Archive for the ‘Partner topics’ Category

Thursday, May 6th, 2021

Contradictions

“The contradictions are what make human behavior so maddening and yet so fascinating, all at the same time.” – Joan D. Vinge

As you successfully manage your public accounting firm, you will encounter many contradictions. Here are a few I have observed:

  • You have to be more flexible.
  • You have to have more structure.
  • You must be able to talk in a way that is inspiring and motivating.
  • Don’t do all the talking, it’s important to be a good listener.
  • You must inspire young people to stay with the firm.
  • You should draw upon the experience of older accountants and not rush them out the door.
  • You have to provide quick turnaround for your clients.
  • You should take your time, you can’t risk making mistakes.
  • You want the team to achieve lots of billable hours.
  • You want the team to achieve great realization.
  • You want young people to be able to take on more challenging work.
  • You allow managers to cling to the most challenging work.
  • You expect the entire team to follow all the policies and procedures.
  • You, a leader, don’t set a good example by adhering to firm policies and procedures.

What I usually observe is that a great number of firms make it all too complicated. They spin their wheels, procrastinate, micro-manage, involve too many people in trivial decisions and make important decisions too slowly. They want the firm to grow and prosper by doing the same old things they have always done.

Make some changes now… before too much of 2021 passes by. Take some risk. It can be fun and exciting (and profitable).

  • I'd like to live as a poor man with lots of money.
  • Pablo Picasso

Monday, May 3rd, 2021

Mission – Vision – Purpose

“Leadership is the capacity to translate vision into reality.” – Warren G. Bennis

I still encounter some confusion about how to write a meaningful mission, vision, or purpose statement for your firm or organization.

Some CPA partner retreats actually get bogged down in this endeavor while crafting their strategic plan.

purpose statement provides the reason or reasons you exist. It is about why you exist, whereas the mission is about what you do and for whom. … Some organizations find that a mission statement alone suits their needs, whereas others prefer to use a purpose statement.

Read more about the difference between these statements in this brief, informative article.

  • The only thing worse than being blind is having sight but no vision.
  • Helen Keller

Friday, April 30th, 2021

Keeping Poor Performers

“Be thankful for problems. If they were less difficult, someone with less ability might have your job.” –Jim Lovell

In the not to distant future, busy season will be over and you will be contemplating the performance of your employees.

For Flashback Friday, read this brief post on why poor performers stay at CPA firms even though they are unhappy.

  • Everyone rises to their level of incompetence.
  • Dr. Lawrence Peter

Thursday, April 29th, 2021

Here I Go Again

“Chains of habit are too light to be felt until they are too heavy to be broken.” – Warren Buffett

I have said and written about the following things over and over again for YEARS! The sad part is I continue to observe that these basics of CPA firm management need to be implemented.

  • FIRE CLIENTS who suck up more of your time trying to collect than you do with helping their business.
  • Outplace poor performers more QUICKLY.
  • Update your website so that visitors see timely information that is of IMMEDIATE value.
  • Put partner performance and accountability under the MICROSCOPE.
  • Make it a WIN-WIN for partners who have retired in place to exit gracefully.
  • Spend money on continually educating your people – client service, internal management, and administrative team member. It’s called CPE. Don’t forget the CONTINUING part.
  • Become a MARKETING organization that provides accounting and tax services.
  • Hire a firm administrator/COO who can help the firm MAKE MORE MONEY.
  • Critically assess your PROCESSES.
  • ENFORCE the guidelines, rules, and adherence to the processes OR don’t bother wasting all the time it takes to establish them.
  • EMBRACE change, marketing, technology, social media…..
  • Figure out how your firm can be UNIQUE, different from your competition.
  • Trust only movement. Life happens at the level of events, not of words. Trust movement.
  • Alfred Adler

Wednesday, April 28th, 2021

Build On Your Transformation

“The world is moving so fast these days that the man who says it can’t be done is generally interrupted by someone doing it.” – Elbert Hubbard

During 2020, CPAs were shocked out of their comfort zone. They had little time to think. They had to act quickly if they wanted to continue serving their valuable clients.

Thus, they made giant leaps forward. Don’t quit the giant leaps and go back to your normal baby-steps!

Joey Havens, CPA, CGMA has written an excellent article via The Journal of Accountancy titled, The Pandemic Pushed Us Forward. Let’s Keep Evolving. The title says it all! He contends that it is a defining moment for all CPAs.

Here are the topics he covered in the article:

  • It forced us to adopt flexibility in how, when, and where we work.
  • It led us to create new services to meet clients’ increased needs.
  • It caused us to rethink how we measure work and bill for it.
  • It accelerated our learning curve.

He elaborates on each of these topics. Be sure to click here to read the entire article.

  • Everybody accuses me of moving fast when I direct a picture. I don't move fast, but I just keep moving.
  • Clint Eastwood

Friday, April 23rd, 2021

Your Plan – Flashback Friday

“If you don’t know where you are going, you’ll end up someplace else.” – Yogi Berra

Perhaps you are now planning your partner retreat or maybe a full-firm planning day. Check out this post from May 2020. Don’t let this be your plan!

