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session,
and join the
conversation.
Vote for a question
Respond to Poll
Ask a Question
3
Membership
Organization
1
Lookout Post
2
Laws, Regulations,
& Standards
4
L > C2
2
Laws, Regulations,
& Standards
3
Membership
Organization
4
L > C2
1
Lookout Post
Lookout
Post
Trends in the Profession
What is causing
change today?
MACPA - BLI Professional Issues Update - Spring 2015 Business & Industry Edition
Command &
ControlEpisodic &
PassiveSystems of Record
A place you go
Connect & Collaborate
JIT & Participative
Systems of Engagement
What you do
Hierarchy
Transactional
On-Premise – CustomizedRigid, Cube farmsGeneration Gap
Network
Transformational
SMAC – Social Mobile Analytics Cloud
Open, Collaborative, Flexible
Generation Lap
Command &
ControlEpisodic &
PassiveSystems of Record
A place you go
Connect & Collaborate
JIT & Participative
Systems of Engagement
What you do
Hierarchy
Transactional
On-Premise – CustomizedRigid, Cube farmsGeneration Gap
Network
Transformational
SMAC – Social Mobile Analytics Cloud
Open, Collaborative, Flexible
Generation Lap
Incumbent practices,
resources and
institutions are in
decline
New
business
models, practices and
technologies are
emerging
The challenge &
opportunity is to make the
shift from the first curve to
the second curve at the
right time and with the
right strategy
Leadership
Learning
Technology
Workplace
Generations
Leadership
Leadership
Learning
Learning
Learning
1.Social
2.Mobile/Nano
3.Cloud
4.Collaborative (MBSN)
5.Competency-based
Technology
Technology
Workplace
Workplace
Workplace
Workplace
Generations
Gen-X
MACPA - BLI Professional Issues Update - Spring 2015 Business & Industry Edition
Lookout Post
Trends by Segment:
Public Practice
Corporate - Business & Industry
Young Professionals
Students
What does this mean for
CPA Firms?
FIRMS	
  WITH	
  21+	
  PROFESSIONALS
2013 2011 2009 2007
1 Owner/partner	
  accountability	
  
and	
  unity
Owner/partner	
  accountability	
  
and	
  unity
Retention	
  of	
  current	
  clients Finding	
  qualified	
  staff
2 Bringing	
  in	
  new	
  clients Bringing	
  in	
  new	
  clients
Owner/partner	
  accountability	
  
and	
  unity
Retaining	
  qualified	
  staff
3 Retaining	
  qualified	
  staff Retention	
  of	
  current	
  clients Succession	
  planning Developing	
  new	
  partners
4 Succession	
  planning
Fee	
  pressure/pricing	
  of	
  
services
Bringing	
  in	
  new	
  clients Work/life	
  balance	
  initiatives	
  
5 Finding	
  qualified	
  staff Succession	
  planning Retaining	
  qualified	
  staff
(1)	
  Management	
  of

human	
  resources

(2)	
  Seasonality/workload	
  
compression
PCPS CPA Firm Top Issues
What does this mean for
Small Practitioners?
MACPA Member Survey
Top Challenges 2014
Sleeter Group Survey 2014
The research: Anticipation is showing up across our Profession.
Maryland Public Company
Collaboration
• Learning & Talent Development
• Global Structure of Finance Function
• Managing Risk & Innovation
• Insight to Action
MACPA - BLI Professional Issues Update - Spring 2015 Business & Industry Edition
1. Private Companies Dominate
2. Private Companies create wealth & jobs
3. Private Companies invest and drive growth
4. Private Companies are agile & nimble and drive innovation
MACPA - BLI Professional Issues Update - Spring 2015 Business & Industry Edition
MACPA - BLI Professional Issues Update - Spring 2015 Business & Industry Edition
What does this mean for
Young Professionals?
11 Things Young Professionals
Want You to Know

1. More collaboration.
2. More transparency. 
3. Encourage initiative.
4. Focus on strengths.
5. Expect the unexpected.
6. Take time to save time.
7. Look beyond the billable hour.
8. Engage your team in your vision.
9. Be realistic.
10.Train your staff and expect accountability.
11.Take a financial risk on leadership.
http://cpa.tc/54r
What does this mean for
Students?
Top 5 Things They Want:
1. Work-Life Balance
2. Career Growth & Stability
3. Competitive Pay
4. Flexibility
5. Learning & Development
Top
When you’re a part of an established entity, there’s so much incentive to maintain the status
quo. A lot of times, the people who are leading are at the end of their careers, so they don’t
want to throw everything up and see where it lands. They want to make it someone else’s
problem. But I have seen the shift happening before my eyes, and have at times been
frustrated that people weren’t taking advantage of this new platform in a way that would be
effective for the content.
What Got You Here,
Won’t Get You There.
So What?
Lookout
Post
1
Lookout Post
3
Membership
Organization
4
L > C2
2
Laws, Regulations,
& Standards
Laws,
Regulations,
& Standards
News you’ve got to
stay on top of
Federal Laws & Regulations
Workforce Mobility
Cash Basis Income Tax
DOL Pension Audits
ACA - Affordable Care Act
Supreme Court - SCOTUS
ACA and Tax Credits
Perez vs Mortgage Bankers
FTC vs NC State Board of Dental Examiners
Wynne Case - MD out-of-state tax credits
SCOTUS Allows federal challenge of CO “Amazon Tax”
Workforce Mobility
Data Act
State Board of Public Accountancy
(Licensing Issues)
MACPA - BLI Professional Issues Update - Spring 2015 Business & Industry Edition
Current issues with your license
• Employee Benefit Plans Peer Review
• Responding to the Board
• CPE Tracking and Reporting
Financial Accounting
Standards
Accounting Standards
Public	
  &	
  
