Acquiring the aura of leadership

Acquiring the aura of leadership

Tomorrow's partners will have to acquire and demostrate a variety ofskills if they are to prove invaluable to their firms

Accountancy practices are demanding more skills and commitment from their future partners. The shrinking proportion of income coming from audit work is being reflected in the qualities accountancy firms are looking for in the next generation of leaders.

Fortuna Business Imagination (FBI), a business consultancy specialising in working with general practitioners, has analysed the key qualities which will be required of partners.

Mike Streeve, the company’s MD, says: ‘Prospective partners should be aware that the qualities of a future partner will be radically different from the past. We are seeing a dramatic change in the way partners work, and newly qualifieds are ideally placed to adopt and grow into these roles.’

He adds: ‘At the moment, partners in their 40s are confronted with rapid changes in the way things are done and are expected to adapt. Newly qualifieds can look ahead and learn the skills they will need to succeed as a partner.’

One of the most important qualities of a future partner is leadership.

Mike Streeve explains: ‘High-performing partners must be able to project an image of the firm that motivates the rest of the practice. A higher profile and the ability to make firm decisions and be forward thinking are the things that set potential leaders apart from the rest of the field.’

Partners are increasingly being asked to act as entrepreneurs and to bring new fee income into the practice. Well-developed networking skills are the key to winning new business.

And as audit work becomes a less important part of a firm’s business, partners must be able to focus on cross-selling the practice’s other non-compliance services to clients.

According to Streeve: ‘Anyone developing professional selling skills will have a major impact in the practice. Traditionally, accountants have shunned sales techniques, but being able to sell doesn’t mean you have to be pushy.’

Just as important as winnig business is the ability to retain business.

This means knowing how to handle and communicate with clients.

Nick Stemp, consultant at FBI, says: ‘Partners should be able to talk to clients on their level. If they use technical jargon, it can be difficult for some clients to understand what’s going on.’

Very often it is knowing how to handle potentially sticky situations that makes the difference between keeping a client and seeing him walk out the door. ‘It is essential to be able to deal with feedback and complaints from clients. If a client has the right approach in dealing with negative feedback, they can use it to their advantage. If a complaint is dealt with in a positive manner, it can actually improve relations,’ Stemp says.

Practices are run more closely along business lines, so partners are spending more time looking after budgets. According to Stemp: ‘Partners must be able to control short-term profitability, while keeping an eye on the medium term. Firms are looking for partners who can manage their own income streams and who can exceed their own financial targets.’

Partners must learn negotiation skills, adds Stemp. ‘Fees negotiated with clients must be realistic so that both the client and the practice get value for money.’

Streeve agrees: ‘Tomorrow’s partners will be leaders of people who can add value to their clients by combining a range of services. Newly qualifieds should shape their career path with this in mind by developing wider business and interpersonal skills.’

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