  • Plans are only good intentions unless they immediately degenerate into hard work.
  • Peter F. Drucker

Tuesday, April 20th, 2021

Decisions

“Do it once, move on.” – Seth Godin

The following is a post from Seth Godin posted a couple of years ago. I am sharing it with you today because the year is passing by quickly.

CPAs are famous for delaying decisions. “Let’s wait and see what other firms do.” “Let’s put that on the agenda for next year’s retreat.” “Let’s not decide right now, let’s wait until we are not so busy.”

What you are doing is hitting the Snooze Button. You hit snooze on emails and even on major decisions. Don’t do it.

SNOOZE IS A TRAP

There’s a button on my email program that allows me to postpone an incoming email to a future day.

Sort of like a snooze button.

The snooze button is a trap. It’s a trap because not only do you have to decide later, but you just expended time and energy to deciding to decide later.

Do it once, move on.

‘Decide once’ is a magical productivity commitment.

There is a certain class of decision that benefits from time. Decisions where more information is in fact useful.

But most of the time, we’re busy making decisions that should be made now or not at all. You end up with a ton of decision debt, a pile of unanswered, undecided, unexplored options. And you’re likely to simply walk away.

If you open an email, you’ve already made the commitment to respond and move on. Not to push it down the road.

In or out, yes or no, on to the next thing.

Snooze is not for you.

  • If you spend too much time thinking about a thing, you'll never get it done.
  • Bruce Lee

Tuesday, April 13th, 2021

Where The Buck Starts in Many Firms

“If you are passing the buck, don’t ask for change.” – David Gerrold

Dan Hood, in his post on April 1st asked, “Where does the buck start?” He was referring to innovation inside accounting firms. I have an answer to that question that applies to many firms. In a lot of accounting firms, innovation has been, and is, started with the firm administrator or COO.

Large firms can afford and have hired, chief innovation officers. In the majority of small to medium-sized accounting firms, this role has been embraced by the firm’s experienced firm administrator or COO. The person in this role is not distracted by providing services to clients. They live and breathe adding efficiency to the firm’s internal processes. Their personal mission is to keep the firm on pace with current trends.

I have observed that the firm administrator is the one who recognizes the bottlenecks and faces the extreme challenge of getting partners to step out of their comfort zone and embrace new ideas.

The firm administrator attends the CPA Firm Management Association conferences and chapter meetings. They network with other firms via the CPAFMA discussion board. They read CPA firm management publications, blogs, and newsletters. Again, they have time for this because the firm is their ONLY client. They are the ones who play a major role in implementation.

The FA leads a team of internal professionals and this group, supported by the managing partner is where the “buck starts” in many small to medium-size firms that are recognized as the best places to work.

  • The best job goes to the person who can get it done without passing the buck or coming back with excuses.
  • Napoleon Hill

Monday, March 29th, 2021

Pay Attention to Your CAS Services!

“You miss 100% of the shots you don’t take.” – Wayne Gretzky

Profession experts have been telling you that CAS services are lucrative for you and important to your small business clients. The following is from a Facebook post by Jim Metzler (who most of you know from his many years with the AICPA).

I feel it is important enough to use just as he posted. Click on the link in his post.

From Metzler:

If you don’t think CAS is a game-changer, just read this article. Non CPA competition in non-attest is real and these folks are really impressive. Can’t beat a valuation of over a billion dollars and Jeff Bezos as an investor. CPA continues to be a potential differentiator for us and as a profession, we need to better articulate, communicate and reinforce why the CPA brand is of greater value in this space. Value only exists in the minds of clients and it’s up to us and our professional associations to get the message out there.

CNBC.COMJeff Bezos-backed accounting start-up hits $1.2 billion valuation after new funding round

  • Procrastination is one of the most common and deadliest of diseases and its toll on success and happiness is heavy.
  • Wayne Gretzky

Wednesday, March 24th, 2021

Stay Afloat

“Sometimes getting smaller and faster can lead to opportunities and growth we would have missed by being too big and slow.” – Joey Havens, CPA

I always enjoy reading Joey Havens’ articles and posts. His recent article via the Journal of Accountancy, in my opinion, hits the nail on the head. It is titled, Don’t Let Dead Weight Sink Your Ship.

What is going on inside your firm that slows the firm down? What keeps you from being one of the fastest-growing firms? What causes you to lose talented people? What causes you to lose clients to your competitors?

I sometimes talk about partners in a boat. Some are rowing and some are throwing out anchors. A few partners are pulling a heavy wagon up a hill and there are a few who are constantly dragging their feet. These partners are so-called leaders who are not leading. Slowly your boat is sinking.

Then there are the clients who complain about your fees, always pay slowly after much effort is spent trying to collect, and clients who are rude and disrespectful to your team members. I bet you have clients that make you cringe when you see, on your mobile, that they are calling you. You probably do not answer their first call. Slowly, those clients are sinking your boat.

Do you have partners/managers who are not teaching, mentoring, coaching, and motivating? In fact, they are actually driving top talent away. Slowly, your boat is sinking.

Read Havens’ post!

  • Once you know the right thing, do you have the discipline to do the right thing and, equally important, to stop doing the wrong things?
  • Jim Collins