This month’s post is actually a repost of a blog written by Rita Keller covering some valuable information provided by Allan Koltin in an interview.
It is reprinted here with the permission of Rita Keller. I thought it was something you should read.
Something that Allan Koltin said in his recent interview with Russell Shapiro is so important for all of you leading, managing, and growing accounting firms.
He talked about the four things a professional service firm needs to replenish every 10 years. He calls them the Four Pillars:
- Leadership– Someone who can run the business, manage the firm and provide critical feedback to the partners. This is one of the most difficult because accountants didn’t become accountants so they could become CEOs.
- Rainmaking– In this business, you either grow or die a slow death. In most firms, founders were able to bring in business but they could only bring it in if they had people to do the work. So, they hired technicians. When those founders retired, technicians were left to do rainmaking and that is a challenging transition. Firms need a growth engine that continues to run.
- Technical– This is tax and audit and most can handle this one without difficulty.
- Client relationships– It is a people business. Your clients must not only like you and trust you, you must be their most trusted advisor. You are the person they think of first for help making any business decision.
How about your firm? Are you repopulating these four pillars every decade? Have you done it even once? Maybe you are doing one or two, but not all four. Something to think about, discuss and then take action.