Private	
  
Companies
Private	
  
Companies-­‐	
  
Small	
  
Business
Public	
  &	
  
Private	
  
Companies	
  
Private	
  
Companies	
  
Private	
  
Companies-­‐	
  
Small	
  
Business
State	
  &	
  
Local	
  Gov’t
Federal	
  
Gov’t
Financial	
  
Reporting
IFRS	
  
(IASB)	
  
IFRS-­‐SME	
  
(IASB)	
  
GAAP	
  
(FASB)	
  
GAAP-­‐PCC	
  
(FASB)	
  
FRF-­‐SME	
  
(AICPA)	
  
GASB FASAB
Auditing IAASB IAASB PCAOB	
  
ASB	
  (AICPA)
ASB	
  (AICPA)	
   ASB	
  (AICPA)	
   GAGAS	
  
Yellow	
  
Book	
  
GAO
GAGAS	
  
Yellow	
  
Book	
  
GAO
Ethics IFAC IFAC PEEC	
  
(AICPA)
PEEC	
  
(AICPA)	
  
PEEC	
  
(AICPA)	
  
PEEC	
  
(AICPA)
PEEC	
  
(AICPA)
• Rev Rec
Financial Accounting Standards
• Cash Flow
• GASB 67, 68
• Fair Value
Peer Review Standards
New Code of Ethics
• Intuitively arranged
• User-friendly online code:
aicpa.org/newcode
• Enforceable rules and principles not
changed
• Minimum substantive changes to
interpretations
• Non-authoritative guidance referenced
• Effective December 15, 2014
• Additional year for Conceptual
Frameworks
Laws,
Regulations,
& Standards
1
Lookout Post
2
Laws, Regulations,
& Standards
4
L > C2
3
Membership
Organization
Membership
Organization
Membership Organization
How we connect, protect, and achieve.
Connecting CPAs to our
profession, each other, and
the world at large.
Connecting to Our Member Segments
Student Group Town Hall
NYPN
Women to Watch
Town Hall
Committee and Chapter Activity
MACPA Groups
http://cpa.tc/21g
https://twitter.com/macpaCPE
twitter.com/macpaCPE
Sales Tax Resources for MACPA
The MACPA Accountants
Resources Center gives
you the tools you need to
lead your clients through
the complexities and
dynamic challenges of
sales and use tax
compliance.
MACPA Legislative and
Regulatory Advocacy
What is the #1 Thing
MACPA does
for CPAs and CPA
Firms that nobody else
does?
Legislative
Advocacy
“From then on, they are
no longer isolated men,
but a power one sees
from afar, whose actions
serve as an example; a
power that speaks, and
to which one listens.”
– Alexis de Tocqueville, on the
power of Associations in Democracy
in America
3 Levels
2 Objectives
1. Offense: Pass Proactive Bills
2. Defense: Stop Bad Bills
1. Federal
2. State
3. State Board of Accountancy
Federal Laws & Regulations
State Laws
Passage of MD Mandatory Peer Review Legislation
State Board of Public Accountancy
(Licensing Issues)
Our challenge
40% turnover in legislature
Governor
Attorney General
Secretary of DLLR
Key Committees
3 House
• Economic Matters
• Ways & Means
• Judiciary
3 Senate
• Education, Health &
Environment
• Budget & Tax
• Judicial Proceedings
CPA Day in Annapolis - 1/29/15
MACPA - BLI Professional Issues Update - Spring 2015 Business & Industry Edition
MACPA - BLI Professional Issues Update - Spring 2015 Business & Industry Edition
MACPA - BLI Professional Issues Update - Spring 2015 Business & Industry Edition
MACPA - BLI Professional Issues Update - Spring 2015 Business & Industry Edition
Our 2015 MD agenda
1. Appeal Bond Reform
2. Expanded definition of attest
3. Build new relationships with legislators
1. Stop Sales Taxes on Services
2. Stop Comparative Fault by Trial Lawyers
3. Monitor 2,500 active bills in MD legislature
Numbers Count!
Defense
Offense
How we do it
1. Build and maintain Key Relationships with
legislators and regulators (PAC, meetings and
events)
2. Grassroots capabilities through membership -
we can target specific legislators by committee
and district
3. Financial support of key legislators via our PAC
4. High profile events that increase visibility of
CPA Profession (CPA Day for legislators and
Swearing-in for DLLR/State Board)
Your career, forward, faster.
MACPA - BLI Professional Issues Update - Spring 2015 Business & Industry Edition
MACPA - BLI Professional Issues Update - Spring 2015 Business & Industry Edition
CGMA Competency Framework
MACPA Upcoming Events
MACPA - BLI Professional Issues Update - Spring 2015 Business & Industry Edition
Innovation Summit 2015
June 23, 2015
Leadership Academy
MACPA - BLI Professional Issues Update - Spring 2015 Business & Industry Edition
Summary of MACPA Today
Lighting the Way for the Shift Change
Command &
ControlEpisodic &
PassiveSystems of Record
A place you go
Connect & Collaborate
JIT & Participative
Systems of Engagement
What you do
Hierarchy
Transactional
On-Premise – CustomizedRigid, Cube farmsGeneration Gap
Network
Transformational
SMAC – Social Mobile Analytics Cloud
Open, Collaborative, Flexible
Generation Lap
Senator
Feldman said
Maryland is the
best state in the
nation to have
your CPA
license.
The Next Chair of the AICPA
Kimberly Ellison-Taylor
MACPA - BLI Professional Issues Update - Spring 2015 Business & Industry Edition
“Tom Hood and
MACPA makes
every CPA kinda
wish they were
licensed in
Maryland.”
–
Greg Kyte, CPA, Utah
and Accounting Today
Top 100 Influencer
MACPA - BLI Professional Issues Update - Spring 2015 Business & Industry Edition
Learning
1.Social
2.Mobile/Nano
3.Cloud
4.Collaborative (MBSN)
5.Competency-based
MACPA - BLI Professional Issues Update - Spring 2015 Business & Industry Edition
Tom’s Favorite Tools
“Use the tools, don’t let the
tools use you.” 

