Stepping Into the IT Domain
As a CPA with a career focused on information
technology (IT), there is a question that I have tried hard to
answer for some time now: "What are the IT services that CPAs can
really provide?" The quick answer is, "There are many IT
and IT-related services that are well-suited for CPAs."
To a large degree, I believe that this is true. I
also know that some of these services can be difficult to perform
successfully. In order to provide certain IT services, CPAs should
take a hard look at the qualifications that they possess. The scope
of knowledge that is required to provide excellent service can be
considerable.
IT Services -- A Natural Fit
There are attributes that are commonly used to
characterize both IT professionals and accountants. Typically,
individuals who are well-organized, disciplined, and detail-oriented
can be found in both fields. Both fields usually attract persons who
have good deductive reasoning skills and are comfortable with the
application of mathematics as a part of their problem-solving
skills. These persons can be very systematic in their approach to
solving complex problems.
Individuals who possess good management and
communication skills are valuable in all professions, but these
skills are especially critical to the success of IT projects. CPAs
who may be considering offering IT services that include consulting,
software development, application hosting, business process
reengineering, IT assurance, or systems integration, should consider
their project management skills carefully. This is especially true
for non-technical managers who expect to lead a project team whose
members possess considerable technical skills.
What Do CPAs Need to Know about IT?
The criteria for determining a CPA's proficiency
in IT depend upon the types of services that the CPA or firm is
considering offering. An individual or firm might consider offering
IT services that range anywhere from electronic bookkeeping to
enterprise-wide technology consulting.
Many CPAs are comfortable working with leading
edge technologies. For example, auditors who work with corporate
Information Services (IS) organizations have to have considerable IT
skills in order to evaluate the quality of these organizations'
controls. These skills may be transferable to a WebTrustSM
engagement in which a CPA provides IT assurance services. CPAs in
industry who work closely with large enterprise systems might
consider offering these skills as an independent consultant. The
bottom line is accountants should be reasonable in evaluating their
skills and how they can be used in providing IT-related services.
Some types of IT engagements will require highly specialized skills
that can only be developed through considerable training and
experience.
A CPA's knowledge of complex business processes
is certainly one factor to consider when deciding whether or not to
perform IT- related services. This knowledge is important in
evaluating the logical design of a business-related system or
application. Business process reengineering projects, for instance,
are usually based upon the need to redesign an antiquated or
ineffective process. A thorough understanding of how the process
should work could reduce costs and the time required to implement a
solution. Business knowledge, however, should not be the primary
factor when making the decision to offer IT-related services. It is
easy to get in over one's head without the requisite IT knowledge
and skills.
How do CPAs get the knowledge that they need?
Everyone knows that the learning curve for information
technology-based products can be extremely challenging. It is also
well known that change occurs rapidly in fields related to
information technology. CPAs who want to perform high-level services
such as enterprise technology consulting should be prepared to
commit to an on-going regimen of training in both technical and
non-technical subjects for themselves and/or their staff. Due to the
volume of available training programs and material related to IT, it
can be difficult to sort through them all. Good research and focus
will help to build a relevant and comprehensive body of knowledge.
IT Accreditation
The AICPA's Certified Information Technology
Professional (CITP) designation is a great opportunity for CPAs to
develop a significant role in bridging the gap between IT and
business. The CITP Handbook lists eight areas
of business experience in which CPAs may earn points towards
fulfillment of the CITP designation requirements. These also
represent areas of knowledge that are tested on the CITP exam.
- Information Technology Strategic Planning
- Information Systems Management
- Systems Architecture
- Business Applications and E-Business
- Security, Privacy and Contingency Planning
- System Development, Acquisition, and Project
Management
- Systems Auditing/Internal Control
- Databases and Data Base Management
The AICPA has done an excellent job of
identifying those areas where CPAs can provide real value. CPAs who
have developed their knowledge of IT or who are interested in an
IT-focused career should consider pursuing the CITP designation.
This designation represents the profession's commitment to enhancing
the quality of IT services that CPAs offer to the public.
Editor's Note: Kenneth P. Quirk,
CITP.CPA, MBA, MCP is a member of the LCPA's Technology Task Force.
He received the AICPA Innovative User of Technology Award in 1999.
Download the
CITP Handbook
CPAs . . . Making sense of a
changing and complex world.