Art of Accounting: Get started with a strategic plan

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Strategic plans provide a direction to accomplish what you want. I firmly believe they help many firms grow to the next level. Even if the plans propel little growth, it’s growth that might not have been accomplished had you not had the strategic plan. Growth can come without the plan, but that is settling for less than you might be capable of or destined for.

A suggested starting method for this process could be for each owner, senior manager and key admin person write down the following (I find the process of writing it down frames and identifies the issues much more clearly):

1. Where they envision (or possibly want) the practice to be in five years;
2. Whether they believe they are on that track right now and, if not, what they feel is necessary to get on that track; and,
3. After this is done, there should be a joint meeting to discuss what each person wrote and compare differences, then develop a consensus and plan to get there. 

Here is a five-step shortcut for a personal direction plan:

1. Write down where you would want to be in five years personally and professionally;
2. Write down whether you believe you are on track for each of these. If you are on track, then nothing else needs to be done;
3. If you’re not on track personally, write down what you feel is necessary to get on that track; 
4. If you’re not on track professionally, write down what you feel is necessary to get on that track; and,
5. If you’re not on track in either or both, do not share it with anyone, but you need to reflect on how you want to spend the “rest of your life,” then develop a plan to head in that direction.

This is a serious undertaking and needs careful thought, especially if you are not on track. However, this process creates a start that perhaps can lead you where you want to be, while the alternative leads you to the status quo — at best. You decide.
Do not hesitate to contact me at emendlowitz@withum.com with your practice management questions or about engagements you might not be able to perform.

Edward Mendlowitz, CPA, is partner at WithumSmith+Brown, PC, CPAs. He is on the Accounting Today Top 100 Influential People list. He is the author of 24 books, including “How to Review Tax Returns,” co-written with Andrew D. Mendlowitz, and “Managing Your Tax Season, Third Edition.” He also writes a twice-a-week blog addressing issues that clients have at www.partners-network.com along with the Pay-Less-Tax Man blog for Bottom Line. He is an adjunct professor in the MBA program at Fairleigh Dickinson University teaching end user applications of financial statements. Art of Accounting is a continuing series where he shares autobiographical experiences with tips that he hopes can be adopted by his colleagues. He welcomes practice management questions and can be reached at (732) 743-4582 or emendlowitz@withum.com.