First, we begin with a side-by-side comparison the two models, which clearly highlights the differences and lays out the benefits.
Comparison of Compliance and VAS Delivery
This side by side clearly highlights differences between the two models:
|COMPLIANCE MODEL||VAS DELIVERY MODEL|
|Pricing Strategy||Time based||Price set by Value delivered to Client|
|Product Strategy||Menu of Services based on past jobs||Packages and Products|
|Value communicated to Client by…||Justifying time spent||Delivering value to client based on outcomes & results|
|Benefits communicated to Client||Tax savings, compliance with regulations||Wealth, abundance and flexibility|
|Time Focus||Past Numbers||Future goals and solutions|
|Delivery||Do and charge or Charge and do||Packages and products delivered as per System and Processors related to packages and products|
|Partner Roles||Manager of teams||Client & practice strategist|
||Delivering results for clients on value add work only 40-50%Firm strategy & mentoring team 50-60%|
|Team Roles||GeneralistsAccountants spending too much time as processors or glorified bookkeepers||Specific designed functions that match packages and productsReviewers, analysts, and solution providersBookkeepers and Outsourcing employed to process|
|Team Experience||Predictable low level job responsibilities, limited room for professional development & high need to justify time spent on billable hours||Efficient job management, clear role responsibilities & greater scope for professional development as opportunity seekers for the firm|
Where does your firm sit?
The gap between each model is a sliding scale. Pinpointing where your firms sits on the scale highlights the areas requiring attention to increase the rate of growth.
This tool works works for firms across the industry, from those who are traditional compliance based firms who have not yet begun the restructure, to those who are midway and looking for the next area to refine, right through to those who have already completed several cycles of evolution.
Now rank your firm’s current position on the scale between Compliance and VAS Delivery
|Compliance Model||Scale||VAS Delivery Model|
|Pricing Strategy||Time based||1 2 3 4 5||Value and maket based|
|Product Strategy||List of Services||1 2 3 4 5||Packages and Products|
|Value communicated to Client by…||Hourly billing||1 2 3 4 5||Package and product prices|
|Benefits communicated to Client||Savings||1 2 3 4 5||Wealth and flexibility|
|Time Focus||Past Numbers||1 2 3 4 5||Future goals and solutions|
|Delivery||Do and charge||1 2 3 4 5||System, Processors and Tools|
|Partner Roles||Team and client Manager||1 2 3 4 5||Strategist and Mentor|
||1 2 3 4 5||
|Team Roles||GeneralistProcessors||1 2 3 4 5||Reviewers, analysts, and solution providers|
|Team Experience||Preditable low level job responsibilities, limited room for professional development and high need to justify time spent on billable hours||1 2 3 4 5||Efficient job management, clear role responsibilities & greater scope for professional development as opportunity seekers for the firm|
||1 2 3 4 5||
I now use a very similar tool in my Practice Accelerator diagnostic process. But I know from past experience in practice how hard it can be to rate the firm objectively, especially when requiring delicate conversation with Team members about their job satisfaction.
This tool can enable a quick check in for individual partners. If you’d like help conducting a full survey, you can book yourself a chat with me.