How to Create Accountability in a Small Business CPA Firm?
As a businessowner, with hopes of creating a successful small business CPA firm, you need many things. One of the most important among them would be accountability. There is a lot of potential for fraud and criminal activity in a CPA business. Other customer firms will entrust their financial fata to you and expect you to treat it with due secrecy. The processing of raw data is the thing for what you are getting paid as a CPA firm. However, that does not exclude your other associated responsibilities. Discretion and security being the most important of them.
Importance of Strategic Plan
A good strategic plan will bring the envisioned success of your small business CPA firm into fruition. Clarifying the roles of each team member goes a long way in achieving the coveted strategic objective of a firm. The individual clarification of roles will also ultimately help in the goal of accountability. Without individual game plan, the whole work and effort served into making these plans will be for nothing.
Accountability is a Universal Concern
Every firm, organization and corporation continually struggle with accountability. Even if it is more crucial in small business CPA firms, that does not mean it is only unique to it. every employer focuses on trivialities when it comes to checking for accountability. They focus on whether the employee has put in enough hours, or whether the employee was using Facebook during business hours. They do not understand that results are what matter in the end. If the work gets done and satisfactory results are achieved, then Facebook issues melt away into nothingness.
Keep in mind, proximity plays a role when employees choose a place of work. If I was in their place, I would choose a small business CPA firm near me.
Following are some of the accountability methods that can be applied in a small business CPA firm:
Set the Tone from Highest to the Lowest
The tone of a business firm is always set at the top. Every individual employee on a subsequent lower rung will take its cues from the higher ups. The partners, owners, shareholders, investors, board members will always be seen as model of a behavior. If the higher ups are not willing to hold themselves to the same degree of accountability, it will set a bad precedent. Employees will simply go with the flow and won’t contribute wholeheartedly into the accountability system.
Lacking the accountability at the top levels is actually fairly common. Firms frequently tend to hold the junior employees accountable. It seems easier to chew out the employees on the lower rung than the partners. This is a major flaw in the system. You should be careful to eliminate this flaw from your small business CPA firm.
A human’s mind is a fairly dynamic instrument. It is always thinking and coming up with ideas to better a situation. Business owners also get these brain waves when their dedication to a business is at its peak.
Sometimes these ideas are implemented and bear fruit. Other times they backfire. However, the most common instance occurs when these ideas are forgotten to focus on something more attention grabbing.
You should make a habit of writing down your ideas. It will capture your mindset in the moment and make it easier to remember in the future. It will also create a greater level of commitment to improvement.
Moreover, you should task your employees to do the same. They may think of something that did not cross your mind. This is how a business owner moves from self-accountability to peer-accountability. Constant improvement will allow your CPA accounting firm for small business to close all loopholes in its accountability policies.
Set and Meet SMART Objectives
It is very important for your CPA accounting firm for small business to choose the right objectives. These objectives are just as important as roles. The roles define a person’s position in a firm. The objective defines their goal. When the objectives of individual employees are aligned with firm’s vision, accountability automatically and tremendously improves. See following iteration for SMART objectives:
* S = Specific
* M = Measurable
* A = Attainable
* R = Realistic
* T = Timely
Specific objectives make committing and achieving them easier. Measurable, attainable, realistic and timely help accordingly. They make the objectives easy to achieve.
Employ Proper Tactics for Accountability
There are many tactics that you can implement in your small business CPA firm for accountability purposes. Following are a few of them that have proven effective. They can satisfy both your clients and internal operation satisfactorily;
I) A Comprehensive Strategic Plan will provide a roadmap for the firm. It will make a direction in goal setting clear for individual employees.
II) A 90-Day Game Plan will document every employee’s objectives for the upcoming quarter. It will give them something to strive for. It will increase the employee’s commitment to the objective. Consequently, it will also increase the employee’s commitment to the firm.
III) Accountability Review will document the results of a previous 90-Day Game Plan. It will examine how much has been achieved and how to improve it. any employee’s performance can easily be assessed by such a tactic.
IV) Communication will be critical in every process throughout the accountability process. Without proper communication, the whole system will break down.
Follow Quarterly Reviews Religiously
Many firms that have a proper objective following and review process only follow it on an annual or semi-annual basis. Others simply have their supervisors constantly try and make their employees cower. It becomes a strange imitation of cinematic representation of American corpocracy where everyone hates their boss with a passion.
You must implement the quarterly review system in your CPA firm. This way you can easily set proper goals or objectives. Moreover, you will be able to hole accountability a lot better.
Following these tactics will allow you to establish a perfectly prosperous business. You will also be able to expand into new areas, such as small business CPA tax services.
If you want a perfect model of accountability system, you can take SG Inc. CPA as an example. It is a small business CPA firm in Dallas, Texas. It has grown tremendously in recent years mainly due to its techniques of accountability. There are no disgruntled employees, and no dissatisfied supervisors. Hence, it is a good example to follow for your own personal goals.