t feel compelled to reply immediately.

I have read lots of articles about how to deal with email and have shared several on this blog. I also practice what I learn! I do not continually check my email. I close my email window when I am getting real work done, etc.

AnthonyThis week I read a post by S. Anthony Iannarino, speaker and author about how he processes his email. I think you will find it very helpful.

He does not live in his inbox.

He works in 90 minute segments (without checking email).

He does a quick scan for anything urgent (that’s your challenge… what is urgent and what really isn’t urgent?)

There are really not very many emails that actually need an IMMEDIATE response. If you have one, then respond to it.

Every Wednesday morning he processes his email (he has five inboxes) and gets them all to zero.

I think you will enjoy reading his helpful, brief blog post. If you can’t give all of his tips a try at least try a few of his recommended actions.

If I let myself, I could sit and process email continually all day long! My method is to check email first thing in the morning, around noon and then again late afternoon. I rarely look at email after 5:00pm. My clients have top priority. I answer their emails first (but not always immediately).

Commit to a new practice for handling email and making your day more productive.

When you visit Anthony’s site, you might also learn some things to help with sales, after all Anthony’s site is thesalesblog.com.  And he has a book titled The Only Sales Guide You’ll Ever Need. 

  • "The perfect is the enemy of the good."
  • Voltaire

Wednesday, February 15th, 2017

Dig Deeper – It Might Not Be Your Fees

IMG_1192“Your most unhappy customers are your greatest source of learning.” – Bill Gates

Every tax season you wonder. Will all our clients return to our firm for their annual personal and business tax preparation?

There will be a few who will leave, for various reasons… they’ve moved, their brother-in-law now works for another local firm, they sold their business, etc. The most common reason the departing clients give is that your fees are just too high… more than they want to pay.

You review last year’s work and feel confident that the fees charged were valid compensation for the work performed. You contemplate giving the complaining client a reduced fee quote for their continuing work. Don’t do it!

Dig deeper. A client usually departs a CPA firm because of something other than fees. It is just easy for them to use fees as the excuse because they don’t want to tell you the truth. They feel neglected. They feel you are always reactive rather than proactive. They overheard something said by a member of the engagement team that was distasteful to them.

Studies tell us that a typical business hears from only 4% of it’s dissatisfied customers. Are you asking your clients, EVERY time you have a communication with them, “How are we doing?”

CPAs often spend much more time focused on NEW clients than they do on their OLD, faithful clients. You begin to take them for granted. Your existing clients are golden. Studies also tell us that the probability of selling to a new prospects is 5-20%. The probability of selling to an existing client is 60-70%.

Keep in mind:

  • It takes 12 positive experiences to make up for one unresolved negative experience.
  • For every customer who bothers to complain, 26 other customers remain silent.

Clients are, of course, concerned about price but most will be willing to pay more for awesome service.

 

  • "The customer's perception is your reality."
  • Kate Zabriskie

Tuesday, February 14th, 2017

Real-Life Valentine Messages

“All you need is love. But a little chocolate now and then doesn’t hurt.” – Charles M. Schultz

When I worked every day in a busy accounting firm, I always loved having some fun and light-heartedness on Valentine’s Day. After all, it falls in one of your busiest times of the year, a time when people are gradually becoming more stressed as the days fly by.

I love the little valentine candy hearts with the positive messages. When I worked at a CPA firm I would spread them around the office on Valentine’s Day:

  • So Fine
  • Cutie Pie
  • Be Mine
  • My Guy
  • My Gal
  • Way to Go
  • Be True

What if you could put small messages about how you are really feeling today on some candy hearts? Would they be something like:

  • Get real
  • Too busy
  • Buzz off
  • Wake up
  • Go away
  • Wasn’t me

Lighten-up today and have some fun. Ask your team to submit Accounting Firm Candy Heart Messages. Sure they can include some nice and some irritating messages – share them at lunch time and have some laughs. I bet your people can be very creative.

Here’s my favorite candy heart message:

valentine pix

  • "If you have only one smile in you give it to the people you love."
  • Maya Angelou

Monday, February 13th, 2017

“Do As I Say” Does Not Work

“Example is leadership.” – Albert Schweitzer

Your firm management group (includes partners, managers, and the firm administrator) works hard at defining and establishing the procedures that most efficiently enable the firm to provide excellent client service.

