non cpa executives in cpa firms can it really work?
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Non CPA Executives in CPA Firms Can it really work?. Agenda. It starts with Change Management…. Exploring the possibilities of non CPA executives. What is the “C Suite” and can it really work in an accounting firm? Identifying the right fit for your leadership group. How To Get Started . - PowerPoint PPT PresentationTRANSCRIPT
Non CPA Executives in CPA Firms
Can it really work?
Agenda• It starts with Change Management….• Exploring the possibilities of non CPA
executives.• What is the “C Suite” and can it really work in
an accounting firm?• Identifying the right fit for your leadership
group.• How To Get Started
EMBRACING CHANGE A NEW CULTURE
Polling Question How Do You Feel When You Hear The
Word “CHANGE”?
• Bring it on!• Let me think about it• No thank you
It’s what you don’t know you don’t know that can cost you!
Source: Unknown
Resistance to change can be expensive!L. Gary Boomer
90 % of Firms <$3M
Top 100 Firms >$30M
Culture Also Determines
• How you handle tension• Whether you address or ignore conflict• Strength of agreements• Emotional commitment• Ability to achieve growth• Ability to change
Words and relationships determine the stage your firm is in.To move from one stage to another requires external coaching.
The process is slow.
ProfessionalsAvoid
Stages 1 & Stage 2
The Leader’s Goal: Upgrade People – Move to the next stage.
Firms work in multiple stages – Executives/Leaders should be at higher stages
Resources: Tribal Leadership, by Dave Logan, John King, & Halee Fischer-WrightGood to Great, by Jim Collins
The Economics of Trust
=
From The Speed of Trust by Stephen M. R. Covey
Low Trust =
The Economics of Trust
High Trust =
=
From The Speed of Trust by Stephen M. R. Covey
Covey’s 13 Behaviorsto increase trust
• Straight talk• Demonstrate respect• Create transparency• Right “Wrongs”• Show loyalty• Deliver results• Get better
• Confront reality• Clarify expectations• Practice
accountability• Listen first• Keep commitments• Extend trust
MANAGING CHANGE
Not all changes are the same.
Do Different – Think Different – Think About Thinking
The Ability to ChangeMotivators
• Fear• Greed• Peers• Knowledge• Principles & Values
The Hawthorne Effect
The Hawthorne effect is a form of reactivity, and describes a temporary change to behavior or performance in response to a change in the environmental conditions, with the response being typically an improvement. The term was coined in 1955 by Henry A. Landsberger when analyzing older experiments from 1924-1932 at the Hawthorne Works (outside Chicago).
Efficient Effective Improving Cutting Copying Different Impossible
Management Leadership
1 2 3 4 5 6 7
The 7 Levels of Change
How Individuals Deal With Change
THE NON-CPA PLAYER’SIN YOUR FIRM
Polling QuestionWhat Percentage Of Team Members in
Your Firm are Non-CPA’s?
• 0 to 10%• 11 to 25%• 26 to 50%• 51 to 75%• 76 to 100%
EXPLORING THE POSSIBILITIES OF NON CPA EXECUTIVES.
Accounting Professionals
• Start without the CPA designation• Setting the expectations for their career• Staff – Senior – Manager – Principal – Partner• Does it take a “carrot”? • Not just about expectations – think about the
law
It’s the Law
• Check your state law • New York – Owners must hold CPA designation• Other States – 49% must hold CPA designation
Management LevelLeadership Level
• MP/CEO • Management Team• Leading Everyone in the Firm
5 Levels of Leadership
1. Capable Individual
2. Contributing Team Member
3. Competent Manager
4. Effective Leader
5. Executive
Source: Good to Great by Jim Collins
Management’s Challenges
• Generational issues• Innovation• Risk management• Performance
– Collaboration– Teamwork
Management Skills & Tools
• Project management• Team building• Conflict resolution• Performance management• Accountability• Delegation strategies• Meeting management• Client service• Communication techniques• Business development
• 90 Day Game Plans• Unique processes• Risk management• Client analysis & value• Building a peer network• Change management• IT – the accelerator• Pricing• Training and learning• Mentoring versus coaching
The Effect
Leadership M a n a g e m e n
t
The Management Team
Polling QuestionWhat Percentage of your MP time is spent
on Managing the Firm? (Non client responsibility)
• 1 to 25%• 26 to 50%• 51 to 75%• 76 to 100%
WHAT IS THE “C SUITE” AND CAN IT REALLY WORK IN AN ACCOUNTING FIRM?
CEO – Chief Executive Officer
• Deliver consistent results• Utilize the 80-20 rule• Put the best people in charge of the greatest
opportunities• Eyes on the future with current reality• Evaluated on individual and team basis
COO – Chief Operations Officer
• Executive Committee member• Glue that holds the firm together• Master communicator• Human Resources• Training and Learning• CEO/MP right (and left) arm• High level position
CFO – Chief Financial Officer
• Executive Committee member• Firm financial master• Staff payroll and benefit master• Bookkeeper supervision• Firm insurance manager
CIO – Chief Information Officer
• Executive Committee member• Thinks about how to implement technology
strategically• Hardware and software expert• Extraordinary people person • Excellent process developer• Sees the training needs
CLO – Chief Learning Officer
• Adult Education background• Curriculum development• Communication expert• Connections with outside teachers/trainers• Strategic Thinker• Firm Cheerleader
IDENTIFYING THE RIGHT FIT FOR YOUR LEADERSHIP GROUP
Polling QuestionWill Your Firm Be Hiring Any New Team
Members at the Management Level in the Next Year?
• Yes• No• Unsure
I’m Intrigued, where do I start?
• Current Organizational Chart• Identify Challenges - Create a Synergy Report • Re-organize Where Needed• Hiring Process
– Job Description– Expectations– Interview – Hire
41
Kolbe C™ Index Evaluator’s functional Requirements
Kolbe B™ Index Workers’ self-Expectations
Kolbe A Index Individuals’Realities
Significant differences among conative Realities, Expectations and Requirements cause over 70% of work-related stress.
Workplace Diagnostics
42
Synergy AlgorithmKolbe has proven:
• Without synergy, teams are doomed to fail.
Kolbe also makes synergy:• Definable• Quantifiable• Predictable • Improvable
Team Synergy
43
Validity in predicting successPredictor Performance Ratings
Kolbe A Index
Cognitive Test ScoreBiographical DataReference Checks
EducationInterviews
College GradesInterest
Age
.82
.53*
.37*
.26*
.22*
.14*
.11*
-.01* .10*
The Validity of Different Predictors of Job Performance
*Source: Wall Street Journal
Who Will Work Well
44
Kolbe RightFit™Kolbe RightFit™
• Ease of use• Predictive• Internet-based• Screening Tool• Meets and exceeds EEOC
requirements
45
Kolbe Selection Process
HOW TO GET STARTED
Steps To Moving Toward A New Culture
1. Hire people with integrity, intelligence & energy.2. Build the management & administrative teams around the leader(s).3. Use the Kolbe Index and Synergy Report.4. Utilize non-accountants in many of the positions.5. Team members need personal development programs.6. Develop managers. Talent leaves bad managers, not firms.7. Spend time to think, plan and grow.8. Technology is the accelerator. Get digital ASAP. 9. Successful firms have successful business models.10. Employee recognition is as important as planning and accountability.11. READ!!!
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