Firm Management
December 2017 Firm Management Channel
U.S. accounting firms that use advancement programs for promoting women to leadership positions overwhelmingly view them as effective tools in recruiting and retaining talent, according to new research by the American Institute of CPAs.
Dec. 18, 2017
Women Mentorship Programs Help Firms Realize Greater Success
By Isaac M. O’Bannon, Managing Editor
U.S. accounting firms that use advancement programs for promoting women to leadership positions overwhelmingly view them as effective tools in recruiting and retaining talent, according to new research by the American Institute of CPAs.
Mentorship is by far the most popular advancement program, with 45 percent of firms using it, the 2017 CPA Firm Gender Survey found. Sponsorship, in which influential firm leaders take a more formal role in guiding promising employees to career opportunities, professional development and promotions, is used by 12 percent of firms.
“There are two important takeaways here: 1) firms that use these programs have seen a beneficial impact on attracting and retaining talent,” said Melissa K. Hooley, CPA, CGMA, chair of the AICPA Women’s Initiatives Executive Committee. “And 2) firms that are taking active steps to promote women and minorities likely will have a competitive advantage when it comes to securing talent.”
|
Advancement Program |
Percentage of Firms Using It |
Of That Group, Those Who Say It Has an Impact on Attracting or Retaining Talent |
|
Mentoring |
45% |
87% |
|
Sponsorship |
12% |
97% |
|
Gender Initiative |
11% |
85% |
|
Minority Initiative |
2% |
90% |
|
Combined Diversity & Inclusion |
6% |
90% |
Women comprise nearly half of all accounting graduates entering the profession, but remain underrepresented at the partnership level and other leadership positions. The survey shows little change in this area from studies done in years past, which have typically found less than one-quarter of the partnership ranks made up of women. As was the case two years ago – the last time the CPA Firm Gender Survey was conducted – the percentage of women partners was found to be highest at smaller firms.
|
Firm Size |
Percentage of Women Partners |
|
Two to 10 CPAs |
42% (43%*) |
|
11 to 20 CPAs |
30% (39%) |
|
21 to 99 CPAs |
26% (27%) |
|
100+ CPAs |
21% (20%) |
*Results in parentheses from 2015 CPA Firm Gender Survey
Among other findings of the survey:
- An analysis of job titles found that women maintained parity or better with men in CPA firms through the senior manager level, after which the ratio declines
- The larger the firm, the greater the gender gap in equity ownership
- Only 47 percent of firms have a succession plan and only two percent have a formal gender component in those plans
- Some 89 percent of firms say they have instituted some form of modified work arrangements, with flextime and reduced hours being the most prevalent
The CPA Firm Gender Survey was conducted online by MKTG Incorporated for the AICPA’s Women’s Initiatives Executive Committee from Aug. 3 to Sept. 11, 2017. Some 492 qualified respondents, drawn from CPA firms of varying sizes and regions within the United States, participated.
==========
Top Firm Management Blogs & Social Media
Be the Firm You Want to Be. Carrie Steffen, CPAConsultantsAlliance blog.
http://bit.ly/2zq8v1K
Digital Marketing and Your Tax Practice. Carly Moore, Canopy Tax blog.
http://bit.ly/2AkjzxA
Vision, Values and Strategy: 3 Firms Share Their Insights. Bryan Cytron, Firm of the Future blog.
http://bit.ly/2AY9iDF
5 Ways to Make the Most of Small Office Space. AICPA Insights blog.
http://bit.ly/2iCMsKW
Accounting Firm Owners Should Not Do Accounting. Jason Blumer, Thrival blog.
http://bit.ly/2zqaLWM
==========
Firm Management News
Building Client Relationships in a Distributed World. While there are clear benefits, cloud-enabled accounting solutions have greatly reduced or eliminated the need to interact directly with clients.
www.cpapracticeadvisor.com/12382711
Tips for Growing Your CPA Firm’s Affiliated Entities. As more and more CPA firms venture into consulting services, they will be faced with the question of how they should expand their non-traditional services.
www.cpapracticeadvisor.com/12382780
Accounting Firm Cybersecurity: Training Staff and Protecting Your Business. It probably won’t surprise you to hear that tax identity theft is on the rise.
www.cpapracticeadvisor.com/12377102
Marketing Your Firm with Thought Leadership. Avoiding trendy buzzwords is always a good rule of thumb when promoting your business. In certain circles, promoting yourself as a “thought leader” may cause more people to roll their eyes than anything else.
www.cpapracticeadvisor.com/12382782