Published on April 1, 2014.

1. Scientific Management
and Other Leading
Techniques of a Modern
CPA Firm
EdKless
RonBaker
TomHood
#greatcpe

2. Efficiency
2
I knew I could control one thing, and that is my time
and my hours and my effort and my efficiency.
- Ryan Seacrest

3. λογόs
3
In the beginning there was the ratio, and the ratio was
with God, and the ratio was God.
- John 1:1

4. My Quest for Generic Efficiency
4
Inputs
----------
Outputs
Is
----------
Ought

5. Ron Baker, Founder
VeraSage Institute
Why
Timesheet
s Are
Critical

6. Taylorism: The application of scientific methods to the problem of
obtaining maximum efficiency in work

8. ―Taylor’s Scientific Management
idea is perhaps the most powerful
as well as the most lasting
contribution America has made to
Western though since the Federalist
Papers.’‖
Peter Drucker

9. “What you can
measure you can
manage.”
––The McKinsey Maxim

10. Taylor’s Scientific System
1. Break down job into its component parts.
2. Time each of those parts with a stopwatch to find out
just how quickly they can be achieved by the
quickest and most efficient workers.
3. Get rid of any parts of the job that aren’t necessary.
4. Add in ―about‖ 40 percent to the time for unavoidable
delays. Over time, SM will take this to zero
5. Organize your pay system so that the most efficient
people can earn considerably more money by
meeting the optimum times, while the average have
to struggle to keep up.

11. Four Reasons Why Timesheets Are Critical
1. They are a pricing tool
2. They are a cost accounting tool
3. They measure the efficiency of our
professionals
4. They are a project management tool

12. Ron@verasage.com
Twitter @ronaldbaker
Phone 707.769.0965
VeraSage website/blog
www.verasage.com
Thank You!

13. Efficiency in Professional Project Management
• BAC – Budget at completion
• AC – Actual costs to date
• PV – Planned value = Planned % complete * BAC
• EV – Earned value = Actual % complete * BAC
• CV – Cost variance = EV – AC
• SV – Scheduled variance = EV – PV
• CPI – Cost performance index = EV / AC
• SPI – Scheduled performance index = EV /PV
13

14. Getting to Some Efficiency Metrics
• BAC = $50,000
• AC = $20,000
• Planned % complete = 75%
• Actual % complete = 25%
• PV = 75% * $50,000 = $37,500
• EV = 25% * $50,000 = $12,500
• CV = $12,500 – $20,000 = $7,500
• SV = $12,500 – $37,500 = $25,000
• CPI = $12,500 / $20,000 = 62.5%
• SPI = $12,500 / $37,500 = 33%
14

15. If there is a conversation about the future
of the profession, you're bound to hear
Hood's name mentioned as one of the
people leading the way.
– Accounting Today
Tom Hood, CPA, CITP, CGMA
• Named the Second Most Influential in Accounting by
Accounting Today Magazine 2013
• Top 150 Influencer by Linked-In
• Top 25 Influencers in Learning & HR by HR Examiner
• Top 25 Public Accounting Thought Leaders by CPA
Practice Adviser
• Working on Learning Management with
AICPA/CPA2Biz, Cloud Curriculum, Performance
Management /XBRL, Leadership & Generations
CEO
Maryland Association of CPAs
(MACPA) www.macpa.org
Business Learning Institute
(BLI) www.blionline.org
http://www.linkedin.com/in/tomhood/

17. Where did I get
this stuff?

18. The research…

19. www.blionline.org
The Research – is all wrong

20. www.blionline.org
1. A shortage of creative, agile leaders.
2. Inability to rapidly develop workforce skills and
capabilities.
3. Ineffective collaboration and knowledge sharing.
Source: 2010 IBM Global Chief Human Resource Officer
study
The top three issues facing human resources & talent
development

22. www.blionline.org
• Career Path (Ladder)
• Competency-based
Learning
• Curriculum
• Cloud
Our approach – The Four
C’s

23. www.blionline.org
The Bounce (is wrong)

24. The TTHUD is the way
Technic
al
Training
Helping
U
Gladwell was
partially right.
Accounting &
tax mastery
require more
training

25. www.blionline.org
TTHUD
This is
what
matters
most
Y

26. www.blionline.org
How can we help you keep your L>C
• Strategy & Alignment
• Curriculum tied to strategy
• I2a Leadership Academy
• BLI Leadership Express -
on-demand leadership
support
• Social learning
In a period of rapid change
and increasing complexity,
the winners will be those
organizations who can keep
their rate of learning greater
than the rate of change and
greater than their
competition. – Tom Hood
http://cpa.tc/32r

27. Leadership Education for
Accounting Professionals
New technologies.
New trends.
New client expectations.
The accounting profession today is dramatically different
than it was just a few years ago. Every day the learning
curve becomes steeper and harder to climb. That’s why
Sage has partnered with the Business Learning Institute to
offer Leadership Education for Accounting Professionals.
na.sage.com/leap

28. Leadership Education for
Accounting Professionals
The Sage Difference
Not your traditional CPE classes!
Leadership Education for Accounting
Professionals will help you:
• Improve customer relationships - Add more value to your client relationships by
shifting the focus to the insights and guidance your clients are asking for.
• Stay current - Stay on top of emerging trends for accountants and small
businesses.
• Grow your business - Uncover business growth strategies for your firm and
your clients.
• Get the flexibility you need - Optimize your knowledge and skills in the format
you prefer—live or online.

29. Leadership Education for
Accounting Professionals
In-Person - Available in select cities across North America, these interactive
educational courses provide opportunities to have your questions answered
and network with peers.
Webcast - Live and replay at scheduled times, these webcasts give you the
freedom to participate online. Instructors are always available to answer
your questions and best of all, no tests.
On-demand - The ultimate in educational convenience! These self-paced,
interactive courses are perfect for the accounting professional who needs
just-in-time education at their fingertips.

30. Leadership Education for
Accounting Professionals
na.sage.com/leap