Practice Excellence and profitability
AccountingWEB editor John Stokdyk launches a series on the elements of practice profitibility with a look at some of the key lessons from successful firms in the 2012 Practice Excellence Awards.
As part of the shortlisting panel in the 2012 Practice Excellence Awards, I was privileged to get an insight into the behaviours and techniques of some of the country’s most successful accountancy firms.
The premise of our awards is that excellence leads to growth, not just in client numbers and fee income, but profitability too.
One of the key insights that consistently comes through from the PEA entries is that client care is a state of mind: top-performing firms put clients at the centre of their vision and pay particular attention to their feedback and changing needs, and adjust their services accordingly.
Many of the shortlisted firms in the 2012 Practice Excellence Awards already surveyed clients and monitored their satisfaction ratings. The principle behind the entire scheme is to broaden access to this data through online client polling.
This article draws out some of the common themes and approaches from the shortlisted firms that had a positive influence on their client satisfaction ratings and profitability. The full text covers:
- Net promoter - good service equals good revenue
- Adding value boosts satisfaction and profitability
- Elements of profitability: Targeting and process efficiency
The pattern of good practice is fairly clear from the approaches at the majority of our shortlisted firms. And you do not have to be in the top 10 category for sales and marketing to benefit from these suggestions.
We are also keen for AccountingWEB members to share their insights and ideas on the site. Contributions to the debate will be added to follow-up articles looking in more detail at the elements of practice profitability.