How To Build Your Accounting Firm Procedures

Summary

The video discusses the challenges of implementing standardized operating procedures (SOPs) in accounting firms, especially with diverse client needs and varying work styles. It offers practical tips on how to build effective SOPs, emphasizing the use of modern tools like Loom and Scribe to simplify the process. The video also covers the importance of making SOPs client-agnostic, maintaining accountability for updates, and ensuring employees have time to develop these procedures. The host demonstrates building an SOP live, providing actionable insights for improving efficiency in accounting practices.

Takeaways

• 😀 Building effective Standard Operating Procedures (SOPs) is crucial for accounting firms to streamline processes and maintain consistency across a growing team.
• 🔧 It's time to move away from traditional methods like three-ring binders and instead utilize modern tools for creating SOPs that are easy to update and share.
• 📹 Loom is highlighted as a top video tool for creating SOPs, allowing users to record screen activities with a talking head bubble, making it simple to create video guides.
• ✍️ Scribe is recommended for text-based SOPs, capturing clicks and keystrokes to create guides with screenshots, which can be more efficient than video for repeated reference.
• 🔄 Creating client-agnostic SOPs is emphasized to ensure that procedures are applicable to multiple clients and not just tailored to a single client's needs.
• 🛠️ Encouragement to start creating SOPs without delay, with the understanding that the first versions won't be perfect and will improve over time with iteration.
• 👥 The suggestion to delegate the task of documenting SOPs to team members who show a knack for it, and then have the process owner review and finalize the documentation.
• 🔒 Accountability is key for maintaining the relevance and accuracy of SOPs, with the idea of a 'secret shopper' approach to ensure SOPs can be practically applied.
• 💼 Tying SOP maintenance to performance reviews and compensation can incentivize team members to keep them up to date and consider them as part of their job responsibilities.
• 🕒 Creating capacity for team members to build and maintain SOPs by incorporating it into their job roles and allowing time for this task within their workload.
• 🔄 The paradox that operating at less than 100% capacity can actually lead to higher output due to the time and space allowed for tasks like SOP creation and review.

Q & A

What is the main challenge in implementing standard operating procedures (SOPs) in an accounting firm?

The main challenge is the inherent diversity in the way accountants solve problems in the absence of specific instructions, which can lead to inconsistent practices even within a growing team.

What is the first tip given for building effective SOPs?

The first tip is to use modern tools instead of traditional methods like three-ring binders, which can be cumbersome and less effective.

Which tool is recommended for creating video guides for SOPs?

Loom is recommended for creating video guides, as it records the screen with a talking head bubble, making it easy to share video instructions.

What is Scribe and how does it help in creating text SOPs?

Scribe is a tool that captures all clicks and keystrokes while recording a process. It then generates a guide with screenshots, simplifying the creation of text SOPs.

Why should SOPs be made client agnostic according to the script?

SOPs should be client agnostic to ensure they are applicable to multiple clients and services, maximizing their impact and efficiency.

What is the importance of not making excuses and starting to create SOPs?

The importance lies in the iterative improvement of SOPs. The more SOPs are created, the better they become, and planning too much can lead to inaction.

How can a busy manager or boss delegate the task of creating SOPs?

They can record the process they want documented and delegate the drafting of the documentation to a team member who can then have it reviewed and finalized.

What is the role of accountability in maintaining the relevance and accuracy of SOPs?

Accountability ensures that SOPs are regularly reviewed and updated. It involves tying SOP maintenance to performance reviews and incentives.

Why is it necessary to create capacity for team members to build and maintain SOPs?

Creating capacity ensures that team members have the time and resources to effectively build and maintain SOPs, which is crucial for their ongoing relevance and quality.

What is the advantage of using a text guide over a video for SOPs in the long term?

Text guides are easier to update and allow users to quickly find specific information without having to scrub through a video, making them more efficient in the long run.

How does the script suggest using Scribe to create a text SOP for a receipt review process?

The script suggests using Scribe's Chrome extension to record the steps of the process, then cleaning up and organizing the recorded actions into a clear and concise text guide with screenshots.