By Maureen Renzi, Vice President - Communications

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I don’t know about you, but when I first heard that the pope had resigned, I was waiting for the punch line. By now, we know it wasn’t a joke. The white smoke confirmed that there is a new leader of the Catholic Church. How does that relate to accounting? Change. Succession planning. Diversity.

Looking back at the past few weeks, what can we learn? The first thought is that just because things have always been done a certain way, they don’t have to remain that way. Maybe it’s time for a change. If Pope Benedict XVI can break a 600-year tradition and resign from his post when he thinks it’s time, you can feel free to change something “that’s always been done that way.” It takes vision to look at things objectively and determine what needs to be changed in your firm, and it takes courage to look at your own capabilities and weaknesses and reflect on your ability to best serve your clients.

How do you adjust your current way of working to make yourself more efficient, more relevant to your clients and your staff? I had the opportunity to attend a session by author Simon T. Bailey, author of several books, including The Vuja de Moment: Shift from Average to Brilliant and talked about this concept of disrupting how you currently operate. Being a good listener and becoming uncomfortable with being comfortable are key traits of leadership. To succeed as a change agent, you might want to look at what aspects of your firm are on “auto pilot” that need to be critically assessed. Let’s take this discussion beyond how you offer your services. Also consider what services you offer and the types of clients you serve.  If you think that’s hard, you’re right, but put it in perspective. It can’t be as hard as changing something that’s been done for 600 years.

Now consider Pope Benedict’s resignation as it relates to succession planning. Demographics say that CPA firms need to implement a succession plan. Yet, results of the PCPS National Managing Accounting Practice (MAP) survey indicate that only 7 percent of smaller firms have a succession plan. While you probably don’t need a process as defined as the Catholic Church, (unless you represent the more than 1 billion members,) there are some correlations worth exploring, including procedures for sudden changes and leadership development.Associations Now, the American Society of Association Executives thought leaders publication for association professionals, first brought the correlation to my attention. I’m confident that you can find discussions that resonate with your plan (or lack thereof).  Do you have the right firm partners ready to take up the mantle when leaders decide to step down? PICPA’s Next Generation Leadership program will help start dialog for training future partners.

Then, there’s the new leader. There’s much coverage on how Pope Francis I is the first pope from the Americas and the first from the Jesuit order. This decision brings attention to the need for a new face to represent the New World of Catholicism. When you look at the demographics available through the U.S. Census Bureau of our country and Pennsylvania, the makeup of future staff and clients will probably look different. Do you have the diversity in your firm that can connect with those of the future? PICPA’s Diversity Committee created a business case and toolkit for diversity.  This resource, “Increasing Talent, Clients, and Revenue at Your Organization,” can help lead your firm for future success.

There’s no denying the Catholic Church is struggling in this environment of change. The institution has been rocked by scandal and poor financial management. But, they are looking to the future, blending their rich tradition with the needs of their community. Have they come up with the right answer? That remains to be seen, but in an environment of change, you have to be ready to fail on the road to success. How willing are you to make that journey?