Archive for the ‘Generations’ Category
Wednesday, December 17th, 2014
Quite often, I address the unwillingness for many accounting firm leaders to accept change. In fact, many of you, as CPAs, might be tiring of me nagging you about it. I don’t plan to stop asking you to embrace change any time soon!
Notice that today’s title is SIGNIFICANT change. That’s what many CPA practitioners are facing now and in the future.
This quote from Tom Peters, is important for CPA firm leaders to contemplate:
“Gamers’ instinctively ‘get’ the idea of lot of trials, lots of errors, as fast as possible; for this reason among many, ‘the revolution’ is/will be to a very significant degree led by youth.”
In many firms, the percentage of younger CPAs is growing and becoming more demanding. Eventually, they will force change. I hope this happens before too many of them exit public accounting.
The journey is the reward.
Wednesday, December 3rd, 2014
If you haven’t read yesterday’s post (December 2, 2014) read it first.
I provided my thoughts along with some from Gary Boomer on the importance of identifying future leaders of the firm, and involving them, early in their careers.
In an article in a recent issue of Accounting Today, Boomer provided 10 characteristics to look for in identifying future leaders. Here’s the list:
- Look for people who have a tolerance for and can manage risk.
- Avoid those who spend too much time in consensus-building. (While consensus is important in a professional service organization, it is time-consuming and doesn’t always lead to good decisions.)
- Look for those who can manage a diverse group of people. An appreciation of others’ unique abilities is the sign of a good leader.
- Avoid weighing a person’s ability to be a good implementer and problem-solver too heavily. These abilities don’t necessarily make great leaders. Their tendency is to over-analyze and delay making decisions.
- Look closely at personal integrity and the ability to trust others; this is of utmost importance.
- Look for the ability to turn dangers into opportunities.
- Avoid those who are overly competitive and lack humility.
- Look for those with the ability to engage, inspire and convince others.
- Identify those who have an instinct to know which problems to solve – not just how to solve problems.
- Look for those who have excellent one-on-one social skills, as they are just as important as public speaking.
A great person attracts great people and knows how to hold them together.
Johann Wolfgang Von Goethe
Tuesday, December 2nd, 2014
Gary Boomer’s recent article in Accounting Today “hits the nail on the head,” so to speak. As usual, Boomer and I are on the same wave-length. His insight into what accounting firms should be doing and not doing is always right on-target. The theme of his recent article is “leaders should be identified early in their careers….”
Current firm leaders often tend to wait way too long to identify future leaders. They may be thinking to themselves, “Young Ted is really sharp. He grasps things so quickly and he can talk to clients in an enlightened and mature manner.”
The trouble is, firm leaders don’t communicate to young Ted that he has what it takes to be a major player in the game of public accounting, along with an earnings potential to match.
Meanwhile, young Ted is restless. He wants more responsibility, he wants to mentor the new hires and interns, he wants to be assigned to the firm’s premier clients, he wants to learn directly from the best performing partners and he would like the chance to accompany a partner to a client meeting or lunch.
If Ted’s expectations are not met, he will move on to find career fulfillment elsewhere. Your competitors will hire him in a heart beat!
My theory is that most experienced accountants can almost immediately assess the future potential of a young person entering the accounting profession. Yet, they wait and often suffer through failures with struggling employees for way too long and hesitate to invest very quickly in education and development of all-stars.
Read Boomer’s article and see what you think. Check back tomorrow and I’ll list Boomer’s 10 characteristics to look for in identifying future leaders.
None of us is as smart as all of us.
Friday, October 24th, 2014
I do talk about Millennials quite a bit. Especially, because accounting firms hire a lot of new college graduates as entry-level staffers.
Currently, the new college graduates are called Millennials because they were born from 1980 onward. That means many of them in your accounting firm are in their early 30s.
I think the biggest deal about Millennials inside accounting firms is that they are so much more savvy about technology and the social media world most of us live in these days.
I really like millennials and when I was working everyday inside a growing firm, the interns were special to me – honest, hardworking, intelligent. Wait! Doesn’t that describe almost every accountant and others who work inside CPA firms, no matter what their age? Yes, Millennials are regular people, too and we sometimes overreact in trying to figure them out.
