Is the CPA Designation on Its Way Out?

Source: Accounting Today 

In this article, David Bergstein encourages accountants to seriously consider rebranding themselves due to the changing accounting market. Some favor the term “Certified Trusted Advisor” (CTA). Bergstein prefers “Chartered Global Management Accountant” (CGMA) to refer to accountants who provide non-auditing services.

CGMAs are known for business, tech, people, and leadership skills. And Bergstein points out that the title includes the term “accountant” while still allowing room for positioning as a trusted advisor. In addition, in October 2015, the Governing Council of the American Institute of CPAs passed a resolution that could enable more people to qualify for the CGMA designation.

Bergstein believes that marketing is critical to helping the public understand what CPAs can provide, but that a change in designation would be very helpful. He suggests that it might be time to actually redefine the word “accountant,” due to the significant changes to the role.

Because technology now automates much of the accounting function, accountants are increasingly offering advisory and strategic services. For that reason, Bergstein suggests that accountants present their lead service as “business advisory” or “consulting.” Many forward-thinking firms already put this emphasis in their marketing.

Ultimately, Bergstein believes it is time for a more comprehensive definition of a CPA — one that encompasses traditional accounting skills as well as modern accounting advisory and consulting services.

For the complete article, read “CPA, CGMA or CTA: It's Time to Rebrand.”

From Accounting Today, December 27, 2015, www.accountingtoday.com.