Mentoring With Meaning

Informal or formal, modern- day mentorship can make a world of difference in recruiting and retaining accounting and finance professionals

BY ANNIE MUELLER

My first day in the office at my first job was my first time in a corporate environment,” says Kari Natale, CAE, director of Planning & Governance for the Illinois CPA Society and director of the CPA Endowment Fund of Illinois. Like many young professionals first entering the business world, Natale comes from a family with limited business experience, and she lacked real-world corporate experience at the onset of her professional life. What has kept her engaged and advancing well into her career has been a series of pivotal relationships, relationships that evolved because, as she says, “Somebody saw potential in me ”

“These people helped me navigate my way through the corporate world, the cultures, the projects, and how to work better with team members,” she explains Today, Natale, who also leads the nationally acclaimed Mary T. Washington Wylie Internship Preparation Program for deserving and high-potential minority accounting students, thinks seeing and nurturing the potential in young professionals is exactly what the accounting and finance profession needs to focus on.

Why? “Recruiting and retaining new employees” was again ranked as one of the biggest concerns for large (71 percent) and mid-size (36 percent) accounting firms when surveyed this year by Accounting Today And for young professionals entering the competitive and stressful accounting and finance industry, outside of a short internship, they often lack real-world corporate experience And we all know a lack of experience can lead to drastic decisions and more retention challenges “If you hit a roadblock, if something’s not working, you look for something different, something better,” Natale says Millennials and Gen Z employees are particularly guilty of this, but it doesn’t have to be that way

The Workplace Institute’s 2017 Retention Report found that up to 75 percent of the causes of turnover, such as issues with career development, work-life balance, and wellbeing, are preventable.

“I didn’t leave when I got frustrated, because I had somebody to talk me through each roadblock and I worked through those things rather than jumping ship,” Natale says, suggesting that both informal and formal relationships that provide perspective and experience to young professionals can be one of the greatest means of turnover prevention.

Formally Flawed

“Empirically, we know that formal mentoring helps,” says Wendy Murphy, an associate professor of management at Babson College and author of “Strategic Relationships at Work.” “We’re seeing results in terms of performance and job satisfaction, which lead to lower rates of turnover, for example.”

But despite the decades of research and attention given to formal mentorship, Accounting Today found only about 25 percent of firms had a mentorship program in place in 2015 Meaning, there’s a disconnect: it’s known that mentorship can reduce turnover but it’s not being broadly used. Even research by Big Four accounting firm Deloitte has documented this in the business world: Employees who intend to stay with their organizations for more than five years are twice as likely to have a mentor, according to Deloitte’s 2016 Millennial Survey. Following up, Deloitte’s 2018 Millennial Survey reported that 73 percent of millennial and Gen Z employees with similar loyalty to their organizations see them as strong providers of training and development

So, why then do so many organizations neglect mentoring altogether or shrug it off as a failed effort if immediate results aren’t seen?

Perhaps it’s the effort needed Mentoring must be implemented thoughtfully and consistently to make a difference It’s not enough for companies to plop a program in place or depend on the one they already have and expect it to catalyze cultural change

“I was in a formal, matched program in the past, matched with a mentor who wasn’t a good fit. It was uncomfortable and broke off before any progress was made,” Natale shares. “I really owe my current success to my informal mentor. He reached out to me and helped guide me through real issues I was facing ”

The informal success isn’t surprising to Murphy “The challenge is when you look at informal mentoring, the effect is even better,” she confirms

Informally Yours

Informal mentorship is based on a natural connection; because it’s voluntary, it’s often more effective than formal mentor matches Formality itself, however, isn’t the issue

“It doesn’t matter whether the relationship is naturally formed or established through a formal mentoring program,” argues Mani Goulding, a retired CPA turned founder of HR consultancy Career Passion Limited “The benefits derived from the program have a lot to do with the commitment of both the mentor and mentee to the success of the relationship, and that both see the value in participating in the program ”

Consider the experience of Lauren Crain a young digital marketing professional who tried initiating an informal mentoring relationship which continued over email for several months “Since I initiated it, I felt like I was always bothering her,” Crain says “I began emailing less, wondering if she’d try to keep in touch When she didn’t, I allowed that to confirm my suspicions, and now we no longer talk ” For Crain, the lack of structure created insecurity but when combined with lack of commitment, the relationship disintegrated

Structure is going to be foundational for companies looking to rein in retention and succession challenges through mentoring. As a

2016 Harvard Business Review study found, lack of structure also makes mentoring less effective in dismantling diversity issues, another challenging topic the accounting and finance profession is struggling to navigate “We tend to want to help people who are exactly like us," Murphy explains, "which is not helpful from a diversity perspective ” Structure is a bridge leading people over bias and insecurity, into diverse and beneficial connections at work and beyond.

