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 WebTrust^SM 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.