How to Be a Great Partner! Steve Erickson National Consultant to CPA Firms

Transcription

1 How to Be a Great Partner! Steve Erickson National Consultant to CPA Firms

2 Questions Interactive Exchange of ideas Valuable information

3 Objectives Improve your value and effectiveness Promote a client service culture Build your team and your practice Enjoy your career Have more fun Realize true Work/Life Success

4 Copyright 2014 Steve Erickson LLC CPA Firm Value Enhancement Process TM

5 Qualities of a Great Partner Respected by partners, staff & clients Focused on client service and results Creates value for others in the firm Enhances the reputation of the firm

6 Respected by partners, staff and clients

7 Executive Presence Present Listens Less judging Positive Offers constructive ideas and solutions

8 Approachable Predictable Behavior Integrity Helpful Considerate of others

9 Accountable Do what you say No Excuses Manage client work Manage intake processes Focus on mutual success

10 Trust-Benefit Cycle Intentions Conversations Action Mutual Benefit 2014 Steve Erickson LLC 10

11 Focused on client service and results Meets Commitments Communicates timely Technically Excellent No surprises

12 Manages Client Expectations Timing Required information Pricing Change orders Discussion outline

13 Billing Become a great biller Value your time and services Don t quote fee ranges Communicate early and often Status of work Fees Offer alternatives

14 Engagement Letters Scope Change orders Credit policies Scheduled payments Budgeted payment plan

15 Strategy and Value $ Specialty Commodity Leverage

16 Cognitive Process Psychological processes Acquisition and understanding of knowledge Formation of beliefs and attitudes Decision making Problem solving

17 Value=Better Decisions Client Partner

18 Trusted Business Advisor Resources

19 Revenue Management Timing Pricing Industries Functional services Tax A&A Other

20 Strategy and Capacity Revenue $ Expenses January through December

21 Strategy and Capacity Revenue $ Valuable Work Expenses January through December

22 Strategy and Capacity Revenue $ Less valuable work Expenses January through December

23 Strategy and Capacity Revenue $ Capacity Rate Utilization Contribution Margin Expenses January through December

24 Cost Per Hour Annual salary $60,000 Benefits $15,000 Total $75,000 Charge Hours 1500 Cost per hour $50.00

25 Meaningful Measures Contribution margin Per hour Per Month Per client Per partner

26 Passive Management Measuring after the fact Firm results Job success Individual performance Less ability to influence the results Lower utilization Lower profitability

27 Target Profit Planning for Partners Budget profitability Assign responsibility Hold accountable No surprises Sample plan

28 Key Drivers of Strategy, Differentiation & Profitability Competitive Distinct Breakthrough Products Client Service Relationships Source: How to Maximize Fees Alan Weiss, PH.D. 2008

29 True Differentiation Distinct client service Match service to expectations Make the routine special Ask the most important question!

30 The Question What decisions do you have to make in the next: Month Quarter Year 3 years 5 years

31 Creates value for others in the firm Facilitates succession Shares knowledge Marketing/Client acquisition Helps others in the firm be successful

32 National Survey Career Development Survey Over 1800 responses Proven research

33 Survey Demographics 600 Current Position

34 Survey Demographics Size of Firm

35 Rating of Motivators

36 Management/Staff Engagement Strategy Annual plans Coaching Career Development Focused on success

37 Behavior Coping Expressive Supervision Direct Supportive Supervision

38 Firms will embrace coaching for improved performance Copyright 2014 Steve Erickson LLC

39 Enhances the reputation of the firm Civic minded Participates in professional organizations Personal reputation

40 Be a Great Partner Manage client expectations Manage staff expectations Become a great biller Be a person that is easy to do business with Enjoy the ride!