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A WORD from our CEO
In times of change, let focus be your guide
By now, it’s not surprising if some of the promise and shine of goals from the beginning of the year have faded. You’ve been battling unexpected business developments, fire drills and an evolving strategy to stay competitive. It’s necessary to be nimble to meet these changes, but in this process you can sometimes lose sight of the goals you originally set out to achieve.
While it might sound overly simplistic, take a deep breath, preferably a couple of them. Now, with a clearer mind, consider your original focus from the beginning of the year and what was motivating you to work toward that goal.
In a culture where we are constantly inundated with more demanding our time and attention, sometimes to achieve your goals the answer is to do less. More specifically, focus on less to achieve more.
This can be hard for anyone, especially busy accounting professionals, to accept, as it might mean slowing down or even stopping certain projects and initiatives. But while we’d like to think we have endless time and resources, the truth is for more organizations this is simply not the case, and it doesn’t benefit the business or its staff to pretend otherwise.
The exciting part about focusing on less is it forces you to decide what is most valuable and gives you the permission to devote attention to those efforts. With the time you have left in the year, I’d encourage you to be brave enough to stop saying “yes,” to everything that comes your way and give yourself the necessary space to focus on the work that matters.
At The Ohio Society of CPAs, we’re excited to offer support as you achieve those goals, and help you get there with top-notch learning opportunities throughout the remainder of the year. Register now for the upcoming Accounting Shows in October and November and the MEGA Tax Conference in December.
Now is the time to channel your energy into what matters most. By prioritizing and simplifying your focus, you’ll gain the clarity needed to make a meaningful impact.
SCOTT D. WILEY President and CEO
Self-Assessment Exam
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SEPTEMBER | OCTOBER 2024
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ADVOCACY in focus
Ohio CPA PAC selects Hawkins, Shanahan and Deters for Ohio Supreme Court
OSCPA staff report
The November 5 election is fast approaching, and three Ohio Supreme Court races are among the most important you will find on the ballot.
The seven members of Ohio’s highest court play a critical role in our state. The court resolves issues important to Ohio businesses – from small, independent businesses to large corporations. The court hears matters of taxation, public utilities, employment, arbitration, workers compensation, contracts, insurance, tort liability, medical malpractice and damage limitations – and that’s just a small sample of the cases that come before them.
As you would expect, it’s important to elect justices who have the legal experience, integrity and work ethic needed to be effective. Just as importantly, though, is the need to elect justices with a philosophy of not second-guessing the policy choices of elected officials charged with
making the law if the statute at hand is supported by the constitution. Also, it’s key to elect justices who will work to ensure a stable, predictable judicial system for Ohioans.
After careful evaluation, Judge Dan Hawkins, Judge Megan Shanahan and Justice Joseph Deters have been selected as the Ohio CPA/PAC Preferred candidates for the Ohio Supreme Court. Each has the experience needed to be fair, impartial and disciplined justices.
OSCPA’s political action committee is made up of a bipartisan group of your fellow CPAs who serve as Ohio CPA PAC's Board of Trustees. These trustees, from cities across the state, are responsible for evaluating statewide and Statehouse candidates and determining the level of
Justice Joe Deters
Judge Dan Hawkins
Judge Megan Shanahan
support merited based on their voting record, background, philosophy on key issues of concern to the business community, relationship with OSCPA and other key factors.
Justice Joe Deters
Justice Deters is the 163rd justice of the Supreme Court of Ohio. He took office in January 2023, following his appointment by Gov. Mike DeWine. Prior to joining the Court, Justice Deters served as the longest-tenured prosecutor in Hamilton County. He held the position twice from 1992-1999 and 2005-2023.
Judge Dan Hawkins
In 2013, Judge Hawkins was appointed to fill a vacancy on the Environmental Division of the Franklin County Municipal Court and was later elected to finish the remainder of his predecessor’s term. In 2018, Judge Hawkins was elected to the Franklin County Court of Common Pleas. He also spent 13 years as a trial prosecutor, the last 10 years serving as Director of the office’s prestigious Special Victims Unit.
Judge Megan Shanahan
Judge Shanahan was first elected to the Municipal Court in 2011 and re-elected in 2013. Prior to this, she was a
felony-level criminal prosecutor, where she successfully tried over 50 jury trials. In 2016, she was appointed to the Hamilton County Common Pleas Court.
Members of the seven-member Ohio Supreme Court are elected on a non-partisan basis for six-year terms. The Court’s decisions can have a significant impact on Ohio’s economy, health care, education and more.