Your HR professional or firm administrator spends a significant amount of time and effort to update the firm handbook, the one that outlines the expected behaviors of all people working at the firm. It is approved by all partners.

You have job descriptions that document the duties of all levels of employees, including partners, at the firm.

At a staff meeting, the managing partner, speaking on behalf of all partners, explains a new policy or procedure and asks for everyone to get on board with implementation.

Do as I sayAll of this can be summed up as “Do as I say.” Then….

A couple of partners and a manager short-cut some of the documented processes or procedures.

Several leaders openly disregard a certain topic in the personnel handbook.

As far as job descriptions, we often find partners doing manager work and managers doing senior work.

Several partners procrastinate on visibly implementing the “new” procedure.

All of this completes the familiar saying, “Do as I say, not as I do.”

This phrase should not be part of your firm culture. The leaders’ actions are obvious to the employees and probably an on-going topic of conversation or even ridicule. What can you do about it now? What more can you do after April 15? Think about it.

  • "A person always doing his or her best becomes a natural leader, just by example."
  • Joe DiMaggio

Friday, February 10th, 2017

Working a Flex Schedule Doesn’t Mean Your Are Stuck

“The question isn’t who’s going to let me; it’s who’s going to stop me.” – Ayn Rand

I was delighted to read a recent article from the Journal of Accountancy by Yasmine El-Ramly and Anita Dennis titled, Rising to the top on a reduced schedule.

The article features two female partners at Grant Thornton. Yes, partners who work a flex schedule – Flexible Work Arrangement (FWA).

The partners are Debbie Smith, CPA and Erica O’Malley, CPA. They built a thriving employee benefit plan audit practice while working a 70% schedule.

Some lessons featured in the article:

Lesson 1 – A flexible work arrangement can pave the way

Lesson 2 – A foundation built on teamwork and trust

Lesson 3 – Focus on results

Lesson 4 – With flexibility comes responsibility

Lesson 5 – Time management and organizational skills stand out

Lesson 6 – Plan to be flexible

These are great lessons for anyone struggling with working a flexible schedule or for firms contemplating implementation of an FWA that can even include partners.

I hope you read the entire article to learn more about each lesson.

  • "Women are the real architects of society."
  • Harriet Beecher Stowe

Thursday, February 9th, 2017

How Visible Is Your Firm On Campus?

“A baby has brains, but it doesn’t know much. Experience is the only thing that brings knowledge, and the longer you are on earth the more experience you are sure to get.” – L. Frank Baum, The Wonderful Wizard of Oz

I hope you have read Rosenberg’s recent post about accounting interns‘ lack of knowledge about public accounting.

He interviewed a group of accounting interns working for local firms in Chicago. The sad result is that their perception of the CPA profession – hours worked by staff, hours worked by partners, earnings of partners – is sadly off-target.

Read my post from 2009 to learn about my experience with college students. They did not know anything about local firms, they only knew about the Big Four. Why? Because the national firms are visible on campus EVERY week.

There is much smaller firms can do.  My firm was recruiting on campus when I joined the firm and we only had nine people! So, big firm or small firm, be visible on the college campus.

  • "No man's knowledge can go beyond his experience."
  • John Locke

Wednesday, February 8th, 2017

On My Mind – The Temporary Life

“The sea, once it casts its spell, holds one in its net of wonder forever.” – Jacques Cousteau

Just an observation. It seems to me that we have evolved to living a temporary life. Nothing seems to LAST.

When I grew up, my parents always stressed that we should buy something of quality. We should buy fewer but more expensive clothes because they would LAST us a long time. We bought quality furniture because it was sturdy, solid and would LAST a long time.

Maybe, when you graduated with your accounting degree, you joined a well-established CPA firm with a long, proven history of quality client service. A firm that would LAST.

In comparing life to furniture, my parents lived in an Ethan Allen world and my son lives in an IKEA world.

These days we buy cheaper stuff and when it’s flawed, we throw it away and buy another.

The well-established firm you joined, thinking you would be a partner someday, suddenly merges-up into a large regional or national firm. The firm didn’t LAST.

I still prefer things that LAST.

  • "Lost - yesterday, somewhere between sunrise and sunset, two golden hours, each set with sixty diamond minutes. No reward is offered, for they are gone forever."
  • Horace Mann