Leadership: The Most Effective Qualities for CPA Firms

I’m probably the millionth person to form a list of important leadership qualities, but I wanted to share what I have learned from working with CPA firms for over 20 years.

Leaders are visionary

Always thinking about what the firm should be.  Regularly meeting with other firms to share best practices.

Leaders are delegators

Leaders must be free of the burdens of admin and heavy client work to create the time to focus on the firm.

People person

Treats people well; has empathy.  Leaders see people for what they can be.  Great leaders understand that the #1 reason why staff leave firms is their relationship with the boss, so they work hard to be great bosses.

Inspire others

Introduces excitement and enthusiasm into the firm.   This goes a long way to engaging staff in the firm, a key to retention.  Staff look forward to coming to work each day.

Handle conflict

Good at conflict management; deals with it promptly.  Cats need to be herded.  Constantly.

Change

Facilitate change and overcomes resistance to it.  Stubbornly clinging to the old ways guarantees defeat.  Understands what Roberto Goezueta, former President of Coca-Cola said:  “To succeed, we have to disturb the present.”

Listens

It’s the first act of respect and mutual support.

Accountability

Unless there is a consequence to a people failing to do what is expected of them, they will be less likely to achieve their goals.  Good leaders hold others accountable in positive, helpful ways instead of waving a stick over their heads.

Leadership development

Leaders’ grow the people to lead the organization when the current leaders are gone.

Communication

Good communication is all about talking…in a clear manner.

Sees the CPA firm as a business, not a practice

CPA firm are a business and should be run like one.  Embrace the corporate vs. partnership governance model.  Says Tony Kendall, MP of Mitchell and Titus:  “I can’t manage this firm if I have to take a vote every time I want to make a decision.”

Charisma

Vastly overrated; inspired standards are more important.