// build a healthier, happier firm ## state of the accounting profession - lost 300K people in the past three years; 75% of CPAs will retire by 2038 with many expected to exit sooner. - 22% attrition rate among first-year professionals and public firms lose 41% of staff within three years compared to 28% in general corporate roles. - undergrad enrollment in accounting programs declined by more than 20% since 2018. ## vulnerable leadership one of the most important things you can have. it increases satisfaction, attracts and retains staff, and creates opportunities for growth. **start with a default level of trust; not earned trust.** a vulnerable leader leads with openness, courage, willingness to admit that they’ve made mistakes. if we are afraid to say we messed up, how will anyone else in the org going to feel comfortable asking for help? | vulnerable | vulnerable leader | | ---------------------------------------------- | -------------------------------------------------------------------------- | | admitting to a mistake | admitting to a mistake and sharing what was learned. | | asking for help | asking for help and committing to learning what you need help with. | | showing emotion | showing emotion and committing to learning what you need emotion with. | | saying i don’t know | saying “i don’t know” but having an idea or plan for how to figure it out. | | talking about personal challenges or struggles | admitting to a mistake and sharing what was learned. | | being unsure | being unsure and committing to learning what you need unsure with??? | since people are leaving, we are trying to do more with less. vulnerable leadership increases engagement, innovation, creativity, and employee resilience. ## 2024 satisfaction survey it *is not the hours* people are working; CPAs still report being satisfied even working 50+ hours per week. it’s the *environment*. satisfaction is more about autonomy, respect, and support. ask how they’re handling the workload; ask how you can help. listen without judgement and model good behavior. likewise, many report being satisfied even when not being paid a competitive salary. **people will trade money for meaning**. acknowledge compensation challenges openly and build trust through honesty, appreciation, growth opportunities, and personal connection. people are more influenced by culture than by pay, hours, or stress level (acc. to his survey of CPAs). **top cultural drivers of high satisfaction include:** - there are career paths outside the partner level - colleagues and supervisors know their hobbies and passions → this is the second-highest predictor of satisfaction. - firm has their back with difficult clients - firm provides good professional development - environment is diverse and inclusive **leadership skills for a positive culture:** - intentionality - vulnerability - empathetic - transparency - [ ] consider creating a *culture code* → it’s a promise to employees when being in-office is mandated, satisfaction levels plummet. it’s not just about location: >”we trust you to get your work done wherever and whenever works best. we believe you know how to manage your time and energy.” - [ ] book: *what’s your and?* john garret --- has team meet-ups twice per year; fully remote team, but two times a year fly people out.