How Accounting Can Win the Talent War

In the accounting and finance profession, we often emphasise the need for new skills and competencies. These include sustainable business management, cyber risk mitigation, supply chain management, and, of course, the ability to navigate the rapidly developing technology of artificial intelligence and its impact on the future of work. However, an all-encompassing dual challenge looms over these concerns: the shortage of accountants and the difficulty in training those who are already in the field.

Indeed, the talent shortage is very much the "specter haunting the profession." This issue has been acknowledged and quantified for some time; the U.S. alone is missing 340,000 accountants, forcing firms to recruit abroad. Yet, this is not the only issue when it comes to talent and development. While the overall demand for accountants surges, those currently in the field often lack the new skills needed to survive and thrive, particularly in the realm of technology. This mismatch reveals a gap between the demand for talent and the need for upskilling and ongoing education among professionals. Unfortunately, many leaders in companies and accounting firms recognise the skills of the future but aren't doing enough to meet professionals where they currently are in terms of training and education. 

It's up to senior leaders, in collaboration with professional associations, educators, and ed-tech solutions, to provide the proactive framework needed to keep accountants updated and equipped with an evolving skill set. So, what are the solutions to this dual challenge? 

First, we must provide professionals with the resources they need at any stage of their careers, from new students to senior leaders. Across every profession and industry, there's a shift from viewing a four-year college degree as the endpoint of education to embracing lifelong learning. As technology and the business environment evolve almost exponentially, this will become increasingly important as more people find their existing skills outdated. Accountants possess the fundamental mindset and abilities to adapt, provided they receive the necessary resources and support.

Resources for continual education include specialised certificate programmes, courses, and webinars that teach professionals new competencies aligned with changing methods and technologies. While individuals in accounting should make their own investments in these resources, companies, accounting firms, and senior leaders must take the initiative to address their talent bottlenecks. Partnering with professional associations and educators is crucial, as they understand the rapidly evolving landscape of in-demand skills.

A prime example is a recent initiative launched by my organisation, IMA. Our corporate membership programme offers companies access not only to our flagship CMA (Certified Management Accountant) certification, but also to a catalog of certificates, courses, webinars, and research aimed at building proficiencies in core and supplementary areas of accounting and finance, including cybersecurity, sustainable business management, and data analytics. The key aspect of such programmes is tailoring ongoing education to the needs, capabilities, and current career levels of each finance professional—meeting them where they are rather than assuming they will get there on their own. Our data shows a 21% increase in retention rates for professionals completing an in-house CMA programme, highlighting the business benefits of investing in training and upskilling.

But we circle back to the challenge of there not being enough accountants to begin with. How do we address that? A greater investment in ongoing education may improve these numbers through higher retention—and the global applicability of certifications and certificates like IMA’s can unlock new talent pools in emerging economies where companies are increasingly looking for talent. However, a more innovative approach involves knocking down entry barriers to allow individuals with diverse backgrounds, credentials, and skills to learn the fundamentals of accounting.

This logic underpins IMA's most recent certification, the FMAA (Financial and Managerial Accounting Associate). It provides the basics of financial and managerial accounting without requiring any prerequisites, addressing the most urgent and basic talent shortages in the field while potentially attracting individuals from fields like technology. The FMAA is not designed to equip anyone with the skills of a lifelong accountant, but it does offer a lifeline for organisations in need of talent at the entry level in the short term, and an alternative pathway to an accounting career in the long run.

Talent and development will remain the most pressing issues facing the accounting and finance profession in the years to come. However, the pessimists don’t have to be right; we can invest in education, upskilling, and recruitment from outside our field to secure the future of the profession.

Main image credit: MR.Cole_Photographer / Getty Images