85.7 F
San Fernando
Friday, Mar 29, 2024

Rising Star Accountants

What makes an accountant a “rising star” in the profession? That’s the question the Business Journal posed to some of the largest firms in the Valley region. On the following pages are profiles of those CPAs the firms identified as their rising stars. The commonalities of these accountants closely reflect the conclusions of a 2010 study by financial software company Intuit that looked at how accounting would change by 2020. The report, titled “Future of Accounting,” predicted four trends: New Opportunities: As accountants become more specialized, it requires collaboration on projects, so CPAs need both niche skills and people skills. Demographic Shift: Minorities and women will represent a growing proportion of both accountants and clients. Technology: Accountants and firms need computer and data analysis capabilities. Branding: As the profession becomes more high tech, website design and social media will become methods for finding new clients. Rishma Vedd, chair of the accounting and information systems department at California State University – Northridge, said that in her conversations with accounting firms looking to recruit graduates, technical skills are a major concern. Star accountants need advanced macro-writing skills in Microsoft Corp.’s Excel program, as well as knowledge of audit software. “If you don’t have technical strength, you can’t move forward in a career,” she explained. “It has really changed the accounting profession.” Kathy Johnson, partner at Forensics Plus LLP in San Bernardino and first vice chair at the California Society of CPAs, said today’s accountants are expected to have technical capabilities, but rising stars also have the old-fashioned business and sales skills that define them as “rainmakers.” “When we talk about rising stars, they are people who understand business in general. They are not just numbers people, or as they used to call us, ‘bean counters.’ They are leaders,” she said. Leadership in this context involves written and verbal communication. Johnson said writing is often hard for new accountants, who prefer to concentrate on information accuracy rather than making it understandable to others. And these accountants often need to develop their networking skills. “Many accountants are not good at selling themselves,” she said. “It’s not about presenting numbers; you have to communicate with the audience, and speak to that audience, not in just one monotone voice, and not just the same rote presentation.” Vedd at CSUN also emphasized the value of rising stars’ communication skills for giving presentations and feeling confident talking to clients. “This is nothing new – we go through this all the time when we meet with firms,” she said. A 2014 article in the Journal of Accountancy found that in general, only 20 percent of the population are natural networkers, while 10 percent are “naysayers” who avoid selling their work, and 70 percent are neutral. The study, titled “Raising Rainmakers,” said CPAs must develop their own networking style so they feel comfortable cultivating new clients. “Many people have the misconception that networking is manipulative and fake,” the article states. “CPAs must reframe their beliefs about the role of networking in the business world. Whether they are extroverts or introverts, CPAs can learn the relationship-building skills necessary to succeed at business development.” Diversity As an African-American woman, Johnson feels a personal connection to the diversity trend. Next year she will become chairwoman of CalCPA and plans to continue the organization’s mentoring and diversity programs. “This is a profession that hasn’t always been open to people of color,” she said. “Now we need to show that this is a position that is open to everyone, and you can make a good living at it.” Vedd said that diversity skills for star accountants include the ability to work with people from other cultures and countries by making them feel comfortable, speaking their language, and helping them understand accounting practices. “Also, if you are a team player, you must work with diverse teams within the firm. If you want to be in the game, you must be part of a diverse group,” she said. As the qualities that define a star accountant evolve, so does the industry itself. Vedd said that in addition to the Big Four firms, CSUN deals with about 20 mid-sized and small firms that recruit at the schools, as these firms have become a larger part of the market. Johnson as CalCPA vice chair has noticed a lot of consolidation as smaller firms merge or acquire other similar sized businesses. She said succession has emerged as an issue because founders and senior partners at smaller firms are reaching retirement and want to cash out. “The larger you are, the more possibilities you have of getting the next person, but smaller firms often don’t have anyone,” she said. “That’s why they’re agreeing to be bought out.”

Featured Articles

Related Articles