Ohio CPA/PAC's Board also evaluated over 200 candidates for the Ohio House and Ohio Senate. Candidates selected as Ohio CPA/PAC Preferred were chosen based on their voting record on key CPA and business issues (for incumbent legislators), their philosophy on key CPA and broader business issues, their working relationship with Ohio CPAs and OSCPA itself, their background and reputation, and the viability of their race. To see the full list of our Preferred candidates across the state, visit: www.ohiocpa.com/advocacy/2024-elections
If you have questions about these candidates please contact the government relations team at www.ohiocpa.com/contact
Want a voice at the Ohio Statehouse?
the size—allows
the
that matter
CAREER center
How leaders can foster a culture of continuous improvement
By Jacqueline Lombardo, Operations Strategist for Boomer Consulting, Inc.
Every company that invests in technology and processes wants to keep the momentum going with continuous improvement. But that can only become a reality when continuous improvement becomes part of the culture.
Leaders play a crucial role in cultivating this culture, so let’s explore some strategies leaders can use to foster a culture of continuous improvement.
Step 1: Embrace a growth mindset
A growth mindset, as opposed to a fixed mindset, is fundamental to continuous improvement.
According to Carol Dweck, the psychologist who coined the term, a growth mindset is the belief that people can develop abilities and intelligence through dedication and hard work. Leaders must champion this mindset, encouraging team members to view challenges as opportunities for learning and development.
By fostering a growth mindset, firms can create an environment where innovation thrives, and employees are motivated to continuously improve their skills and performance.
Step 2: Value feedback at every level
Creating an environment where feedback is valued and used for improvement is essential. Leaders should ensure people at every level have the opportunity to provide feedback—not just the leadership team.
Implementing regular feedback mechanisms, such as anonymous surveys, suggestion boxes and open forums, can help organizations identify areas for improvement and foster a culture of transparency and collaboration.
Step 3: Guide technology and process improvement
Successfully integrating technology requires strong leadership. Leaders must provide clear guidance on implementing new technologies and ensure all team members understand their roles and responsibilities. Technology is a big part of improving efficiency and effectiveness in a firm, but it requires streamlined processes to be truly effective. Automating ineffective processes just leads to doing poor work faster.
Leaders should encourage their team members to evaluate and refine existing processes before implementing new
technologies. This requires extra time and effort, but it can maximize the benefits of automation, reduce manual errors and help people free up valuable time for higher-value tasks.
Step 4: Celebrate successes
Celebrating successes, both big and small, is a powerful way to build momentum and morale within the firm. Focusing on what isn't working is easy, but recognizing and celebrating achievements reinforces positive behaviors and motivates team members to strive for continuous improvement.
According to research by Gallup, employees who feel appreciated are nearly four times more likely to feel connected to the company culture and 20 times more likely to be engaged. Leaders should prioritize acknowledging and celebrating wins at team meetings, in firm newsletters or in other public ways.
Step 5: Manage change effectively
Change management is a critical component of fostering a culture of continuous improvement. Leaders must manage not only the technological aspects of change but also their team members' emotional and psychological responses.
According to Prosci, effective change management involves preparing, supporting and equipping individuals to adopt change successfully. Leaders should focus on clear communication, empathy and support throughout the change process to ensure a smooth transition and minimize resistance.
Jacqueline is the Operations Strategist for Boomer Consulting, Inc, and specializes in driving organizational growth and cultivating internal excellence in diverse areas, including human resources, performance management, training and development, compliance, recruiting and intellectual property protection.
DIVERSITY, equity & inclusion
The ethics of DEI: Cultivating a positive workplace
By Elizabeth Pittelkow KittnerCFO, GigaOm
Committing to diversity, equity and inclusion initiatives is more than an ethical consideration—it leads to stronger organizations and workplace cultures.
While there continues to be significant ethical considerations about diversity, equity and inclusion (DEI) in the workplace, and in society as a whole, the benefits of these initiatives are clear. When organizations spend time focusing on DEI, they create more positive and collaborative environments for themselves and others. The merits of effective DEI initiatives will lead to better decision-making, more innovation, improved employee satisfaction, enhanced brand reputation and positive social and community impact.
The foundation of DEI relates to the ethical principle of upholding the equity of every individual’s contributions and their right to equal respect. The intent is to preserve the value of each individual and identify the right opportunities for personal and professional growth.
Let’s examine the three components of DEI (i.e., diversity, equity, and inclusion).
• When organizations value diversity, they acknowledge the dignity and unique contributions each person
brings based on their experience, background, race, gender and other characteristics. It is important for your organization to assess and determine if it has the diversity needed to make it stronger in decision-making and more representative of the markets it serves. Your organization should also examine whether it is effectively contributing to DEI in its interactions with others.
• Regarding equity, your organization should ensure its people have equal access to professional development, leadership experiences, and career advancement opportunities. Each person in your organization will likely take a different journey to learning, development and promotion. Therefore, your organization should consciously engage in individual discussions to outline what each person’s journey looks like.
