Keep Scope Creep and Seep from Hurting Bottom Line

BONUS: A new breed of engagement letter.

By Jody Padar
The Radical CPA

Scope creep generally takes the form of new services being added once the project has started. Typically, these are not properly reviewed and the team is expected to deliver them with the same resources and in the same time as the original scope.

The opposite of scope creep is scope seep. This is when the accountant or team volunteers to do extra work and take on extra requirements and issues. Now of course the customer will never turn down “free help” and when this is done over and over, the customers quickly assume all of their issues they vaguely speak to you about are included in the price.

MORE ON RADICALISM: The Radical Approach to Bundling Services | The Radical Approach to Pricing | A Radical Close Look at Value Pricing | Get Radical About Pricing | Six Competitive Advantages for The Radical CPA | The Market Is Moving Toward the Radicals | 5 Radical Transparencies; Are You Ready?

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Because we’re afraid or not used to confronting uncomfortable subjects (ahem, pricing), too often we let them change a part of our project management. We really need to get solid on what a change request is and make sure that when change requests are implemented, that the required pricing comes with it.

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Jody Padar



About the Author

Jody Padar, CPA, MST, is one of the profession’s foremost visionaries and pioneers. She is the author of:

The Radical CPA

and 

From Success to Significance: The Radical CPA Guide

Read more by Jody Padar, The Radical CPA, at CPA Trendlines

As a practitioner, she is CEO and Principal of the New Vision CPA Group, a public accounting firm based in the Chicago area. And as an author, lecturer, coach, consultant and mentor, she advocates for progress and innovation in the profession, heralding a new way of thinking about the practice of accountancy and giving it new purpose. Having successfully transformed her own firm into a technologically advanced, paperless work environment, she is now dedicated to educating her fellow colleagues on how to make the same transition. She is a regular contributor to a number of industry publications, including CPA Trendlines, where she offers practical tips and advice on running a next-generation firm. Padar has been named by Accounting Today as “the Top 100 Most Influential to the Profession” for the last four years and manages her firm and discover new “best practices.” Padar is married, has two teenage children and swims competitively. Padar earned her BBA from Saint Mary’s College and MST from Northern Illinois University. Padar is also an adjunct professor at Oakton Community College and a contributing member of the Intuit Trainer Writer Network.

Click here for more by Jody Padar