Archive for the ‘Millennials’ Category
Monday, December 5th, 2016
“When you’re finished changing, you’re finished.” – Benjamin Franklin
We have been talking about the millennials for years now. Just as we talked about Gen-X when they became the youngest workers in our CPA firm offices. New generations bring change. The Baby Boomers sure brought change as they progressed through their lives, partly because of their massive numbers.
Pew Research tells us that more than 30% of American workers today are millennials. They recently passed Gen-X in becoming the largest share of the American workforce. Boomers are retiring and Millennials are filling in the gap. They range in age from 19 to 35 and those 35 year-olds are now in leadership roles in CPA firms.
With them comes some fairly drastic changes for public accounting. From a recent Inc. article by Elizabeth Dukes, the following are just some of the changes that long-time CPAs sometimes find challenging:
- Email will no longer the primary communication tool.
- Traditional office space designs will become extinct.
- Strict office hours will no longer exist.
Read more about each one of these points here. Begin taking action on how you will deal with each one these points at your firm.
Those who cannot change their minds cannot change anything.
George Bernard Shaw
Wednesday, November 23rd, 2016
“Practice does not make perfect. Only perfect practice makes perfect.” – Vince Lombardi
Want a simple way to train and develop your people? Try repetition.
Think about how your new college recruits learn to become skilled accountants and CPAs. In many firms, it goes like this. You train them on basic auditing. You may send them to a 3-day training course sponsored by your firm association, state society or inside your own firm. You may do it online. But it is very focused.
Then they are assigned to engagement after engagement where they do the same thing over and over until they “get it.” Then they receive a more difficult task and they do it over and over until they become proficient, and so on. They become more and more skilled, they ask great questions and learn from others, they make mistakes and correct them and over time their confidence and skill become top notch.
People learn from repetition. It is much more effective than a one or two-day training session.
You expect your managers to bring in new business and they aren’t very good at it. This also applies to some partners, they are not able to do the basic function of a partner – perpetuate the firm. Why not apply repetition to teaching people in your firm how to sell.
You best rainmakers are the teachers. Ask them to always have a shadow (less experienced person) when they meet with a client. When they meet with a prospect. When they meet with a referral source. When they attend a business networking event. When they attend a charitable fund-raising function. When they attend a Chamber of Commerce meeting. You get the idea.
Expose them over and over again to business development situations. Have them try it on their own – over and over again. Repetition solidifies skills.
Don't join an easy crowd. You won't grow. Go where the expectations and the demands to perform are achieve are igh.
Thursday, November 10th, 2016
“A dream doesn’t become reality through magic; it takes sweat, determination, and hard work.” – Colin Powell
I am very fortunate to be able to facilitate many feedback surveys for successful, growing accounting firms. What I personally learn from these surveys is extremely helpful to me as I advise my clients on preparing their firm for the future.
Something I often see as I read every single word written by survey participants is that there are several misconceptions, top-down and bottom-up, inside CPA firms.
Here’s one I will comment on today:
Staff thinks that partners should work as much as they do.
Partners think staff should work as much as they do.
Of course, not all partners and not all staff but I do see these sentiments noted in several different variations.
Some things for both sides to consider…..
Most partners work significantly more than staff. They attend civic, social and charitable events on behalf of the firm (and it’s growth). Partners tend to work many non-busy season weekends in the office with no one there to observe (or disturb) them. Their chargeable time budget is much less than staff because they have extremely important duties in marketing, selling, mentoring and management of the firm.
The current workforce (staff members in CPA firms) has changed and technology is the main reason. They can work anytime and anywhere. They PREFER to work in that fashion. Partners still often assume that if someone is not at their desk, they are not working. Also, partners tend to be in the office at odd hours. Many often return to the office later in the evening or arrive at the office very early. Many staff members prefer to have dinner at home, participate in putting the kids to bed and then work additional time, later at night, from home.
Per the Rosenberg Survey for firms in the $2M-$10M range, partners average about 2500 total hours and staff average about 2300 total hours. Partners have approximately 1200 chargeable hours and staff has approximately 1500 chargeable hours.
There is no substitute for hard work.
Thursday, November 3rd, 2016
In case you haven’t heard GE (General Electric) is changing their performance feedback system. Many large companies are doing the same thing. The are looking at a fresh approach to feedback that is more continuous and helpful.
GE has been known for it’s “rank and yank” system made famous by long-time CEO Jack Welch. You rate and rank your employees from top to bottom and then get rid of the bottom players – year after year.
Gone are those days thanks to the Millennials. Now, employers are focusing on growth (career growth and helping people get there).
Companies are doing something I have been urging CPAs to do for several years now…. set-up shorter goal periods and have fewer goals, then change the dialogue to growth conversations that are not tied to compensation.
Millennials, because of technology, are accustomed to having continual feedback – it’s a fact of life for them and employers are getting wise to that fact.
For your firm, it might mean a culture change and a plan on how to implement that change. You have to help partners and managers make the transition from a competitive process to one that is identified by its emphasis on growth.
GE’s slogan…. “inspire connection and develop people.”
Not a bad thing to consider for your firm and your people.
Read more about the GE transition here.
The people who get on in the world are the people who get up and look for the circumstances they want, and, if they can't find them, make them.
George Bernard Shaw
Monday, October 31st, 2016
CPA firms and many other companies are seeking talented workers. The competition is especially fierce among accounting firms.
I noticed an Associated Press story in my Sunday newspaper that headlined: Employers spice up benefits, offer help with pets, debt. I have heard from several firms that they have taken a serious look at their benefits in an effort to stay competitive. It seems that Millennials want more choice and customization while Baby Boomers want more certainty (good health and dental coverage).
