Lack of Challenging Work Creating Talent Shortages!
Accountant's Minute 323
Accountants are facing a worsening talent shortage according to the recent edition of CommBank’s Accounting Market Pulse.
In November 2021 “Australian Accounting Guru” Andrew Geddes indicated that “partners of accountancy firms are saying there are not enough young accountants, but no, there are enough of them, they have chosen not to work in the profession because they have been asked to do compliance work only and to obtain 80% productivity which has caused people to say – I’m not sure I want to work in that environment”.
This explanation by Andrew Geddes is highlighting that lack of challenging and interesting work is a prime cause of the talent shortage that accountancy firms are experiencing.
At that time Andrews Geddes said “we’ve got to teach them, and the partners and directors have got to be available.”
“Firms should ensure that younger accountants work closely with partners so they can improve their knowledge of business and develop their skills”.
Seven months ago Geddes said “YOU’VE GOT TO START IT NOW – THIS AFTERNOON BECAUSE YOUR GREATEST CHALLENGE AT THE MOMENT IS GETTING GOOD PEOPLE TO WORK WITH”!
In the Academy of CPAs (Certified Predictive Accountants) webinar to be presented on Thursday, 28 July 2022 at 11:30am AEST an American CPA will give an overview of the success that his firm has created by offering a mixture of services built round virtual Chief Financial Officer services comprising:
- Back office services
- Compliance – taxation
- Virtual Chief Financial Officer services
Adam Hale, Partner of Summit CPA will indicate that his firm has 150 vCFO clients (ranging from US$1M – US$20M) with average subscriptions of US$80,000 per annum receiving a mixture of services but all receiving the virtual Chief Financial Officer service.
A major component of Chief Financial Officer services is “Predictive Accounting” comprising:
- Detailed planning comprising all aspects of the business
- Suppliers
- Supply lines
- Team
- Team rosters
- Team training programme
- Raw materials
- Raw materials inventory
- Energy and power resources
- Production
- Marketing
- Sales
- Customers
- Debtors
- Completed goods inventory
- Creditors
- Key performance indicators
- Are all important components of the planning process
- Budgets should be linked to the detailed planning to ensure that the projections all interrelate
- Cash Flow Forecast
- Projected Balance Sheets
Working on Predictive Financial Reports (not just been an historian of past events) is exciting and challenging work which is very appreciated by the clients because it shows them what the financial results of decisions that they are making in their business today will be at a future date.
Click here to access the webinar recording from the Academy of CPAs webinar “Become a Successful vCFO".
We believe that there is a direct nexus between overcoming the “talent shortage” by offering a broader range of professional services to your clients who will appreciate the efforts that you are making for them to add value to their businesses and at the same time for your firm to be able to attract and retain talented accountants because these accountants will be involved in a range of interesting and challenging activities to complement compliance services.
ESS BIZTOOLS PODCAST
In this week’s podcast Peter Towers, Managing Director, ESS BIZTOOLS comments on some of the issues that were raised in the Accounting Market Pulse report as they affect small and medium-sized accounting firms meeting the challenges of 2022/23. You can access the link to this podcast by clicking here
RECENT ESS BIZTOOLS SOCIAL MEDIA POSTS
- Happy New Financial Year – click here to listen to the recording.
- Export Market Development Grant Now Open – click here to listen to the recording.
- Accounting Firms Enjoying the Best Business Conditions in Seven Years click here to listen to the recording.
- Become A Successful vCFO – click here to listen to the recording.
- High Demand Areas – How Do You Compare? – click here to listen to the recording.
- Accountants Using vCFO Services As a Differentiator – click here to listen to the recording.
- Capturing The Growth Opportunities – click here to listen to the recording.
- Chief Future Officer – Interested? – click here to listen to the recording.
- Combating Worsening Talent Shortage – click here to listen to the recording.
WANT TO KNOW MORE?
ESS BIZTOOLS website (www.essbiztools.com.au) is available for you to visit and browse and you can also visit our separate website to assist in the identification of government grants suitable for your clients – ESS BIZGRANTS (www.essbizgrants.com.au)
If you would like to have a conversation with Peter Towers, Managing Director of ESS BIZTOOLS on how your Professional Advisory Firm could offer a diversified range of services to your SME clients please telephone Peter on 1800 232 088 (or send an email – ) and we will then organise a 45 minute complimentary Zoom meeting to discuss your firm’s vision and to outline the services that ESS BIZTOOLS could supply to assist your firm.
Stay safe!
Have a great day!