• Inclusion is the element of DEI that creates an environment for both diversity and equity to succeed. Your organization should ensure your people feel valued, heard and respected. Your people should
be able to contribute their perspectives, experiences and talents openly and with encouragement—after all, inclusion aligns with values of dignity, autonomy and equality.
To champion a successful DEI environment, your organization should consider these ethical guidelines:
• Engage the leadership team. Ethical leadership teams are accountable for talking about DEI efforts, working toward a welcoming and productive culture and ensuring policies and behaviors align with corporate values. Your leadership team should be open and clear about its DEI goals and consistently report on the progress toward those goals to help support action throughout the organization.
• Offer continuous education. Keeping a persistent focus on DEI includes ongoing education and providing opportunities to ask questions. An all-hands meeting or a diversity panel dedicated to this topic can be helpful in creating this type of environment. Consider asking your own people to lead these sessions to bring personal storytelling to the education or ask external speakers to help facilitate discussions.
• Build cultural competence. Cultural competence exists when individuals can effectively collaborate with people from different backgrounds; it promotes the idea of seeking to understand others and respecting their views, even if you may not agree with them. Employee resource groups (ERGs) may be helpful in achieving this goal since they can provide chances for people to share their perspectives and offer awareness regarding cultural representations.
• Promote positivity and well-being. Organizations that care about their people look out for their overall physical and mental well-being. Initiatives regarding mental health (like employee assistance programs), professional development and charitable work show an ethical commitment to the people working for you and the communities you serve. A healthy organization starts with healthy people.
• Survey your people. Organizations that care about providing an ethical and positive environment that prioritizes DEI also provide ways for people to give feedback, including anonymous feedback. Feedback may present your organization with key insights into what it is doing well and what it can be doing differently to promote the culture it wants. You may also consider facilitating a “crazy ideas board,” where people can submit ideas to your leadership team for consideration regarding product offerings, culture events, charitable work and more.
Individual employees play an instrumental role in promoting DEI throughout an organization. As an employee, consider these ethical guidelines:
• Develop self-awareness. Identify what biases you may have in your own beliefs and assumptions—knowing biases is the first step to addressing them. Consider how you can show up in interactions to increase your open-mindedness.
• Learn about others. Be brave and respectful in asking people about their backgrounds and experiences. Research different groups and learn about them, including their histories and customs, and offer to teach and talk about your own culture.
• Practice generous assumptions. When someone’s behavior does not make sense, give them the benefit of the doubt, and ask them directly about it. It is fair for you to tell them how their behavior makes you feel and the impact it has on the team. Remember, someone’s behavior may be due to their background (e.g., someone who is neurodiverse may approach a situation differently than someone who is neurotypical) or social preference (e.g., extroversion or introversion).
• Participate in DEI initiatives. The more people engage in an organization’s DEI initiatives, the more DEI will become ingrained in the culture. Encourage your organization to keep focusing on DEI and working to make the culture better.
• Serve as a mentor. Find someone in your organization to mentor. You can advocate for their professional development and advancement by getting to know them and understanding their unique skills and aspirations. You can also empower them to have a voice in their career.
Ethical leadership and an evaluative mindset by individuals and organizations significantly contribute to the success of DEI initiatives. To cultivate a positive and inclusive culture, leaders should commit to self-awareness, learning and action through discussion and teaching. For yourself, think about what you can do personally and organizationally to take the next steps. Remember, an ongoing and deliberate commitment to DEI creates and sustains an inclusive and equitable workplace that seeks, welcomes and celebrates diversity.
Reprinted with permission of the Illinois CPA Society.
Elizabeth Pittelkow Kittner is the CFO of GigaOm.
GASB approves financial reporting model improvements
By Laura Hay, CPA, CAE, OSCPA executive vice president
Nearly 25 years since the issuance of GASB Statement No. 34, and more than ten years in the making, GASB Statement No. 103, Financial Reporting Model Improvements were issued in April 2024 to modernize the governmental financial reporting model in the U.S. Its requirements are designed to enhance the decision usefulness of governmental financial reports, better assess financial health and accountability and address certain application issues.
Key improvements include:
1. Enhancing management’s discussion and analysis
Management’s discussion and analysis (MD&A) continues to be required preceding the basic financial statements and should be written for a reader who may not have a detailed knowledge of governmental accounting and financial reporting. The MD&A should discuss significant activities that had either a positive or a negative effect on changes in current-year balances and results of operations in comparison with the prior year. The Statement puts a strong emphasis on discussing the reasons for changes rather than simply presenting change amounts or percentages.
The MD&A discussion should focus on the primary government and is limited to five sections: (1) Overview of the Financial Statements, (2) Financial Summary, (3) Detailed Analyses, (4) Significant Capital Asset and LongTerm Financing Activity, and (5) Currently Known Facts, Decisions or Conditions. The Statement emphasizes avoiding repeat or boilerplate explanations.
