In Pursuit of Profit
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 As we talk internally as a team and externally with our colleagues, there seems to be one common thread across the conversations we’re having: slowness!
Everything related to bringing in accounting help has slowed down. The prevailing trend right now is business leaders being more cautious with hiring and dragging their feet when it comes to outsourcing. Part of this reduced pace isn’t their fault. A worsening talent shortage in accounting is stymieing the hiring process. But a dearth of accountants isn’t the only factor leading to a slower hiring process. Business leaders are also taking longer to make hiring decisions and/or decide to outsource their critical accounting activities due to concerns of an impending economic slowdown.  Interviewing is a necessary evil in the professional world. Most of us despise it, few of us are good at it, and it’s rarely ever considered fun. It’s an interesting phenomenon because, although it’s necessary to advance in our careers, it’s not something that we do very often, which means we’re typically not practiced at it.
5/13/2024 How to Stretch in Hiring As recruiters, we often talk with clients that have an extensive list of everything they would like in their next hire. Sometimes this includes items that cause employers to voluntarily get in their own way of filling their open roles. We hear things like, “We want an up-and-comer that can grow with the company” or “This person needs to be 100% on-site” or “They need to have an accounting degree.” While it’s good to know what you want, more often than not these kinds of limitations lead employers to pass on candidates who are actually well qualified for their roles. For this reason, it may be worth stretching your hiring parameters to get an open role filled.
We all know that unemployment continues to be at near record lows (and it’s even lower in the accounting and finance field!), which means you need to be prepared to be flexible. Removing the assumptions of what you need from your mind may be the first step in the right direction of getting your role filled. Even if it feels a little bit uncomfortable at first, stretching is good for your hiring efforts!  Time and time again we have clients come to us expressing regret over their accounting hiring decisions. They say things like:
“…We hired what we could afford and the person we brought in is totally underqualified…” “…We’ve had so much turnover in the role – we just can’t keep anyone, and we don’t have the budget to get someone who will stick around…” “…We simply can’t find what we’re looking for these days at the price we’re willing to pay…” “…We put off hiring because we didn’t want to spend the money before, but now we’ve waited far too long and we need to find someone immediately!..” The lesson here is clear – trying to cut costs with accounting hiring is always going to cost more in the long run! Let’s look at why hiring a “cheap” accountant is actually more expensive than hiring a good accountant and how you can improve your hiring strategy.  A resource offered in partnership between The ASP Team and CFO Selections
One commonality among our businesses at The ASP Team and CFO Selections is that we often talk to business leaders that aren’t sure which kind of accounting role they need. They typically understand the duties they would like the person to perform and the deliverables they expect to receive, but they aren’t sure what to call the role exactly. Without the proper title it makes it difficult to hire into the role or find an accounting services company to provide exactly what they need. Sometimes clients will come to us at The ASP Team saying that they need a “bookkeeper” as a catch-all phrase for someone doing any kind of accounting work but what they are really looking for is something more – an Accountant, Senior Accountant, or even Controller. Similarly, sometimes clients will come to us at CFO Selections saying that they need a “CFO” as a catch-all phrase for someone doing more advanced accounting work or leading an accounting team but what they actually need is something less – a Controller, Accounting Manager, or Senior Accountant. How do you know which you need?  For those familiar with college athletics, March is known for the Division I college basketball championships. You may not, however, know how a few years ago the NCAA allowed student-athletes to change schools with no loss of eligibility by creating the “Transfer Portal.” When an athlete declares that they want to leave for another school, their name gets put in the Transfer Portal database. Voila, other coaches see this and say, “I want that center” or “I want that point guard” and reach out to them.
What does this have to do with hiring accounting professionals? Well, the transfer portal concept is not just for college athletes. There’s also a career transfer portal – it’s what happens out there in the world of recruiting. Using an external recruiter is the best way to ensure you are accessing accounting employees that are in the transfer portal.
So, what can you do to prepare yourself for the wave of turnover that may be coming?
When they hear about this trend most employers will go into “fix it” mode and ask what they can do to keep their accountants from bolting soon. Unfortunately, at this point there’s probably very little that can be done to keep them long-term. If the year-end bonus they just got wasn’t enough persuasion, any sort of incentive you throw at them is likely just going to delay the inevitable. (Plus, the quality of work they do and passion they bring to the role is only going to suffer further if they already have one foot out the door.) Instead, your best bet is to get ready for what’s coming next. Take the steps now to be prepared in case your accountant leaves so that you’re not scrambling during tax season to find and onboard someone new. 1/16/2024 What Do Salary Ranges Actually Mean?
Companies that post salary ranges may choose to do so voluntarily, in the name of equity and transparency, or be required to do so by law. The idea is that by sharing salary bands job applicants are given a range of earnings to expect, eliminating the disparity that can occur when some groups of candidates are less likely to negotiate for a higher salary. Salary ranges should promote fairness and ensure employees are compensated appropriately for the value they bring to their employer.
So, why are employers and job seekers alike in an uproar about salary ranges? Let’s look at what has gone wrong and how both employers and job seekers can respond to position themselves well in today’s job market.
However, employers can do their part to reduce the accounting exodus by recognizing the warning signs of accountant burnout and taking the right steps to find help. Companies that prioritize the needs of their accounting team can not only help keep accountants in the pipeline, but also increase their own revenue and profitability.
Find out what kind of red flags to be on the lookout for that indicate accounting team burnout, as well as how you can offer your accountants the support they need to thrive in their roles.
I’ve seen many clients struggle to find accounting help over the last two years across all employment levels – from bookkeeper all the way through CFO. I’ve seen new hires simply not show up for their first day without any notice. I’ve seen new employees resign less than a month after starting for other opportunities or just to leave a work culture they don’t like. Workforce expectations have shifted dramatically over the past five years and employers are struggling to fill open positions amid these changes. In fact, Manpower surveys indicate that 75% of employers report difficulty in finding skilled accounting talent.
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8/29/2024