What does innovation look like in a CPA Firm? How are leading CPA firms creating a culture of innovation? We are in a fast-paced world where growth/change is exponential not incremental. The CPA profession has been late adopters of change and “anticipation” is a missing skill set for many CPAs. We will soon be living in a world where global competition and automation will be performing basic accounting tasks currently being performed in our firms today. Tom Hood, Executive Director of the MACPA will lead a discussion on where accounting firms fit into a rapidly changing world. Hood, along with Jim Powers, CEO of Crowe Horwath LLP and Bill Balhoff, Managing Director of Postlethwaite & Netterville will explore how firms can maintain their competitive edge through inNEWvation.

2. inNEWvation and the Firm of the Future
Speakers: Tom Hood - MACPA/BLI, Bill Balhoff – P&N,
Jim Powers - Crowe Horwath!
@tomhood

3. WHY?

4. “One interesting finding of the survey is that CPA firms,
early majority or not, don’t really see a competitive threat
from specific challengers.”
– Erik Asgeirsson – CEO of CPA.COM

5. Race Against the Machines?
Source: Frey & Osborne –The Future of Employment – Oxford University

6. 74%
n Next gen leaders do not believe their
organizations are encouraging practices that
foster innovation
n Source: Deloitte Millennial Survey

8. “How would you think differently about your strategy if
you knew your advantage might not last?”

9. Innovation is not Invention

10. Innovation is not Creativity

11. Innovation is creating value
in anticipation of future
trends and customer needs.

12. 12
“Any type of differentiation in your
practice that drives preference.”
Geoffrey Moore: Innovation

13. Recipe for Innovation
1. The right culture – collaborative and
inclusive
2. Purpose-driven and visionary
leadership
3. Continuous learning and
improvement
4. Competencies and skills to support
innovation
5. Tolerance for risk and failure

14. Top Challenges Facing CPAs
We asked: What are you biggest challenges - Pick the top 5

15. Top Skills Needed
We asked: What are the top skills you need to be successful?
Top 5 cover 75% of Skills Needed

16. Top Innovation Priorities for ‘Early
Majority’ Firms over the Next 12-18
Months* - CPA.COM Firm Survey
16
1. Developing new offerings that expand the value we provide to our existing
clients
2. Implementing a new offering for a specific market segment we believe has
growth
3. Developing new offerings or approaches to the market that attract new clients
4. Realizing value to the firm from existing innovation investments
5. Updating current offerings to be more competitive
6. Deciding and moving forward on what our innovation priorities should be
7. Implementing a cloud-based accounting system

17. • An#cipa#on
• Strategic
Thinking
• External
Awareness
• Vision
• Con#nuous
Learning
• Innova#on
• Crea#vity
• Problem
Solving
• Priori#za#on
• Business
Acumen
• Decisiveness
• Influencing/Persuading
• Emo#onal
Intelligence
• Consensus
Building
• Collabora#on
• Inspira#on
• Risk
Management
• Communica#on
http://www.blionline.org/ao

18. The leaders are the ones who take the first steps
“Tom
Hood
and
his
colleagues
at
the
Maryland
Associa#on
of
CPAs
never
fail
to
amaze
and
impress.
Some#mes
you
can
find
them
orchestra#ng
a
flash
mob
of
accountants
or
puNng
down
stakes
in
the
virtual
world
of
Second
Life,
but
most
recently
the
associa#on
has
goPen
serious
about
XBRL
and
has
undertaken
a
project
to
demonstrate
XBRL's
scope
and
versa#lity
by
tagging
its
own
financial
statements
and
showing
how
non-­‐profits
can,
well,
profit
from
the
experience.
“What
message
can
you
learn
from
the
MACPA's
XBRL
project?
First,
you
can
start
examining
your
own
client
base
to
see
who
can
benefit
from
the
experiences
of
MACPA.
But
the
bigger
message
is,
stop
wai#ng
for
other
people
to
tell
you
what
works
and
what
doesn't.
Be
proac#ve
and
experiment.
That's
what
new
technology
is
all
about.
Whether
it's
cloud
technology,
IFRS
and
XBRL,
social
media,
or
choreographing
a
dance
–
the
leaders
are
the
ones
who
take
the
first
steps.”
-­‐-­‐
Gail
Perry,
editor,
Accoun#ngWEB

19. Hood's
greatest
a,ribute
isn't
that
he
consistently
glimpses
the
future
more
quickly
than
the
rest
of
us
(though
he
does).
It's
that
he's
able
to
bring
it
back
to
the
present
and
serve
as
its
?reless,
inspiring
and
effec?ve
champion.
– Accounting Today 2015
Tom Hood, CPA, CITP, CGMA
• Named
the
Second
Most
Influen#al
Person
in
Accoun#ng
by
Accoun#ng
Today
Magazine
2015
• CPA
Prac#ce
Adviser
Accoun#ng
Hall
of
Fame
• Top
25
Influencers
in
Learning
&
HR
by
HR
Examiner
Magazine
• Top
25
Thought
Leaders
in
Public
Accoun#ng
by
CPA
Prac#ce
Adviser
(since
incep#on)
• Top
150
Linked-­‐In
Influencer
(180,000
followers)
Chief Executive Officer
Maryland Association of CPAs (MACPA)
www.macpa.org
Business Learning Institute (BLI)
www.blionline.org
http://www.linkedin.com/in/tomhood/
@tomhood