Agenda. Maturing of the Cloud & How It will Impact You 8/19/2014. Erik Asgeirsson. August 20, 2014

Transcription

1 Maturing of the Cloud & How It will Impact You Erik Asgeirsson CPA.com President and CEO August 20, 2014 CPA.com is a subsidiary of the AICPA Empowering CPAs and Businesses For the Digital Age Provides marketing & technology services to the AICPA Erik Asgeirsson President and CEO, CPA.com Industry leader with over 20 years of experience leading technology organizations Consistently recognized as one of Accounting Today s Top 100 Most Influential People BS Electrical Engineering, George Washington University, and MBA in Finance, NYU Stern School of Business Agenda Pace of Change It Starts with WHY How to Work in the Cloud What are the New Deliverables 1

2 The Second Industrial Revolution The full implications of the new machine age are going to take at least a century to play out. - Erik Brynjolfsson, MIT Professor, co-author NY Times Bestseller The Second Machine Age Source: TED Talk (Feb. 2013) Smart Phones B2B tax code soft phone paperless staff portals culture real time integration creative education marketing procedure connectivity Healthcare Reform right clients Practice training specialization management Big Data client collaboration clients information mandates analytics mobile CPE Cloud revolutionary process sales 24/7 branding trusted advisor research networking online regulations innovation outsourced CFO streamlined results connectivity web-base events security consulting SaaS niche growth technology extended services solutions software Growth of Cloud Computing $150M recently raised Paychex Equity Investment Network growth: >150% last year QuickBooks Online 500K users Efficiencies saving 90 minutes per employee per day Small Business Has Moved to the Cloud And Many Others $45M recently raised Providing cloud-based solutions for accountants since

3 What does this mean for your practice? Simon Sinek s Golden Circle Top Ten Most Viewed Ted Talk: What is your WHY? Simon Sinek s Golden Circle Top Ten Most Viewed Ted Talk: Key to defining your value in these disruptive times 3

4 VISIBILITY 8/19/2014 CPA.com s Why Empowering CPAs and Businesses for the Digital Age What is your purpose? innovation technology trust reporting support compliance partnership Trusted Business Advisor growth BIG data business insight information exchange security Hype Cycle for Emerging Technologies Big Data Peak of Inflated Expectations Plateau of Productivity Cloud Computing Slope of Enlightenment Technology Trigger Trough of Disillusionment TIME Source: Gartner s 2013 Emerging Technology Hype Cycle 4

5 Moore indicates that we have crossed to early majority Firm Solutions Helping Firms With Adoption Curve CHASM CPA Profession How are you working? Best of Breed vs. Suite Best of Breed Focus on what they do best Increased speed to market innovation Solutions designed in open API formats Multi-platform support problematic Suite Focus on one vendor eco-system Innovation is tied to building a better integrated eco-system Closed loop systems Integrated approach makes support easier 5

6 Widespread Adoption: The Great Equalizer Top 100 Top 500 Small Firms Trends and Strategies for Today s Digital CPAs from Successful Practitioners Strategies for getting started and furthering a digital practice Victor D. Puchi, CPA, CGMA Partner, Director of Accounting Services, Eide Bailly, LLP Challenges for a digital practice Maribel Torres-Pinero, CEO & Director of Client Accounting Services at Lumix CPAs and Advisors Opportunities for a clients and the firm Nicole M. Copyright Ksiazek, 2013 American CPA, Institute Senior of CPAs. Manager, All rights reserved. Fesnak & Associates, LLP 17 Strategy for Getting Started Develop service offering Differentiation from your current offerings Same service, different platform is not likely to work long-term Be more consultative in nature Secure Key Stakeholder Buy In - Need executive leadership completely behind the plan - Develop communication strategy to entire firm Identify Transition Plan - Personnel - Training - Timing Develop Pricing Model Victor Puchi, CPA, CGMA, Eide Bailey 6

7 Strategy for an Established Digital Practice Refine your Approach Vertical Specialty? Sales/Consulting Approach - Improve your inquiry techniques - Align offerings with pain points Grow Your Services Incorporate other cloud vendors to improve efficiencies Customization/Integration Grow Your Talent Business consultants Project managers Developers Victor Puchi, CPA, CGMA, Eide Bailey Challenge for Getting Started Repurposing clients Do my clients fit the new model? Will this client appreciate the value? Recommendations: Inventory clients Setup demos for clients Maribel Torres- Pinero, CPA, Lumix Repurposing staff Performing different tasks Communicating the value Recommendations: Understand each staff s strengths and weaknesses Leverage staff strengths Continuous training for staff - Identify the trailblazers Challenge for an Established Digital Practice Technology Adoption Client Adoption of Technology: Lack of understanding Accept not all clients will fit the new model Unable to use it Offer training on WebEx and YouTube Clients need continued presence Be patient Maribel Torres- Pinero, CPA, Lumix 7

8 Challenge for an Established Digital Practice Technology Adoption Maribel Torres-Pinero, CPA, Lumix Staff Adoption of Technology: Resisting the adoption of the technology Coaching from trailblazers Address tendency to pace the cow path Needs of the firm changing and the staff are not progressing Maintain a culture of excitement & challenge Accept not all stall will fit Best fit: flexible, curious, innovative Opportunities for Digital Practice External Better client experience Giving clients what they need, not teaching them accounting Deepens relationship with the client Nicole Ksiazek, CPA, Fesnak Outsourcing, LLC How to Make the Most of the Opportunity Ask clients: What they want to see What will help them Minimize client interaction with the technology systems 23 Opportunities for Digital Practice Internal Consolidate to 1 platform Ease of working on multiple clients Staff pushing to get clients on 1 platform Senior management can work on higher level service Able to push more work to lower level staff Nicole Ksiazek, CPA, Fesnak Outsourcing, LLC How to Make the Most of the Opportunity Train staff well on the new platform Involve staff in transitioning clients Equip staff with knowledge on transition process for proper expectation setting 24 8

9 WHAT are you providing? Client Expectations are Evolving It s not just about technology! What is your strategy? Digital CPA Transactional Using technology to support transaction processing Workflow Build digital workflow and standardization in processing The operating model of the DIGITAL TRUSTED BUSINESS ADVISOR Key Drivers of the Movement to the Cloud A New Era of Capabilities: Collaboration Business Intelligence Anytime, Anywhere Access Scalable, More Efficient 9

10 New Compilation & Preparation Standard Exposure draft period ending May 2, 2014 Key Driver: Cloud Computing has made it difficult to determine who has prepared financial statements New Compilation and Preparation Standard would provide a bright line between accounting services and reporting services New Financial Statement Preparation Standard Would not require you to consider whether you are independent Would not require a report even when f/s are expected to be used by 3 rd parties Copyright 2013 American Institute of CPAs. All rights reserved. 29 Empowering CPA s in a Digital World 10

11 What globalization was to the economic debates of the late 20th century, technological change is to the early 21st century. - Lawrence H. Summers, Charles W. Eliot University Professor at Harvard University Source: Andrew McAfee s Blog, The Business Impact of IT Questions & Answers #DigitalCPA Available Resources Roadmap to Profitability Workshop Atlanta; October 22-23, 2014 White Papers Harness the Power of the Cloud by Geoffrey Moore Case Studies on Key Verticals Not for Profits, Franchises, etc. Interviews with Thought Leaders Digital CPA Webcast September 18, pm ET New Digital CPA Webcast Series 11

12 December 8-10, 2014 Gaylord Resort & Convention Center Washington, D.C. Digital Driven World For Firms & Clients 12