2. Changes to presentation of the proprietary fund statement of revenues, expenses and changes in fund net position
Statement No. 103 changes the presentation of information in the proprietary fund statement of revenues, expenses and changes in fund net position. Following a subtotal for operating income (loss), the financial statement will include a new section for noncapital subsidies, with a subtotal for operating income (loss) and noncapital subsidies preceding other nonoperating revenues and expenses.
The Statement clarifies the definitions for operating and nonoperating revenues and expenses. Operating revenues
and expenses are defined as revenues and expenses other than nonoperating revenues and expenses. Nonoperating revenues and expenses are defined as (1) subsidies received and provided, (2) contributions to permanent and term endowments, (3) revenues and expenses related to financing, (4) resources from the disposal of capital assets and inventory, and (5) investment income and expenses.
Subsidies are resources received from another party or fund for which the proprietary fund does not provide goods or services to the other party or fund that directly or indirectly keep current fees and charges lower than they should be otherwise. Subsidies also include resources provided to another party or fund without goods or services being returned, recoverable through the proprietary fund’s current or future pricing policies.
The statistical section for governments that are engaged in only business-type activities or only business-type and fiduciary activities should report the same categories of revenues and expenses that are required for the statement of revenues, expenses and changes in fund net position.
3. Budgetary comparison information
Governments are required to present budgetary comparison information only as required supplementary information (RSI) for the general fund and each major special revenue fund that has a legally adopted budget. Budgetary comparison information should include (1) variances between original and final budget amounts and (2) variances between final budget and actual amounts. An explanation of significant variances is required to be included in notes to RSI.
GASB concluded that budgetary information did not rise to the level of financial statement information, removing the current option for the budget comparison to appear as a financial statement.
4. Major component unit information
Each major component unit is required to be reported separately in the reporting entity’s statement of net position and statement of activities if it does not reduce the readability of the statements. If the readability of the statements would be reduced, combining statements of major component units should be presented after the fund financial statements.
Statement No. 103 eliminates the option to disclose condensed financial statements in the notes, because GASB concluded that component information was so important that disclosure in notes would be insufficient.
5. Unusual or infrequent items
Governments previously had difficulty distinguishing between extraordinary items and special items. The Statement combines these into unusual or infrequent items, which are described as transactions and other events that are unusual in nature and/or infrequent in occurrence. Governments are required to display the inflows and outflows related to each unusual or infrequent item separately, as opposed to netted, as the last presented flow(s) of resources prior to the net change in resource flows in the government-wide, governmental fund and proprietary fund statements of resource flows.
Effective date
The Statement is effective for fiscal years beginning after June 15, 2025, with early application encouraged.
How the changes will affect governmental financial reporting in Ohio
Members of OSCPA’s Accounting and Auditing Committee weighed in on the GASB changes.
“I view this as a necessary refresh of the MD&A, with discussion of reasons for changes providing more useful information,” said Danny Sklenicka, CPA, Rea & Associates. “Focusing on the changes to income statement terminology and presentation will be important; and the budgetary
comparison information changes are also significant in Ohio, as many auditors would opine on budgetary schedules for the general fund and each major special revenue fund. Now, they will be required to be RSI, for which auditors disclaim an opinion.”
“GASB was originally signaling a major overhaul to the income statement,” said Amr Elaskary, CPA, Clark Schaefer Hackett & Co. “The final Standard scaled back to more presentation changes, which will make the Standard easier to implement. Also, I think the entities that apply for the GFOA Certification may have an easier time implementing the MD&A rules, as the GFOA already calls for these items in their comments.”
“The MD&A, operating/nonoperating revenue, and budgetary RSI will affect nearly every client across the State of Ohio,” said Brett Burns, CPA, Perry & Associates. “In particular, many MD&A disclosures have become more boilerplate, and this will necessitate a move to truly providing next-level analysis.”
Next steps
• New line items and subtotals will require reaggregating accounts in financial reporting systems.
• Accounting processes may need to be updated to capture the required information.
• Approaches to additional analysis in the MD&A should be discussed with leadership and key stakeholders.
• Continue to monitor the GASB agenda for items excluded from this Statement to be revisited in future projects.
THREE THINGS
Laura Hay, CPA, CAE, is executive vice president of The Ohio Society of CPAs and the staff liaison to the Accounting, Auditing, Professional Ethics Committee and the Peer Review Ethics Committee. She can be reached at Lhay@ohiocpa.com or 614.321.2241.
1. Key GASB improvements include enhancing management’s discussion and analysis, budgetary comparison information and major component unit information.