In moving the needle forward on modern-day mentoring, Murphy suggests organizations and their leaders focus in from a different perspective: “Who are the people who are going to be helpful in your career?”

“It’s not always about finding a perfect mentor, but about seeing the opportunities for developmental relationships everywhere. ‘Developmental network’ is the academic term we use,” Murphy says “It works best when it comes from a variety of sources It’s hard for any one person to provide all of the support ”

In fact, Accounting Today says many of the professionals named to their Top 100 Most Influential People in Accounting list not only had one mentor, but had two, three, or more

On that note, Goulding advises young professionals to approach people on a career trajectory they would like to emulate Don’t ask for open-ended, general career help, though Instead, young professionals should “ask for help with specific career issues over a defined period of time,” Goulding suggests

Benefits Abound

Mentorship is often seen as one-way, with benefits flowing from the more experienced half of the relationship to the younger protégé That’s an inaccurate picture “It is a co-learning relationship, no matter how you frame it,” Murphy stresses Offering one example, she says, “People who are new to the organization can see things that others don’t They can ask good questions about issues that others don’t notice anymore ”

What’s more, wise leaders will create and nurture a developmental culture so that everyone can benefit Senior individuals should lead by example: putting time into their own developmental network and guiding their direct reports to do the same, whether through informal mentoring and coaching or formal organization-wide initiatives But accountability is key

“Any organization can come up with a scheme to ensure mentorship happens, but if they’re not holding people accountable, it won’t necessarily be taken up by everyone,” Murphy cautions Accountability makes a basic requirement of people put time into development but leaves them autonomy over how it’s done Over time, organizations can add more structure if needed, such as specific training or goals, to make developmental relationships more efficient and valuable “Giving people clear guidance and training on what they’re doing will help them,” Murphy says.

“I see promising people leave the profession too soon,” Natale says “If they had somebody to talk through their challenges with like me, they might not have made that same decision.”

Those one-on-one relationships are like pebbles dropped in the pond: the benefits ripple outward, from individual to organization to industry.

How to Rise Through the Ranks as a Woman in Finance

By ClaRe FiTzgeRald

For the first time, women hold the top U.S. posts at three of the Big Four accounting firms. lynne doughtie, U.S. chairman and CeO of KPMg; Cathy engelbert, CeO at deloitte; and Kelly grier, U.S. chairman and americas managing partner at ey, prove that women finally are ascending to the uppermost levels of leadership in the accounting and finance profession. and yet despite encouraging progress gender equality in the executive ranks is still frustratingly stagnant for the accounting and finance industry as a whole.

Women represent just 22 percent of partners in CPa firms, according to the aiCPa Women’s initiatives executive Committee’s 2017 CPa Firm gender Survey Corporate numbers are similarly discouraging W ith indra Nooyi’s recent departure from PepsiCo, the number of female CeOs in the S&P 500 has dropped to a mere 23 Only two of those companies gM and Hershey’s have both a female CeO and CFO Not exactly glass-shattering numbers But women who have ascended into the partner and C-suite ranks, and those who are steadily climbing and aspiring to reach those levels, are optimistic about their ability to continue breaking barriers

Today, there are simply more women in the pipeline More women are graduating from college with accounting and finance degrees, and a growing percentage of women are serving as directors and non-equity partners, according to the aiCPa There’s rarely just one woman in the room anymore “We’re definitely seeing more regional and national female leaders,” says Roxanne Chow, CPa, a senior manager at ey in Chicago, adding that she sees women in higher-level roles among her clients too

