MACPA PIU 2011 - Special B&I edition

We Our Members in

BusinessEducationIndustryNFPGovernment

Welcome to the New Normal

Will the pace of change increase or decrease?

Will complexity increase or decrease?

The 5 C’s• Competition• Compliance• Convergence• Change• Complexity

We feel overwhelmed by the waves of change

Most CPAs feel like this with legislative, standards & regulatory changes

Federal

State

Standards

Pipeline

CPA Infrastructure

The Federal Issues – more waves of change

• FTC Red Flags rule – privacy & identity theft

• Tax Preparer Registration & PTIN issue

• Patient Protection Act & 1099’s

• Tax Strategy Patents• Dodd-Frank Act• 3% Withholding on Govt

Pmts

MACPA 2011 Agenda• Pass 120/150 legislation• Stop Sales Tax on Accounting

Services• Exempt CPAs from Debt

Counseling Bill• Stop Trial Lawyers attempts at

Tort Liberalization – Comparative Fault

• Pass Safe Harbor legislation

CPA Day in AnnapolisJanuary 18, 2012

SECFASB

FASBPCFRC

IASBIFRS & SME

PCAOB AICPAASB, ARSC, PRB

IAASB

AICPAPEEC

AICPAPEEC

IFAC

Public Company Private Company Int’l Company

FinancialReporting

Audit /Attest PerformanceStandards

Code of Conduct

Another way to look at standards & oversight

State Oversight & Enforcement of CPA LicenseCPALicensure

WEB 2.0WEB 2.0 THE NETGENERATI

ON

THE NETGENERATI

ON

Wikinomics -The New Economic

Order

Wikinomics -The New Economic

Order

Three Drivers of ChangeThree Drivers of Change

Inspired by Don Tapscott

RFTF – Reports from the Future

MACPA’s Board focuses on 2025

Top 10 Trends (and the time to address is now)

1. Pressures on Gov’t & rising deficit2. Changes in learning – informal & on-demand3. The cloud = flex, global, work anywhere4. Increasing complexity, ambiguity & change5. Globalization and economic shifts6. Information overload7. Shift to consumer power (push to pull)8. Workforce, demographics, the “she” economy9. Going mobile10. Social media = business

MACPA is positi oned well

“You can’t stop the waves, but you can learn to surf”- Jon Kabat-Zinn

Photo: Pratt’s surfing page

Turbulent times require new skills and new ways of thinking

IBM Global CFO Study shows movement to “Value Integrators”

The five enablers to high performance

• Technology• Process efficiency &

effectiveness• Operating model

(outsource & insource)• Data analytics• People

Source: IBM Global CFO study

Two major themes: Focus on execution and continuous improvement

Source: Ernst & Young : The DNA of the CFO

The DNA of the CFO

We see a group of people whose unique optic on the business has rightly earned them promotion to the forefront.

A group who are embracing their increasingly strategic remit. And, who see their career choice as one to be celebrated – not a staging post to the role of CEO.

1. Developing soft skills 2. Understanding and applying international accounting 3. Understanding complex accounting and auditing standards4. Adapting to an evolving regulatory framework5. Addressing new external reporting needs6. Understanding ERP or IT systems and technological7. Employing quantitative risk management techniques8. Possessing specialized industry knowledge and

understanding company's non-financial business drivers

GT: The Evolving Accounting Talent Profile

The Decade of the CFO?

The best CEOs in the world are a combination of CEO, COO and CFO. They are inspirational, financially literate and know the ins and outs of their business at a sophisticated level.

In 1997, the CPA profession crowd-sourced its future with over 3,500 CPAs in the CPA Vision Project

CPAs...Making sense of a changing and complex world.

CPAs...Making sense of a changing and complex world.

Our core purpose, our reason for being is

Here is what they said…

Our Vision Statement for the future is:( mandates to ourselves for a successful future)

• Communicating the total picture with clarity and objectivity,

• Translating complex information into critical knowledge,

• Anticipating and creating opportunities, and

• Designing pathways that transform vision into reality.

CPAs are the trusted professionals who enablepeople and organizations to shape their future.Combining insight with integrity, CPAs deliver value by:

The DNA of the CPA as CFO• Communication &

Leadership• Strategic & Critical Thinking• Focus on the Customer,

Client, and Market• Interpretation of

Converging Information• Technologically adept

How Leadership is changing?From

• Information Stocks• Hierarchy• Push• Centralized• Teacher

To

• Information Flows• Network• Pull• Distributed• Facilitator

Five Qualities of Extraordinary Leaders

1. Sight - Ability to see emerging patterns and shift perspective when necessary

2. Insight - Ability to learn faster than the rate of change in your industry

3. Create - Ability to think strategically and critically to gain insights that create new opportunities

4. Communicate - Ability to collaborate inside and outside your organization and to build and sustain social networks of people engaged in the work

5. Inspire – Ability to mobilize support and engage others to join you in ACTION

LC

The learning continues by using social media tools to connect the learners

Surfing Lessons!

www.bizlearningblog.com www.cpasuccess.com www.cpalegislativeinsidercom

Comments on BizLearningBlog include a participant and author of book

Jane Bozarth - author

Key events & dates

Business_Industry.mp4

MACPA Business & Industry Conference - May 20, 2010 – Turf ValleyMACPA Summit - Jun 2 & 3, 2010 - BWIBeach Retreat - Jul 5 – 7, 2011 - OCCPA Day in Annapolis - Jan 18, 2012 - Annapolis

What’s over the horizon for CPAs?

www.macpa.org/forumhttp://www.aicpa.org/Research/CPAHorizons2025/

• RJP Insurance• AON• Purchasing Power

of the profession– Savings of up to

70% off!

Resources

Products / Services

Business Solutions

Executive Level Learning

Executive Level Learning

Strategic Management Business Management Performance Measurement

Management Leadership Development Communications Skills

Strategic Management Business Management Performance Measurement

Management Leadership Development Communications Skills

MACPA’s affiliate, the Business Learning Institute (BLI) delivers competency-based curriculum for managers and executives:

Why we are here and what we are doing about it

Why we are here and what we are doing about it

CPA

The only question for leaders

Have I made you feel stronger and more capable?

Source: Emmanuel Gobillot - LeaderShift

Tom Hood, CPA.CITPCEO

Maryland Association of CPAsBusiness Learning Institute

(443) 632-2301E-mail tom@macpa.org

Web http://www.macpa.orgBlog http://www.cpasuccess.com

CONNECT – PROTECT - ACHIEVE