Soft skills and analytical skills are key for new hires, say experienced CPAs

In recent years, data analytics skills have become increasingly important for accountants. But an often-overlooked competency is equally important: soft skills. As many experienced CPAs relate, the accounting profession is built on relationships. And strong relationships are often forged through soft skills, including effective communication.

For Dennis Sherrin, CPA, CGMA, CEO and strategic consultant, Avizo Group, the importance of communication can’t be overstated. “Our profession is all about people. If you are a CPA … you are working with people every day.” As such, Sherrin insisted that accounting students “should seek opportunities to expand human interaction” as they prepare for their career.

CPAs need to utilize soft skills from day one

The importance of communication aligns with data in a recent AICPA poll in which 99% of firms said that soft skills was a valuable competency area for new graduate hires.

To hone their soft skills, while gaining valuable experience, Lisa DeVaughn Foley, CPA, managing member, Baldwin CPAs, PLLC, asserted that students should focus on networking opportunities, including joining student organizations and pursuing internships.

“You can’t build people skills from behind a desk … put yourself out there,” she said of learning how to communicate effectively with people in a business setting.

Nicole Davis, CPA, founder and principal, Butler-Davis Tax & Accounting, LLC, noted that students can close the skills gap by taking communication courses, including public speaking and creative writing.

"You’re going to utilize the skills you learn in those classes from day one,” she said, adding that these skills will be beneficial when working with clients one-on-one.

Sherrin said that accounting students also need to learn how to be empathetic. “Having more empathy in their conversations and in how they listen will help them” to gather information that helps clients help themselves, he stated.

Similarly, Jamey Carroll, CPA, member, BMSS, believes that empathetic listening can set young accountants up for success by helping them read between the lines. It’s “being able to understand that a client said something, so we need to think about it and take a deeper dive,” he said.

Data Analytics Skills Help New CPAs See the Big Picture

In addition to soft skills, new graduate hires must be proficient in data analysis. As reported in the recent AICPA poll, 99% of firms saw value in new accountants acquiring data analytics skills and 87% of firms said that advanced analytics skills, such as data mining and visualization and predictive analytics, were valuable for new hires.

Carroll noted that his firm looks for students who can think analytically, rather than simply having the skill set to work on audit procedures and input numbers into a tax return.

“We need students who can see the big picture,” Carroll said. “They need to have skill set to see the forest through the tress.” that don’t see the forest for the trees.”

Likewise, Foley emphasized the importance of analytical skills. ”We are always looking for staff who can take data and bring it down to fact points for a client,” she said.

The Evolving Role of the CPA

The value of analytical skills and soft skills will only continue to increase as accountants’ roles expand in the coming years. “We are evolving into that role of advisor and consultant, as opposed to just being compliance driven,” Carroll said.

Thus, Foley feels that strong communication skills are essential for strategic advisors. “We are not in a numbers business, we are in a people business,” she said. “We have to build relationships and trust, so having great communication skills and listening skills really helps build a successful client relationship.”

According to Carroll, new accountants should also be prepared to develop a variety of analytical skills. “The skill set needed is the ability to work with data and information, advise clients on numbers and trends, and how a client’s company compares to other companies in their industry,” he said.

Carroll added that clients have played a big part in the shift in accountants’ roles. “They feel like they want and need more,” he said. “From our stance, we try to take a deep dive into their company … and advise them from a standpoint of ‘what are you doing well?’”

All of this reflects why new graduate hires need to sharpen their soft skills and analytical skills as they prepare to enter the accounting profession.

Skills firms viewed as valuable for new graduate hires, per the recent AICPA poll:

• Soft skills (99%)
• Data analysis, tools & techniques (99%)
• Advance analytics (87%)
• Advanced taxation (83%)
• Technical research (83%)
• Information security, confidentiality, and privacy (78%)
• Information systems and data management (77%)
• Advanced accounting (72%)
• System and Organization Controls (SOC) engagements (55%)
• Governmental accounting and auditing (52%)
• Personal financial planning (48%)