2. The Statement is effective for fiscal years beginning after June 15, 2025, with early application encouraged.
3. Approaches to additional analysis in the MD&A should be discussed with leadership and key stakeholders.
Industry experts and thought leaders will share their knowledge and experiences and explore innovative strategies and practical approaches to mastering your core skills, moving you from compliance to competence.
Get the latest updates on:
• Financial reporting and auditing
• State and local tax developments, including a legislative update
• Professional standards and responsibilities (ethics)
• The economy and what’s ahead in 2024
Dec. 13
8:30 a.m. – 4:30 p.m. | Virtual | 8
Preventing & detecting OCCUPATIONAL FRAUD
By Jaclyn Veno, CPA, Galasso Learning Solutions
The Association of Certified Fraud Examiners
(ACFE)
defines
occupational fraud as “the use of one’s occupation for personal enrichment through the deliberate misuse or misapplication of the employing organization’s resources or assets.”
The ACFE estimates that organizations lose 5% of their revenue each year to occupational fraud. While 5% may not seem like a significant amount, when this percentage is projected against the Gross World Product (GWP), it totals more than $5 trillion lost due to fraud globally. The ACFE Occupational Fraud 2024: Report to the Nations (legacy. acfe.com/ report-to-the-nations/2024/) is the largest global study on occupational fraud. This year’s report is based on 1,921 real cases and spans 138 countries and territories. It explores the costs, schemes, victims and perpetrators of fraud.
The ACFE’s methodology for this report is based on the ACFE 2023 Global Fraud Survey, an online survey of Certified Fraud Examiners conducted from July to September 2023. Respondents provided information on the largest occupational fraud case they had investigated, with criteria requiring that the case involved occupational fraud, the investigation occurred between January 2022 and the survey period, the investigation was completed by the time of survey participation, and the perpetrator(s) had been identified with reasonable certainty.
Highlights from the report
Of the 1,921 cases included in the survey, there were more than $3.1 billion in losses. In addition, 22% of cases had losses of more than $1 million.
The most common form of occupational fraud is asset misappropriation, or the theft of an employing
organization’s assets, being present in 89% of fraud cases. Common examples of asset misappropriation from the report were cash larceny, skimming, billing schemes, payroll schemes and expense reimbursement schemes.
Despite asset misappropriation being the most common form of occupational fraud, it is also the least impactful to organizations, with an average median loss of $120,000. On the other hand, financial statement fraud was only present in 5% of cases. However, it is deeply impactful, causing a median loss of $766,000. There are plenty of examples of financial statement fraud, which includes revenue recognition fraud, expense fraud and fraudulent financial reporting to deceive investors, creditors or regulators. In addition, corruption was present in roughly half of all cases, resulting in a median loss of $200,000. Examples of corruption include conflicts of interest, bribery, illegal gratuities and economic extortion.
Red flags of fraud
According to the ACFE report, in approximately 84% of cases, red flags were present. Knowing these red flags can help organizations gain an advantage in detecting fraud.
Of the 1,921 cases included in this report, 75% of fraudsters displayed at least one of the eight most common behavioral red flags. The most common behavioral red flag since the ACFE’s first report in 2008 was the fraudster living beyond their means.
Other red flags include:
• The perpetrator is experiencing financial difficulties
• Unusually close association with vendor/customer
• Control issues, unwillingness to share duties, irritability, suspiciousness or defensiveness
• “Wheeler-dealer” attitude
• Bullying or intimidation
• Divorce/family problems
In addition to behavioral red flags, there are some organizational red flags to keep in mind, such as a lack of ethical tone at the top, a lack of documented policies and procedures, low employee morale and high employee turnover.
Profile of the fraudster
Interestingly, there is no psychological profile of a fraudster. However, the data from the 2024 report does show that there are commonalities among perpetrators. Most perpetrators (87%) are first-time offenders and lack previous criminal history. Perpetrators are usually male (74%), have a university degree (52%) and are between the ages of 36 and 50 years old (53%).
There are also positive correlations between the age and
tenure of the perpetrator and the losses they are capable of inflicting. For instance, perpetrators who have been working for their organization longer cause higher losses when committing fraud than their less-tenured counterparts. According to the report, employees working at their organization for one year or less had a median loss of $50,000. In contrast, perpetrators with 10 or more years of experience had a median loss of $250,000.
Lastly, more than half of all fraud cases studied in the report came from the same five departments at organizations: operations, accounting, sales, customer service and executive/upper management.
Internal controls to help prevent fraud
According to the ACFE report, the presence of anti-fraud controls is associated with lower fraud losses and quicker fraud detection. In addition, more than half of cases occurred due to a lack of internal controls (32%) and an override of existing controls (19%). This data shows that nearly half of the frauds in the study could have been prevented with a stronger system of anti-fraud controls.
