Today's Technology for Tomorrow's Firm.
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BRIDGING THE GAP By Jim Boomer, CPA.CITP How to Proactively Manage Change in Your Accounting Firm O ne thing we can always count on in our profession and the business world as a whole is change. And the speed with which change is taking place is rapidly accelerating. Both internal and external forces are driving change in firms across the country. From cloud computing and mobile to the next generation of leader/employee, change is all around us. How frms manage this change is a major determinant of future success. Change Management Defned Change management is the process, tools and techniques to manage the people-side of change to achieve the required business outcome. Change can be from a position of choice (proactive) or it can be forced upon an organization (reactive). Proactive frms view change as an opportunity rather than a threat and tend to be more successful in managing it. From a technology perspective, there are typically three types of IT leaders. Tey are typically indicative of how their firms will manage change initiatives. • FUNCTIONARY – keeps the operation running and doesn't waste time or money (reactionary) • TRANSFORMATIONAL – leads change and redesigns business processes (proactive) • STRATEGIC – interacts with end users and develops IT enabled systems (proactive) Common Challenges Jim Boomer is a shareholder and the CIO for Boomer Consulting, Inc. He is the director of the Boomer Technology Circles™ and an expert on managing technology within an accounting frm. He also serves as a strategic planning and technology consultant and frm adviser in the areas of performance and risk management. In addition, Jim is leading a new program, Te Producer Circle, in collaboration with CPA2BIZ and the AICPA. 34 Tere are a number of reasons that frms struggle with change but three of the most common include: • NOT INVENTED HERE SYN DROME – Too many frms think they are unique when compared to their competitors or peers. They resist looking outside of the organization to see what others are doing and learning from their successes and failures. • WE'VE ALWAYS DONE IT THAT WAY – Long-standing, deep-rooted behaviors are hard to change, especially if you've recognized a track November 2013 • www.CPAPracticeAdvisor.com record of success. Many times though, the way we've always done it is outdated and while you stand still, your competitors pass you by. • CLIENTS WON ' T ACCEPT CHANGE – Tis is usually an easy excuse for the inability of the frm to accept change. You can't expect to sell clients on the value of a change if you aren't sold yourself. Tis is the leading reason we hear for why frms haven't adopted client portals. Successful Firms Think Differently Leading frms think diferently than ordinary frms. Tinking diferently is very important when it comes to change and change management. Te majority of frms don't spend nearly as much time thinking about their own business as they do about those of their clients. In order to change, firms must spend time thinking diferently. Successful and sustainable change doesn't come from simply changing the actions or behaviors of your team. It comes from a cultural change and this means that experiences and beliefs within the firm must be altered before behavioral changes will take hold. And it takes great thinking to pull this of. Team Approach Change management requires a team with specific skills such as analytical, political, people, systems and business acumen. All of these skills typically do not come in one person, thus the need for the team approach. Tere are a few basic decisions a f ir m shou ld ask t hemselves regarding change: • Does our firm have the culture for change? • Does the firm need and want to change? • Who is responsible? Once you have answered these questions, which by the way are not as easy as they appear, you can build the team to implement processes that will enable your frm to become more proactive w ith regard to change management (internal and external). Finally the stress level during change will be much less if you know yourself and the people around you. Tere are numerous tools, but the one we have found most helpful is the Kolbe Index. We each have unique abilities and perspectives. Knowing how others think and react will reduce the time, politics and create a positive culture. Where to Get Started Managing change is not an easy task. The following steps will get you started on a positive path. • Develop and articulate a clear and concise vision – What does a successful change efort look like? • Identify the cultural elements (beliefs and experiences) that will have the most impact on altering behaviors and lead to results. • Build a team that will help to build momentum for the change. Ask for volunteers and select people with high energy and relevant skills. • Don't let old paradigms, beliefs and behaviors restrict your firm from moving forward. • Communicate the vision and periodic wins for the change efort. Tis will create and maintain momentum. Te choice is yours. Will your frm be proactive and control its destiny or will you be reactive and spend more time worrying than thinking?