– Francine McKenna
@retheauditors
• Twitter
• Linked-In
• Blog
• Slideshare.net
• Evernote
• Tweetdeck.com
• Hootsuite.com
• Zite.com
• Kindle
Our Digital Transformation Strategy
1. Digitization & workflow –shifting
resources and systems to growth
areas
2. Virtualization – Moving IT
infrastructure to cloud
3. Transformation to cloud – Increase
use of existing systems of
engagement
4. Transformation to cloud – New
cloud based systems –
accounting
5. Transformation to cloud – Move
AMS and MACPA website
We identified three major goals for making this shift:
1. Help employees identify and address the challenges and opportunities that have the greate
impact on the business.
2. Help employees strengthen high-impact connections by enabling them to collaborate easily
with others inside and outside the organization.
3. Amplify the impact of those efforts by building an infrastructure that allows small
improvements to scale easily across the organization.
MACPA - BLI Professional Issues Update - Spring 2015 Business & Industry Edition
Membership
Organization
1
Lookout Point
2
Laws, Regulations,
& Standards
3
Membership
Organization
4
L > C2
L>C2
“In a period of rapid change and increasing
complexity, the winners are going to be the people
who can LEARN faster than the rate of CHANGE
and faster than their COMPETITION.”
- Tom Hood, CPA.CITP.CGMA
92% of CPAs
are
NOT
Future Ready!
Future Ready is the
capacity to be aware,
predictive, and adaptive
of emerging challenges,
tech innovations, and
trends and changes in
business, population,
and social environment.
Source: CPA.COM 2014 CPA of the Future Study
How Extraordinary Leaders Double Profits
Competencies – Research & Examples
MACPA - BLI Professional Issues Update - Spring 2015 Business & Industry Edition
“The hard stuff is soft and the soft stuff is hard.”
–Tom Peters
Interestingly enough, there is one
pivotal competency that is most
powerful in distinguishing the top
10th percentile from the rest:
inspiring and motivating others to
high performance.
MACPA - BLI Professional Issues Update - Spring 2015 Business & Industry Edition
Anticipation: The Missing Competency
MACPA - BLI Professional Issues Update - Spring 2015 Business & Industry Edition
Strategic Thinking
External Awareness
Vision
Continuous Learning
Innovation
Creativity
Problem Solving
Prioritization
Business Acumen
Decisiveness
Influencing/Persuading
Emotional Intelligence
Consensus Building
Collaboration
Inspiration
Risk Management
Anticipatory Organization:
Finance / Accounting Edition
“Leadership
and learning
are
indispensable
to each other.”
- JFK
L>C2
Why CPAs?
MACPA - BLI Professional Issues Update - Spring 2015 Business & Industry Edition
Thank You for Coming
Tom$Hood,$CPA.CITP$
CEO$
Maryland$Associa8on$of$CPAs$
Business$Learning$Ins8tute$
(443)$632F2301$
EFmail$tom@macpa.org$
Web$hNp://www.macpa.org$
hNp://www.blionline.org$
Blog$hNp://www.cpasuccess.com$
$

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