Rick Telberg, Author at CPA Trendlines

ANALYSIS: Local Firms Worldwide Are Losing the Wars for Talent and for Clients

Getting new clients tops the list of chief concerns for local firms worldwide. But the staffing shortage surges into second place. via IFAC

The eight moves smart firms are making today to win tomorrow’s battles.

By Rick Telberg
CPA Trendlines Research

Does the tax and accounting profession have a role to play in global peace, harmony, and understanding?

You may think so, based on a new CPA Trendlines analysis of a global survey of small, local, and mid-size accounting firms.

The study paints a picture of a global community of local firms with shared aspirations, expectations, challenges, and opportunities – despite (or perhaps because of) rising nationalism, protectionism, and conflicting political regimes.

MORE on TALENT MANAGMENT: Global Tax Talent Shortage Mounting into ‘Perfect Storm’ | Accountants without Borders: Tight Talent Pool Drives Salary Increases Nationwide | How to Create a Talent Management Strategy | SURVEY FINDINGS: Talent Wars, M&A Frenzy Continue | Why Job Descriptions Matter | How to Develop Home-Grown Future Leaders | New Staffing Strategies for the Next-Generation Accounting Firm

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In fact, the research finds that the talent shortage plaguing Unites States firms is now turning into a global problem. That is, by no means, a good thing. But it is another item all firms across the globe can share in common. And it is another chink in the armor of the so-called traditional business model of the owner-operator accounting firm because most of the issues flow from two overriding factors: Rampant under-pricing or owner greed (or both) that fails to build up capital reserves for re-investment in the business, and the lack of access to other sources of funding.

It’s enough to make us wonder if solutions to global problems are beyond the ability for individual nations to solve alone. Instead, multi-national worldwide strategies may be required. Maybe that’s part of the reason the American Institute of Certified Public Accountants is rebranding itself as the Association of International Certified Professional Accountants (still, just the “AICPA” to most).

But today, owning, operating or working in a perfectly “average” firm is not necessarily a sign of success. Instead, “average” seems doomed to obsolescence in irrelevancy – and on a global scale never before seen in the profession.

CHARTS & GRAPHS

SURVEY RESULTS: Firms Face Staff Turnover Tsunami

How to beat the staffing crisis: Join the survey. Get the answers.

By Rick Telberg
CPA Trendlines Research

The accounting industry may be on the verge of a seismic shift. The results of a new CPA Trendlines survey of job satisfaction and personnel retention indicates a mounting tsunami of personnel migration in the near future, possibly on the heels of the busy season.

MORE on STAFF RETENTION: Effective Stay Interviews for CPA Firms | The 16 Biggest #FAILs in Delegation | Work-Life Balance: According to Whom? | Two Ways Your Strategic Plan Can Reduce Turnover | Top Firms Muscle Up with Specialized Talent

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The survey, conducted in conjunction with practice management consultant Kristen Rampe suggests that barely half—just 52 percent—of respondents intend to definitely stay with their firms for the next six to 12 months. They describe their jobs as perfect for them right now.

OUTLOOK & ANALYSIS

ANALYSIS: Global Tax Talent Shortage Mounting into ‘Perfect Storm’

Good for talent; tough for employers: Retirements, turnover, and outsourcing.

By Rick Telberg
CPA Trendlines

“Change is coming to the tax profession potentially as a ‘perfect storm’ in 2017,” according to some leading executive recruiters, explaining the upcoming tax reform is still unknown but will likely result in tax professionals needing to quickly change and adapt to new rules and regulations.

MORE CAREERS & HIRING: Accountants without Borders: Tight Talent Pool Drives Salary Increases Nationwide | How to Create a Talent Management Strategy | SURVEY FINDINGS: Talent Wars, M&A Frenzy Continue | Why Job Descriptions Matter | How to Develop Home-Grown Future Leaders | New Staffing Strategies for the Next-Generation Accounting Firm

Exclusively for PRO Members. Log in here or upgrade to PRO today.

“Additionally,” they say, “U.S. corporate tax departments will potentially explore outsourcing arrangements. Citing the arrangement between PwC and GE, they ask, “Is this a one-off situation or a transformational trend?” In the PwC/GE deal, GE hived off its tax department to PwC, which then assumed the GE tax department’s activities as an outsourcing engagement.

CHARTS & GRAPHS

Immigrants: Surging Market for Tax & Accounting Services

Percentage of U.S. self-employed born abroad reaches 19.5 percent. Source: US SBA

Newcomers drive the nation’s solopreneur sector.

By Rick Telberg
CPA Trendlines

Nothing says American like entrepreneurship. No nation offers such fertile soil for the seeds of business. And small businesses are the underlying energy of the American economy. Fed by inspiration, elbow grease, and gumption, they account for a disproportionate amount of the nation’s jobs, mobility, and innovation. When small businesses thrive, everybody thrives.

Three new reports on entrepreneurship from the U.S. Small Business Administration offer insights that may be of interest to CPA practices. Each report looks at one of three groups that are in the news every day: Millennials, seniors, and immigrants.

