Unless you’ve been living under a rock for the last few years, you know that accounting as a profession is in the midst of a radical transformation.
To make that transformation will require a mindset shift, as Martin Bissett discussed at the recent QuickBooks Connect 2017 conference in San Jose, Calif. According to Bissett, the superior accounting firms “control the BBC.” And no, Bissett wasn’t referring to the venerable broadcasting icon from his UK home.
The BBC we need to control are the Beliefs that govern Behavior which creates the Culture of a firm. Let’s parse this out and try to apply it.
What are the Beliefs of a firm?
Bissett noted that many accounting firms are stuck in old ways of thinking that won’t work in the future. Accountants tend to be risk-averse, so their fear of failure can be enough to prevent changes that might ultimately lead to greater success.
However, the standard beliefs about accounting are changing. When he began working with accounting firms in the UK 20 years ago, audit was the largest form of new business. Now audit has nearly disappeared for smaller firms.
About 20 years ago, most accountants believed that value came from the time put into doing the work. Now an increasing number believe that value comes from the improvements to a client’s business.
Pricing strategies are shifting from hourly rates to values based on the outcomes created. Advances in technology have expanded the territory of potential clients from the local area to the world.
About Liz Farr
Liz Farr, CPA, has worked in tax and accounting since 2002. Besides tax returns of all flavors, she’s worked on audits of governmental entities and not-for-profits, business valuations, and litigation support. She is also a freelance writer specializing in content marketing for accountants and bookkeepers around the world.