One tidbit I read several years ago was from a Baby Boomer: Millennials want the same thing we wanted as we entered the workforce, they just have the guts to ask for it.
If your CPA firm is hiring (and every firm I talk to is hiring right now), read the article and watch this very informative (and short) video from Fast Company.
If you are managing Millennials, my advice: Chill-out, they are regular people, too. Talk to them like adults.
Additional note, my firm took-off on a progressive and ambitious growth path when the founder retired and a 32-year old was named managing partner.
Photo credit: Lumsden McCormick
Older men declare war. But it is youth that must fight and die.
Friday, October 3rd, 2014
If you are in Michigan or NW Ohio, I hope you will join me, members of the Association For Accounting Administration and members of MiCPA to explore a topic that seems to be on everyone’s radar:
Succession planning is one of the hottest topics in the world of CPA firm management. Surveys disclose that it is on the minds of firm leaders nationwide. Yet, implementing a succession plan still seems to be a mystery to many firm leaders. It is also a challenge for CPAs working in private companies. Baby Boomers are aging-out in all walks of life and if not fully retiring, they are significantly cutting back on time spent at work.
Join me for an afternoon of exploring current trends in succession planning and come away with action steps to help guide your firm into the future. It is a time of significant change and transition in the accounting profession.
It is a good way to spend the day AFTER October 15th! Enjoy a beautiful fall drive to Livonia and spend the afternoon with like-minded professionals who are passionate about the future success of their firm.
Where: Laurel Manor, 39000 Schoolcraft Road, Livonia, Michigan
Time: 11:15 group luncheon – Presentation 12p to 4:20p
Date: October 16, 2014
More information about the event here.
Register at the MiCPA website now!
Succession is something you cannot ignore.
I look forward to meeting you face-to-face!
Danger - if you meet it promptly and without flinching - you will reduce the danger by half. Never run away from anything. Never!
Saturday, July 12th, 2014
I love this short video from the folks at Robert Half.
As, I talk with CPAs around the country, most of them seem amazed that helicopter parents are actually calling “bosses” at CPA firms in inquire or complain about something on behalf of a young staff person. Larger firm are developing programs to deal with the parents who show up with their young person for the job interview!
Does your firm have a way to connect with parents? Remember, most young people entering your firm have had intense parental support. Build on that.
Because this depiction is extreme, it makes you smile – yes, lighten-up, it’s the weekend!
My heroes are and were my parents. I can't see having anyone else as my heroes.
Thursday, July 10th, 2014
Want to create a culture of employee engagement? That means a culture where people are passionate about their work and their firm. They care. They feel like owners whether they are actually an equity owner or not.
As a leader, owner, partner.. how well do you know your people? Sometimes I think that firm administrators and HR managers are much better at knowing the people who work at the firm much better than the owners.
If you are a boss (partner, manager, firm administrator) inside a CPA firm, employees working for the firm want to know you better AND they want to be noticed by you. Yes, you are busy with your “outside” clients but you can’t serve them very well without your “inside” clients.
Develop a list of questions that are appropriate for your firm and use it with every person to get to know them better. Sales people use such question lists to know their clients better than their competition knows their clients. Harvey Mackay even developed a listing o 66 questions (you can download his version) for sales people.
Here’s some suggestions for a CPA firm version:
- Hire date
- Where they live
- Where they grew-up
- Spouse name
- Names of children:
- Firm anniversary date
- High school – year graduated
- College – year graduated
- Sports participated in at college
- College fraternity or other activities
- Military service
- Spouse’s occupation
- Spouse’s interests
- Previous employer
- What community/charitable organizations interest them
- Favorite place for lunch
- Favorite place for dinner
- Hobbies or recreational activities
- Favorite type of music
- Favorite place to vacation
- Favorite professional/college sports teams
- What kind of car do they drive
Do other firms, trying to hire this person away from you, have better information than you do?
The work begins after you gather all the information. Now you must study it and be able to ask them about their family, comment on their sports team winning or losing, ask them to lunch and go to their favorite place and so on. This list and your behavior could make your firm a place where people are truly engaged, passionate, productive and proud.