The report outlines 18 anti-fraud controls commonly found in organizations, such as the presence of a code of conduct, management review, fraud training for employees and job rotations/mandatory vacation. The presence of these
controls was associated with anywhere from a 23% to 63% reduction in median losses and a 14% to 50% reduction in fraud duration if the controls were in place. In essence, all these controls were associated with both faster detection and lower losses. But, according to the data, there are four controls — surprise audits, financial statement audits, hotlines and proactive data analysis — that are associated with at least a 50% reduction in both fraud loss and duration.
The most common method by which fraud was detected in the report was tips, from both internal employees and outside parties, which account for a staggering 43% of fraud detections, more than three times as many as any other method. Although there are many ways these tips were given, the report does note that having a dedicated tip hotline made an organization nearly twice as likely to detect fraud via a tip than an organization without a hotline. The second most common method of detection is by internal audit (14%) and the third is by management review (13%).
The 2024 report contains valuable insight into the types of fraud schemes that are occurring, red flags to watch out for and the value of implementing strong internal controls at organizations. Another statistic showed that 82% of organizations modified their anti-fraud controls following the fraud, and 95% of the modifications were expected to be effective at preventing future frauds. This report shows that trying to limit the opportunities of employees to commit fraud through internal controls proves to be a worthwhile effort.
Reprinted with permission of the New Jersey Society of CPAs.
THREE THINGS
1. The most common form of occupational fraud is asset misappropriation, or the theft of an employing organization’s assets.
2. Most perpetrators are firsttime offenders and lack previous criminal history.
Jaclyn Veno, CPA, oversees the development of Level Training programs for Galasso Learning Solutions. She can be reached at jacyln@galassolearningsolutions.com.
3. The most common method to report fraud was detected in the report was tips from both internal employees and outside parties.
Land the perfect professional connection
Whether you’re still basking in the glow of passing your CPA exam, a mid-level manager who needs a change, or a seasoned CFO who wants top talent, the OSCPA Career Center is your one-stop-shop to uncover rewarding careers and discover untapped talent.
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• Explore our recruitment and retention resources
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Varied pathways can lead to success for accounting profession longevity
By Jessica Salerno-Shumaker, OSCPA senior content manager
Accounting offers an exciting and fulfilling career, but for the pipeline to grow, multiple pathways need to be made available for those looking to enter and flourish in the profession.
“This is an opportunity profession,” said Tiffany Crosby, PhD, CPA, CGMA, MBA, OSCPA chief learning officer. “We want professionals to see what they can accomplish by entering accounting, and that there are available resources to help them be successful.”
Last year OSCPA formed the Ohio Accounting Talent Coalition (OATC)—an industry-sector partnership designed to manage Ohio’s accounting workforce strategy. This year in every issue of CPA Voice, we’ve highlighted a pillar of the plan, covering collaboration, messaging, curriculum and experience. Each pillar is essential to the sustainability and longevity of the profession. Pathways is the fifth and final pillar.
“In accounting, we have had one primary (traditional) pathway of earning a master’s degree in accounting (or a bachelor’s degree plus additional credits), working in a public accounting firm and then moving to industry,” Crosby said. “And that is still a viable path. But it can't be the only path.”
The pillar pathway focuses on simplifying the process and expanding access to accounting careers and CPA licensing. It seeks to open doors for a wider range of individuals, ensuring that more young professionals and untapped talent can enter and thrive in the profession. Regardless of what life
stage someone is in, there should be a pathway to support them in their journey to the profession. These pathways need to adapt to a variety of educational and professional situations.
“Sometimes expanding access might mean offering apprenticeships, internships or on the job learning,” Crosby said. Apprenticeships, which have traditionally been reserved for trade-related jobs, could provide viable pathways for in-demand, high-wage earning industry, government, and non-profit accounting jobs for individuals not able to pursue a college education through traditional means. Meeting these individuals where they’re at is key, she said, instead of expecting each person to enter a four-year college and major in accounting.
This means changing the perception of what a prospective accounting professional looks like. It could be a young student or someone in the middle of their career looking to make a change. There needs to be an understanding that no matter where you’re at in life, accounting could be a successful career for you, even if you didn’t study the subject in college. But to make that happen, Crosby said, there need to be pathways to support different life circumstances.
After someone has transitioned to accounting, Crosby said the next step is continuing to upskill and support them, so they don’t leave the profession after a few years.
The pathway discussion also encompasses the different types of careers available in accounting. Not everyone might be interested in public accounting, Crosby said, which is why there needs to be available information about other areas to explore such as governmental or nonprofit accounting.
Part of the strategy for the pathways pillar expands access to talent sources, removes barrier to entry and creates an accounting apprenticeship model for talent not interested in or situationally able to pursue the traditional four-year college pathway.