Conscious and unconscious biases that have previously reinforced the glass ceiling also seem to be diminishing just not at the hoped-for pace. “in everyday interactions, you still notice a little bit of bias,” says Chow, a recipient of the illinois CPa Society’s 2018 Women to Watch emerging leader award “Women still have to prove themselves a little bit more, but there’s definitely more awareness about biases today, and companies are working harder to engage women ” encouraging more women to stay in the profession and make that last push when the incline is steepest as families often grow and work responsibilities multiply remains a major challenge for the industry. But the women who have reached the summit want up-and-comers to know that the climb doesn’t have to be the Mt everest-like expedition they imagine Organizational and institutional support, a bold mindset, and a willingness to push through barriers can get you there. and according to the accomplished women quoted in this article, the view from the top is worth the effort

it’s in the Culture

although the accounting and finance industry has come a long way in terms of women’s initiatives, more communication about gender equality and workplace roadblocks is still needed, according to Kristen Fitzpatrick, CPa, managing principal at deerfield, ill -based Miller Cooper & Co. “gender should never dictate or change anyone’s aspirations, so it’s critical that we continue to talk about solutions and find ways for women to advance,” she says, noting that any forum where women can gather to share experiences is helpful illinois CPa Society Women’s leadership Forum keynote speaker Kristi Ross, co-CeO and president of Chicagobased online trading and financial news network tastytrade, adds that men must also be included in those conversations “if men are not participating, the initiatives are only half as effective,” she cautions. “gender equality is a two-way street ”

“Some organizations still have a boys’ club mentality despite the diversity initiatives if leaders at the top aren’t truly invested, then women’s acceleration is hindered,” adds Rebekuh eley, tax managing director at BKd CPas & advisors in Oak Brook, ill. She stresses that “a commitment to promoting women and offering equal opportunities has to be ingrained in the culture ”

Mentors Make It

Both informal and formal advancement and mentoring programs also are important in helping women develop skills and encourage their career aspirations For Fitzpatrick, mentors and role models were key to her success a role she now tries to fulfill for her junior employees

“assumptions and perceptions are often different than reality, which is why we need to be transparent,” she says “When we talk and share experiences, we learn how other people climbed the mountain ” eley also points out that women need to make a conscious effort to help other women who are working their way up. “Women in upper-level ranks need to be doing more to help the young superstars,” she says, adding that sometimes women must set aside jealousies or other feelings that prevent them from building up younger women

On the same note, Jackie Rosenfeldt, CPa, partner at grant Thor nton in Chicago and recipient of the illinois CPa Society’s 2018 Women to Watch experienced leader award, says, “you have to be willing to open up and share to forge bonds and build the relationships that will provide the support you need.”

“Building relationships with the right people will open doors you didn’t know were there,” Ross adds “Be curious and show interest, ask a lot of genuine questions, display a positive attitude, and be appreciative of the time someone gives you to share what they know.”

T ime Is Time

although household duties are increasingly being shared, women still shoulder much of the home and child responsibilities Meaning, flexible work arrangements are a critical benefit for attracting and retaining many women in the workplace The good news is 89 percent of the firms surveyed in the aiCPa’s gender survey had one or more types of modified work arrangements The bad news is flextime still carries a stigma.

“We still hear about cases in the industry where C-level executives associate flextime with being less committed or driven,” says amanda Pictor, CPa, accounting services senior manager at Marcum llP in deerfield "it is important women seek out companies whose management doesn’t share this mindset ”

While companies need to address those biases, women shouldn’t skip out on opportunities to be creative with their schedules Part of the solution is having leaders speak with their staff about flexibility. When Fitzpatrick talks with new parents, for example, she counsels them on how to integrate flexibility options into their lives “People don’t always know how to plug into flexibility We ask them to be creative and to tell us what their ideal situation would be. Then we see how we can get as close to that as possible,” she explains “We want people to stay with our firm for a long time We know that people leave if the sacrifice is too great So, we take a long-term perspective, because we know that if you’re only looking at billable hours or shortterm metrics, then you can make bad decisions or create a culture that doesn’t lend itself to retention ”

That said, eley notes that women need to have realistic expectations about work-life balance “if you aren’t working as many hours as your male counterpart, then your value is different, and your career isn’t going to advance at the same rate,” she says “But there are ways to make it work and move up the executive ranks.” She suggests making those around you aware of your schedule, so they understand why a late-night or early-morning meeting, for example, won’t work

Women also need to assess whether a company’s culture fits with their goals and values. “if the bosses want to see you at your desk from 8 a m to 10 p m every day, then the environment might not work for you,” Rosenfeldt says “But more organizations are operating under the idea that if the client is happy, it doesn’t matter where, when, or how you get your work done you can find more flexibility in that type of culture, but opportunities also exist to be a trailblazer and initiate change in a more traditional culture it might be harder, and you need to be ready to fight for it, but if you think you can do it, you probably can Companies don’t want to lose good people Benefits and policies can be adjusted to people’s needs.”