It may surprise many that the educated, tech-savvy millennials are increasingly less likely to start their own businesses.

POLITICS & GOVERNMENT

SURVEY: Accountants’ Best Advice for President Trump

‘Don’t screw this up.’

By Rick Telberg
CPA Trendlines

Suppose you could have President Donald Trump’s ear for just five minutes—just the two of you in the Oval Office, and him eager to hear and heed your advice…

What would you tell him?

Floridian Deborah Budaj says, “I would discuss the timeline and plans for removing the burden of Obamacare from businesses, and also from individual healthcare plans.”

Martin J. Rooney would like to see some assistance for the hoi poloi: “We need to find meaningful work for the non-college educated people. It may require some form of Government subsidy and hence taxes may need to rise, but without work, the forgotten people have no hope. They are not participating in the U.S. dream.”

Rooney

RELATED: Why Accountants Voted the Way They Did | Accountants See Better Business Outlook following Presidential Election

On the off-chance that he might call in a CPA for some pragmatic and unbiased counsel, CPA Trendlines asked just such a question in our survey on the presidential election of 2016. As it turns out, CPAs are prepared for their summons to the Oval Office. They have opinions. They know what needs to be done. They aren’t necessarily in agreement, but if duty calls, over 1,000 CPA Trendlines members are prepared to proffer presidential pointers.

There is, of course, no shortage of snide advice.

OUTLOOK & ANALYSIS

PRESIDENTIAL POST-ELECTION SURVEY: Why Accountants Voted the Way They Did

How accountants voted and why.

By Rick Telberg
CPA Trendlines Research

The CPA Trendlines post-election survey shows accountants split by different issues. Trump accountants tend to be most concerned about terrorism while Clinton accountants are more focused on global warming.

MORE SURVEY RESULTS: Accountants Assess Business Outlook following Presidential Election

Part of the spread might be explained by gender. Just as the accounting profession tends to be owned and operated by more men than women, 67.7 percent of CPA Trendlines respondents were men – and roughly the same ratio of votes for Trump over Clinton. The demographics of the tax and accounting profession’s practice owners and leaders — the core of the CPA Trendlines community — tend to match voting patterns beyond the profession. In that, accountants vote more like, well, voters, than accountants.

OUTLOOK & ANALYSIS

SURVEY RESULTS: Most Accountants See Better Business Outlook following Presidential Election

Trump voters more positive. Clinton voters, not so much.

The Accountants’ Business Outlook
Join the survey. Get the answers

By Rick Telberg
CPA Trendlines Research

Tax and accounting professionals appear to be breathing a sigh of relief following the U.S. presidential election, with most saying their confidence in the business outlook for their firms and their clients has been strengthened, according to a new CPA Trendlines survey of more than 700 accountants.

But their economic mood also seems to depend on their political mood.

More than 80 percent of the accountants who voted for Republican Donald Trump feel “more confident” about the business outlook for their firms and their clients. Less than 5 percent of Democrat Hillary Clinton voters agree. Instead, More than 60% of Clinton voters feel “less confident.”

Nearly a third of Hillary backers—31 percent—are optimistic enough to foresee no change in the business outlook. Only 14 percent of Trump people were pessimistic enough to expect no change.

CLIENT SERVICE OPPORTUNITIES

Master Change, Master the Future

How savvy CPAs turn old problems into new opportunities.

By Rick Telberg
The Accounting Firm Operations and Technology Survey

The tax and accounting profession is entering a new era of competitive battles, marked by a thirst for new clients, a hunger for qualified employees, and a dire need for smarter, faster production processes.

Indeed, the new Accounting Firm Operations and Technology Survey shows that most solo practitioners say “attracting new clients” is their biggest challenge. Among small firms, sized up to 10 persons, it’s “managing workflow.” At all larger firms, “recruiting and retention” is the primary issue.

Clearly, the profession is fighting a three-front war. And some practitioners are trying to win with one hand tied behind their back.

Rick Telberg

MORE AT STORE.CPATRENDLINES.COM

Rick Telberg is a veteran analyst, advisor, commentator, editor, and publisher. He brings a unique background and perspective to research and advisory services for the professional services community.

Mr. Telberg may well be the accounting profession's most widely-known commentator through his long associations with the American Institute of Certified Public Accountants, Accounting Today magazine, and today, CPA Trendlines.

As an expert in management, marketing, media, and e-commerce, Mr. Telberg has served as Senior Editorial Director of Pro2Net Corp., now www.smartpros.com, and as Director of Online Content at CPA2Biz, www.cpa.com.

Previously, Mr. Telberg served as the early Editor-in-Chief of Accounting Today, and as Vice President/Group Publisher at Thomson Financial (now SourceMedia), overseeing Practical Accountant, Accounting Technology, and what is now AccountingToday.com.

Mr. Telberg was presented with a special citation by the National Society of Accountants for service to the profession and has served on a variety of boards and steering committees, including BKR International and the IBM Small Business Advisory Council. He is a graduate of New York University.

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