If you wish others to believe in you, you must first convince them that you believe in them.
Friday, May 16th, 2014
Yesterday, I was in Indianapolis where I spent the morning with a group of people working in CPA firm management. Although, the titles varied – chief operation officers, firm administrators, controllers, HR directors, office managers – they are all faced with helping CPA firm partners, shareholders, directors, owners deal with that one-word, dark cloud hanging over the CPA profession – SUCCESSION.
Succession is actually very simple:
- Run a good firm (efficient and profitable)
- Develop people
To accomplish these two this takes ACTION. Meaning implementation, execution.
In my early days in public accounting I worked for the founder of the firm, a person in what we now call the Veteran (or Mature) Generation – those born before 1946. If we had an issue or challenge he would proceed with Ready, Aim, Fire. We would research solutions (ready), adopt them to fit our size firm (aim) and then implement (fire).
As the Baby Boomers took over leadership of firms or founded firms, many of them seemed to find implementation more difficult – for various reasons. Even today, I observe so many firms that have adopted: Ready, Aim, Aim, Aim, Aim, Aim……
In today’s rapidly changing environment in public accounting and especially in technology and in the nature of our workforce, practitioners must be able to Fire, Fire, Fire if you want your firm to stay ahead of your competition.
In dealing with succession, many firms are still in the “aim, aim, aim, aim” mode.
Execution is the job of the business leader.
Bossidy & Charan, Execution: The Discipline of Getting Things Done
Monday, May 12th, 2014
If you follow this blog and attend my sessions at various conferences for the CPA profession, you know that I talk and write a lot about the Millennial generation and how they impact the CPA profession.
From 2006 until 2009 I received many requests for information on generational understanding inside CPA firms. I thought we had it covered. Wrong. I am once again getting many requests for more information on how build on generational understanding, rather than fight it, inside CPA firms.
That’s why I enjoyed a recent HBR blog post by Lauren Stiller Rikleen: The Commencement Speech Parents Need to Hear. Please follow the link to read it. Also, read some of the comments posted below the article.
Here are just a few highlights that I hope will entice you to read the entire article:
- To retain Millennials and develop their leadership potential, set aside preconceived notions and, instead, pay attention to what truly will motivate young employees.
- Often we tag Millennials as “entitled.” Actually, it is usually self-confidence and self-respect that you, parents, have instilled in them.
- Pay greater attention to workplace dynamics, particularly around technology.
- Recognize that research consistently documents that Millennials are committed to a life in which family responsibilities are not overshadowed by work. This is no longer a woman’s issue alone, desire for flexibility has become a gender-neutral issue.
As CPA firm leaders, keep in mind that the Millennial generation is a huge and powerful weapon that will help you propel your firm into future profitability, growth and success.
I am a man of fixed and unbending principles, the first of which is to be flexible at all times.
Wednesday, May 7th, 2014
Many firms are renewing their focus on more formalized mentoring programs.
One step in most programs is asking the mentee to select their mentor. We usually ask them to submit their top 3 choices so that the mentoring workload can be spread-around and balanced. When developing your program, where you have individualized mentoring, be sure not to assign more than 3 mentees to a mentor.
If you are a CPA firm partner or manager, how many people will submit YOUR name on their mentor request list? Do you have any idea? Have you even thought about it?
To help you contemplate these questions, do some self- examination:
- In whose career have i taken a personal interest?
- Whom have I helped to gain important assignments?
- To whom have I given special coaching?
- Whom have I counseled about strategies for influencing others?
- Who has discussed personal problems with me?
- Whom have I supported when they were criticized by others?
- Whom have I counseled about the “informal” rules of the firm?
- Whom have I helped to sort out and prioritize their professional goals?
- Who seems to regard me as a role model?
- Who seems interested in my views about the profession?
- Who confides in me and puts their trust in me?
- Who asks me about rumors they may hear at the firm?
As you move into a more formal mentoring relationship and program at your firm, do these people seek you out as a mentor? They should….. If they don’t, why don’t they?
Truth has no special time of its own. Its hour is now - always.