Staking Your Claim

Taking advantage of organizational support to advance in your career is one thing, having the personal drive and willingness to push through external and internal barriers is another Facebook COO Sheryl Sandberg might have called it leaning in; others call it resilience, persistence, and boldness

“i was blessed to work with an individual who taught me how to be resilient,” Rosenfeldt says “Women tend to dwell on things i lear ned not to try to interpret or assume anything about what other people say or do When you’re in a doom loop in your head, figure out who on your team can help deconstruct what’s going on when the job gets tough and find ways to work through it ”

Fitzpatrick’s sense of determination also played a large role in her success “What you focus on becomes reality,” she says “Rather than focus on the barriers, i always focused on the progress i was making it takes determination and drive to continue moving up.” in other words, don’t let doubt drive you off course or prevent you from pursuing new opportunities There’s an often-quoted statistic that men will apply for a job when they meet only 60 percent of the qualifications, but women apply only if they meet 100 percent of them. “We can be our own worst enemies when we think we can’t do something,” Rosenfeldt says “Women are usually more qualified than they think they are ”

“Opportunity doesn’t drop in your lap The initiative and drive need to come from you you have to want it,” Ross emphasizes “Be the one to raise your hand, to volunteer to take on the tough job Challenge yourself to lear n something with every choice you make ”

“Be known for something Take risks instead of staying comfortable every step forward, even if it’s not what you planned for, is a building block and a stepping stone,” eley adds She also war ns women not to fall into the trap of trying to play “nicey-nice” all the time: “don’t use your shy voice Have the mindset that says, ‘i’m at this table; i’m here for a reason, and i’m going to speak at this table ’ you can be the driver of the conversation and can command just as much presence as the men ” it’s not only you that benefits from speaking up, speaking out, and staking your claim at the business table younger women are watching and taking cues. Pictor, for example, says she gained courage from seeing other strong women express their views. Today, she credits her outspoken nature with helping to advance her to the manager level “Firms have to be willing to hear female voices, and women have to own their responsibility to speak up,” she says

Overcoming the Obstacles

Juggling personal and professional lives isn’t easy, but women in executive roles want other women to know that it is possible to be happy at work and at home

“i knew that if i wanted to be partner, it wasn’t going to be a 9-to-5 job it wouldn’t have worked for me to keep my work and family lives totally separate i had to incorporate the job into my life it’s a juggling act, but when you start doing it, you can get really good at it,” Rosenfeldt says, adding that she challenges women on her team not to leave until they’ve tried different options for balancing their work and home lives

“Some people give up before they even know what’s involved,” Fitzpatrick says, recounting her own doubts about being able to “do it all” when she had her first child as a new manager. “i was a new mom, i had a new role at work, and i wanted to be super involved in both places,” she recounts. “even with a great support system, it took a while to feel like i was doing a great job at home and at work ” Fitzpatrick took the advice of her parents, who told her not to make a rash decision about leaving her job She offers the same words of wisdom to her employees today

Pictor and her peers know they are lucky to see how the generation ahead of them made it to the senior ranks and Pictor, for one, is hopeful that with more women in the pipeline, the number of male and female partners will begin to balance out in the years ahead

“it’s definitely a changing landscape,” Chow says it seems to her that more women are coming into the profession wanting to move up and make partner and even when women have kids, firms are trying harder to retain them and keep them on the partner track On a closing note, Chow says, “at the end of the day, if you work hard, stretch yourself, and make it known you’re interested in getting promoted, the firm will help you get there.”

Dive deeper into the accounting and finance profession’s culture challenges in the 2018 INSIGHT Special Feature, “The Culture Conflicts ” Download it at www icpas org/culture