Crosby said the timeline for seeing success in this pillar will take years, because it’s reliant on many other parts of the accounting ecosystem to change, including K-12 and postsecondary curriculum, messaging, and work experience.
“It's going to take some time to get to where we need to be, but small wins along the longer journey are possible,” she said.
While the pathways pillar will take time to build and flourish, it will have a resounding impact for years on the accessibility and growth of the profession. This pillar “forces you to recognize that there are multiple pipelines we're dealing with, and we need to have solutions responsive to the needs of each branch of the pipeline,” Crosby said.
“I think this area has the most opportunity for innovation,” she said. “Yes, talent can be built in college, but talent can also be built directly in the workforce. Strong public and private partnerships are the key and nurturing those partnerships is a crucial role for OSCPA within the talent coalition.”
Jessica Salerno-Shumaker is the OSCPA senior content manager.
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Painter
9 proven tips to ace your next public speaking engagement
By Sandra Balogun, CPA, CISA
Public speaking is a skill that strikes fear into the hearts of many.
The mere thought of standing before a crowd, vulnerable to scrutiny and judgment, can send shivers down the spine of even the most seasoned professionals. Yet, it is a skill crucial for success in many aspects of life, particularly in business and professional development.
I recently found myself thrust into the spotlight, tasked with sharing my insights and experiences with a large external audience. While I had prior experience with public speaking within my firm, this specific occasion was markedly different. It was my inaugural foray into addressing a diverse audience in a professional setting, and it demanded a unique experience. I've distilled key insights that not only aided me but also enhanced my overall public speaking abilities.
1. Cultivate the right mindset
Public speaking, like any skill, improves with practice. Recognize that even seasoned speakers admit to experiencing nervousness before taking the stage. Embrace this as a natural part of the process, and prior to your speech, practice. Listen to established speakers and adopt
positive self-talk to prime your mind and body for the task at hand. Remember, the audience consists of fellow humans who empathize with the vulnerability of public speaking.
2. Dress for success
The attire we choose significantly impacts our confidence levels. Opt for attire that is not only appropriate for the event but also comfortable and empowering. Dressing well can elevate your self-assurance, allowing you to exude confidence during your presentation.
3. Understand your audience
Before stepping onto the stage, learn about your audience's demographics, interests and industry background. Tailor your speech to resonate with their expectations and
concerns. If possible, familiarize yourself with the questions likely to arise during any discussion. Anticipating and addressing these queries demonstrates preparedness and enhances audience engagement.
4. Rehearse
Practice, both solo and with a trusted confidant, is instrumental in refining your delivery. Rehearse your speech in front of a mirror to gauge your body language and facial expressions. Solicit feedback from peers or mentors to identify areas for improvement. Additionally, consider recording yourself to assess tone, pacing and articulation. Each rehearsal iteration enhances your fluency and confidence on stage.
5. Embrace authenticity
Authenticity fosters genuine connection with your audience. Strive to infuse your speech with personal anecdotes, insights and emotions. Share relatable experiences that humanize your message and captivate the audience’s attention. Embrace vulnerability – it can foster empathy and resonate with your audience.
6. Harness visual aids (if the occasion permits)
Visual aids, when used judiciously, can amplify the impact of your message. Incorporate slides, videos or infographics to compliment your verbal delivery. Ensure that visual elements are clear, concise and relevant to your key points. Use them as a tool to reinforce concepts and enhance audience comprehension.
7. Maintain composure
During your presentation, prioritize maintaining composure and poise, even in the face of unforeseen challenges. Embrace pauses to collect your thoughts and emphasize key points. Remember to breathe deeply to alleviate nervousness and maintain a steady pace. Embrace any unexpected hiccups with grace, demonstrating adaptability and professionalism.
8. Engage the audience
Foster a dynamic rapport with your audience by inviting interaction and participation. Encourage questions, comments or anecdotes that enrich the dialogue and foster
We inspire more than 5,000 student members as they prepare for a future in the accounting profession. Thank You to the individual donors and members who make the commitment to support today’s accounting students and tomorrow’s CPAs.
Our 2023 programs reached more than 1,700 students in high school and college.
We granted $95,000 in scholarships to promising students.
We’re on 26 campuses with accounting majors as our Student Ambassadors.
Follow this QR code to see the donors who generously supported the future of the profession.
Join your peers with an investment today. Make a gift to The Ohio CPA Foundation at ohiocpa.com/GiveToFoundation
Learn more about our work at ohiocpa.com/Foundation
a sense of community. Incorporate storytelling techniques to captivate attention and convey complex ideas in an accessible manner.
9. Reflect after your presentation
Following your speech, engage in reflective practice to glean insights for future improvements. Seek constructive feedback from peers, organizers and audience members. Identify strengths to celebrate and areas for growth to address in subsequent presentations. Embrace each speaking opportunity as a learning experience that contributes to your ongoing development as a communicator.