Many employers are offering programs that monitor for identity theft, help with mortgage payments, assistance with repaying college loans and even unexpected veterinary bills. Many of these “extras” are offered and available but that doesn’t necessarily mean the firm foots the entire bill.
Here’s some information from SHRM:
Employee Benefits Have Exploded
- SHRM now tracks 350 fringe benefits
- 20 years ago it was 60 and 10 years ago it was 219
- Most increases have been in larger corporations
- Smaller businesses struggle to keep up
- Biggest gain was telecommuting – in 1996 it was offered by 20% and it has grown to 60%
Maybe it’s time to review your benefit package. I have found that many firms haven’t kept pace with maternity and paternity leave programs.
I have found that among its other benefits, giving liberates the soul of the giver.
Thursday, October 13th, 2016
“You can’t build a reputation on what you are going to do.” – Henry Ford
Over the years, I have spoken to so many groups of CPAs and groups of people who work for them.
I have to admit that I am disappointed that so many people always want to sit in the back of the room. Is it because they want an easy escape route in case I am overly boring? Is it because they actually want a place to sit and surf on their mobile device? Is it because they know it all already?
Actually, I think it is one of those weird human nature things. Just like going to church, the back pews always fill-up before the front pews.
I urge my session attendees to always set up front when they are attending CPE sessions or other learning opportunity sessions. I have actually observed some of them taking my advice the next time they are in one of my sessions.
Why sit up front? I have always done this because I want to observe the speaker up close. I want to hear every word. I want to contemplate their body language. I want to have them look me in the eye. Afterwards, I always would introduce myself to the speaker, maybe ask a question and always thank them for sharing their thoughts.
Why do I do this? Because they will remember me. And maybe if I have a question when I return to the office, they will answer my email. Maybe the next time they see me they will remember my name and face. Maybe they will enjoy having a one-off conversation with me and just maybe they will ask my opinion on some topic.
Want to be known as an expert? Hang out and get to know other experts.
Build your personal brand, one opportunity at a time. Sit in the front.
Character is like a tree and reputation like a shadow. The shadow is what we think of it; the tree is the real thing.
Wednesday, September 28th, 2016
There are some firms that just “get it. For several years now I have admired how Lumsden McCormick, in Buffalo, appreciates their people and goes that extra step in developing a culture of inclusiveness and career advancement.
Recently, I noticed this Facebook post:
Congratulations to two Lumsden McCormick newlyweds!
Pat & Amanda (Moses) Meyers and Robert & Jillian Torella were married on the same day – September 17!
It’s a little thing, but I bet it made these two couples feel special. Lumsden McCormick also always posts about people passing the CPA exam and other life events. Check out their Facebook page. Be sure to notice the Recruitment Open House post.
What’s your firm doing?
I was married by a judge. I should have asked for a jury.
Friday, September 2nd, 2016
No wonder so many firms are beginning to explore the option of doing away with formal, annual performance sessions with all of their individual team members.
I have observed that many firms can’t seem to get them done within the publicized timeline. Leaders procrastinate. Something else is always more important. So, they think that if they do away with the once-a-year system it will be easier with fewer hassles. Wrong.
Nothing is more important!
We can’t find people…. We have had more turnover this year than we have ever had…. One of our brightest up-and-comers just left the firm….
I hear these phrases and many variations of the same, day after day, from firm after firm.
Here it is September and you are scrambling to get the formal performance feedback task completed. Your guidelines say that the feedback should be communicated to your team members in June, yet here it is September. And, in all reality, you probably won’t complete the process with everyone until November.
I can offer you all kinds of suggestions on different methods to provide feedback to your team. It can be a formal rating system once per year with a periodic follow-up to check on the achievement of goals. It can be quarterly feedback meetings involving more casual feedback. It can be a simplified Keep Stop Start process. And, it can be a system of continuous feedback that requires better trained and equipped managers.
Whatever your system be sure you fulfill your obligation to do it timely and correctly. It’s not just your millennials that crave feedback, nurturing and support, it’s all of your team members.
Only put off until tomorrow what you are willing to die having left undone.
Friday, August 26th, 2016
“Great vision without great people is irrelevant.” – Jim Collins
Everyone wants to work for a firm that “gets it.” If you can create that special culture within your CPA firm that really understands today’s current workforce, you will be a winner.
While millennials are the focus for most firms, it involves other team members, too. Experienced people will leave firms that are stuck in the past and move on to a high-profile firm with a vibrant culture.
LBMC, headquartered in Nashville, is a shining example.
Be sure you read this article from Accounting Today: The Millennial Riddle.
If you think hiring professionals is expensive, try hiring amateurs.
Thursday, August 25th, 2016
“You have to learn the rules of the game. And then you have to play better than anyone else.” – Albert Einstein
Ever wonder what your valuable team members are saying about your firm? I wonder what they say to their friends. I wonder what they say to their parents. I wonder what they say to strangers. And, I wonder what they say to each other!
You should be wondering, too.
In the most progressive firms they are saying things like this:
I can see opportunity here.
They give me ownership of my projects.
I am encouraged to develop myself technically.
I am encouraged to be involved in the community.
This firm is a place for high performers.
They listen to us, we have influence here.
Early in my career, I was given opportunities to have face time with clients.
When something significant happens in your personal life, you get great support from the firm.
I have the feeling I am involved in something special and not just getting a paycheck.
They empower us and give us control over our own schedules.
I love being involved in our Staff Advisory Board.
When I moved to the area, I found the firm online and submitted an application.
These comments come from two, large, progressive, locally owned firms. They didn’t develop millennial-friendly cultures overnight. More and more firms are finding it extremely difficult to compete for top talent. You have to build the culture, the brand, the vision and purpose and… they will come.
Success does not consist in never making mistakes but in never making the same one a second time.
George Bernard Shaw