More than 300,000 accountants left the accounting profession during the past two years either to start retirement, enter a new line of work, or for other reasons according to the Bureau of Labor Statistics. As the demand for skilled accounting professionals outpaces the available talent, B2B companies must adopt proactive strategies to attract, retain, and nurture accounting talent. We will highlight how to be proactive with attraction and retention of accountants, plus how to combat having less accountants in the office but still being effective in their work.
Understanding the Accountant Shortage in B2B Companies
The accountant shortage in B2B companies is driven by a confluence of factors, including an aging workforce, rapid technological advancements, and evolving job expectations. As seasoned accountants retire, there is a gap between the demand and supply of qualified professionals. Meanwhile, the number of job openings for accountants and auditors will likely grow 4% from 2022 to 2032, on pace with the average for all occupations, according to BLS.
The talent shortage arises from a shrinking supply of qualified U.S.-based accountants. The number of U.S. students who completed a bachelor’s degree in accounting declined nearly 8% according to the Association of International Certified Professional Accountants in 2021-2022. On the other end of the talent pipeline, the American Institute of Certified Public Accountants has stated that approximately 75% of its members are eligible to retire as of 2019.
Download the AICPA 2021-2022 report here
Additionally, the integration of technology into accounting processes has transformed the skill set required for the role, making it imperative for companies to find candidates with a blend of traditional accounting knowledge and tech-savviness.
Strategies to Combat the Accountant Shortage
1. Attracting accountants in a competitive environment
Early Engagement with Educational Institutions:
B2B companies can play an active role in addressing the shortage by collaborating with educational institutions and offering to pay for some of the education. Internship programs, workshops, and career fairs create a direct pipeline of potential talent. By fostering relationships with students early on, companies can inspire interest in the accounting profession.
Flexible Work Arrangements:
In a changing work environment, offering flexible work arrangements such as remote work options and flexible hours can attract a wider pool of accounting professionals. Embracing technology to facilitate remote collaboration enables companies to tap into talent beyond their geographic location.
Upskilling and Professional Development:
Continuous learning is crucial to address the evolving demands of the accounting profession. B2B companies should invest in training programs and provide resources for accountants to obtain certifications like CPA or CMA. This not only enhances their skills but also demonstrates the company's commitment to employee growth to attract and retain talent.
Leveraging Automation and Technology:
Automation tools and accounting software such as virtual card payments can streamline routine tasks, freeing up accountants to focus on higher-value strategic work. Remove manual tasks and increase security within your AP by enrolling in a free program - Singe Payables offers one of the best! By integrating technology, companies create a more appealing work environment for tech-savvy candidates.Plus, some technology offers rebate revenue as a recurring revenue stream for the business.
Competitive Compensation and Benefits:
Attracting and retaining talent necessitates offering competitive compensation packages that reflect the value accountants bring to the company. This includes not only monetary rewards but also comprehensive benefits and opportunities for professional growth.
2. Retain and nurture talent to sustain your workforce
Internal Talent Development:
B2B companies can groom existing employees for accounting roles by offering training programs and mentorship opportunities. This approach not only minimizes the impact of the shortage but also boosts employee morale and loyalty.
Stay current with accounting trends:
The best employees want to make sure they are not only using their current skills, but also growing to maintain their competitive advantage in the industry. There is a cost in neglecting technology upgrades - just ask Southwest Airlines.
Employee Engagement and Recognition:
A positive work environment that values employee contributions and recognizes their efforts is essential. Engaged employees are more likely to stay with the company, reducing turnover and the need for constant recruitment.
For more information on Employee recognition within the Accounting Department, we break down more ideas here->
3. Strategic Allocation of Current Resources
If you are unable to fill your demand for Accountants and it is limiting your ability to continue to grow we recommend these 2 strategies to better manage the workload with less employees available.
Leverage AP automation:
By utilizing AP Automation, companies can strategically allocate their existing resources, optimizing the workforce's impact. AP Automation solutions, utilizing advanced software, automate routine tasks such as stamping/mailing, invoice matching, and approval workflows. This not only reduces the risk of human error but also frees up accountants to focus on strategic and analytical tasks that require their expertise.
Invoice Processing Services:
Outsourcing invoice processing to specialized service providers can be a valuable approach. These services offer expertise in managing invoices, from validation and data entry to reconciliation, ensuring accuracy and compliance while relieving internal resources for more strategic activities.
Conclusion
The accountant shortage presents a significant challenge for B2B companies, but with strategic planning and proactive measures, it can be navigated successfully. By adopting a multi-faceted approach that includes early engagement with educational institutions, embracing technology, offering competitive compensation, and prioritizing employee growth, B2B companies can build a sustainable and skilled accounting workforce.
In addition to these strategies, the effects of the accountant shortage can be mitigated through the efficient utilization of technology and outsourcing, reducing the need for an extensive in-house accounting team.
For more information on how to save time within the accounting department, check out Saving Time with Singe Payables or visit our website Singepayables.com.
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