Public speaking is a multifaceted skill that can be honed
through diligent practice, preparation and self-reflection. By cultivating the right mindset, understanding your audience and embracing authenticity, you can deliver impactful presentations that resonate with listeners. Remember, each speaking engagement is an opportunity for growth and refinement, paving the way for continued success on the public speaking stage.
THREE THINGS
1. Public speaking, like any skill, improves with practice.
2. Before stepping onto the stage, learn about your audience's demographics, interests and industry background.
Reprinted with permission from the Massachusetts Society of CPAs.
Sandra Balogun, CPA, CISA, is a manager at Centri Business Consulting, LLC. Contact her at auduplusandra@ gmail.com
3. Embrace vulnerability – it can foster empathy and resonate with your audience.
MEMBERS in motion
AKRON
Bober Markey Fedorovich (BMF) has made the following promotions:
• Samantha Rathburn, CPA to director
• Jessica Tepus, CPA to director
• Maddie Braun to HR & recruitment specialist
• Madison LaCourse to senior accountant
• Katlyn McManu to supervisor
• Nick Paul to supervisor
• DJ Petit to senior accountant
• Sal Rasicci to supervisor
• Tess Reed to senior accountant
• Megan Troyer to supervisor
• Tom Wangler to senior accountant
• Nate Wile to senior accountant
Bober Markey Fedorovich (BMF) has made the following new hires:
• Haven Farson , Kaleigh Kroon and Jason Liu to staff accountant
• Alan McManus to manager
• Michael McMullen and Cameron Owen to staff analyst
• Amanda Saylor and Prakriti Walia to supervisor
• Zachary Tharpe and Alex Waltz to staff accountant
CARMEL, IN
Blue & Co., LLC. announced a new joint venture partnership with Pioneer Technology, Blue Pioneer Consulting, which will offer cybersecurity and IT consulting services to their clients.
CLEVELAND
HW&Co. has won the following workplace-related awards:
• Best Workplace in Ohio for the fourth consecutive year
• Top Workplace award for the 11th time
• NorthCoast 99 award for the 20th time
HW&Co. has made the following promotions:
• Alexis Graham and Haley Rogers to senior accountants
• Vick Le to supervisor
• Sabrina Taylor to accounting specialist
• Svetlana Shorr, CPA to manager
• Kelsey Nicoluzakis, CPA to senior manager
• Ava Santa Maria to recruiting & onboarding specialist
COLUMBUS
Tiffany McGinnis, CPA, MPA, director of client service at Kaiser Consulting, graduated on May 1, 2024, from the Leadership Westerville Community Leadership Program.
Megan Staley, CPA, MAcc, director of client service at Kaiser Consulting, graduated on June 11, 2024, from the Columbus Chamber of Commerce’s Elevate Cbus Cohort Eight professional development program.
James Rumph, CPA, CFE, CAMS, CIA has joined Schneider Downs & Co. as a director.
PORTSMOUTH
The Fyffe Jones Group AC and Bagby Johnson AC announced their merger under the name The Fyffe Jones Group AC, offering a broader range of services and deepening its expertise in key sectors.
The new firm’s partnership team will include the current leadership of The Fyffe Jones Group, with the addition of Roberta Johnson, CPA , and is as follows:
• Terry Fyffe, CPA, ABV
• William “Neil” Patton, CPA
• Brad McFann, CPA
• Roberta Johnson, CPA
• Christopher McNeely, CPA
• Michael Misiti, CPA, CFE
TOLEDO
Matthew Babcock, CPA ; Jon Floering, CPA ; Eric Niese, CPA and Katie Maiberger have been promoted to senior manager at William Vaughan Company (WVC).
Samantha Rathburn
Roberta Johnson
Tiffany McGinnis
Michael Misiti
Terry Fyffe
Jon Floering
Brad McFan
Katie Maiberger
Jessica Tepus
Chris McNeely
Megan Staley
Matt Babcock
Neil Patton
Eric Niese
James Rumph
LEARNING events at a glance
The Accounting Show
OSCPA celebrates the 2024 class of Power of Change Honorees. Congratulations!
Read their stories each month in CPA Takeaways and on our social media channels.
Join us in-person at Columbus State Community College for a networking luncheon as we celebrate our 2024 Power of Change honorees and scholarship recipients.
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Listen to the entire series wherever you get your podcasts!
The Ohio Society of CPAs podcast “The State of Business” covers the latest news impacting accounting professionals, most recently with a series focused on the accounting talent shortage.
Episode title: The impact of workforce development on the accounting profession
From the episode:
“We've always worked to attract talent to the pipeline. But there came a point where we realized that we also need to be equally focused on retention of that talent within the workforce, and also on the idea that the business environment is continually changing.”
