In Pursuit of Profit
Read our expert article below or sign up to get articles sent to your inbox.
Employers need to realize that they may not find an accountant that checks every one of their “nice-to-have” boxes, but if they work with an experienced accounting recruiter, they will find someone that fits their “must-have” needs. And, the sooner they can figure this out, the better because having an open role costs an average of $98/day, and rehiring an accounting employee after letting go of a bad hire costs over $50,000 on average! Therefore, to minimize hiring costs employers need to rethink their expectations around work flexibility, compensation, accounting improvements, and training when looking to fill a role.
However, pay for performance based on the achievement of these targets is no longer adequate in the post-COVID pandemic world to acquire and retain skilled financial staff and leaders.
Recruiting Market Report - May 2023
Using a company with a niche financial recruiting focus ensures that they will understand the specifics of what you are looking for and have a pipeline of qualified job seekers to tap into. Furthermore, accounting and finance recruiters are more likely to have access to the right kind of connections to approach candidates that are not necessarily actively looking for a new role but would be open to the possibility of making a change.
These figures should be a real wake up call for accounting managers and their employers, especially at a time when the pipeline of students pursuing accounting degrees is drying up as well.
If accounting does not change as a profession soon, we may continue to see the numbers of accountants dwindle. The accounting pool keeps getting smaller and smaller. So, what’s next? Could it be extinction?
That figure is staggering but let's focus on your individual calculation. There are many different ways to calculate Cost of Vacancy (COV), but it’s not just the dollars and cents of salaries and benefits that need to be considered (although that is certainly at the forefront of hiring managers’ minds). You can also put real numbers behind morale, burnout, turnover, overtime, and the overall attitude of an accounting or finance department.
However, moving to a new accounting system is not going to be the right solution for every business. If you are experiencing problems or limitations with your existing system, the software may not be to blame. Instead, you may have a people problem.
I have a lot of respect for accounting leaders who take pride in the way they manage every aspect of their company.
Let’s take a look at a few reasons why maximizing efficiency in your accounting department is important.
Recruiting Market Report - April
And yet, there are still plenty of companies operating on legacy software that are just now beginning to evaluate whether moving to a cloud accounting platform may be the right option.
If your company is exploring migrating to a cloud accounting platform, this is a great time to delve deeper into what kind of benefits cloud accounting can offer, what the differences are between QuickBooks Desktop (Desktop) and QuickBooks Online (Online), and what you will need to do beforehand to set yourself up for success after the migration.