Taking A Step In The Right Costing Direction

May 25, 2016

I few weeks ago, I spoke at a breakout session at the G400 accounting seminar in Denver. The G400 is the American Institute of CPAs’ annual conference offering a unique opportunity to network with peer firms and gain greater insight into the opportunities, concerns, and challenges of running a certified public accounting practice. I was honored to engage with a group of partners to discuss possibilities for growing a firm through specializations and niches. I focused much of my presentation on my personal experience working at William Vaughan Company where we offer a diverse array of services, specifically costing.

Business_Direction2For me, it was very interesting to hear what other accounting have been doing. I was very surprised to discover how some firms are reluctant to explore services in which they are not experienced. Obviously, it would not be recommended to offer a service without any sort of formal training or experience. However, growing firms understand the importance of analyzing the market to determine a void. Firm specialization is extremely valuable when it comes to serving large clients with a variety of needs beyond traditional tax. Being fearful of an unknown may result in a loss.

Cost accounting is a very specialized service involving a unique set of skills. Many firms are not comfortable offering this service. However, I would argue the benefits of knowing your costs and serving your clients in a way that provides clarity far outweighs the work involved in establishing a new niche.

Educate your office, take a CPE course or hire a consultant. As a CPA firm, it is essential to remain competitive and know you can service your client no matter what their need may be. As a client, quality costing information can provide clarity and direction for the future. Whatever side you may be on, don’t let fear hold you back – take a step in the right direction!

Categories: Cost Accounting