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PODCAST: Master the evolving business model

Written on Apr 7, 2022

By Jessica Salerno-Shumaker, OSCPA senior content manager 

Running a thriving business is great, but it shouldn’t stop CPAs from looking into the future.   

“COVID has really stretched the CPA community,” said Sumit Mahajan, Global Chief Sales Officer at DataMatics Business Solutions, Inc. “And as I talk to leaders, what I see more is so many companies are working for today at the cost of tomorrow.” 

Mahajan joined The State of Business podcast to discuss how CPA firms can evolve. He said leaders must think globally but act locally to ensure scalability in their business. 

Mahajan said DataMatics asked CPA firms last year about their top challenges, and the results showed the talent crunch, the pandemic-related increase in work, and trying to create efficient processes as firms’ top pain points.  

Clients expect better service, he said, and oftentimes now at a faster rate. To keep up with client demands and a tough business environment Mahajan said it’s crucial to think globally and consider what resources are available to leverage outside of the immediate area. 

“I think smart companies are able to use this global operating model to have their consultants create stickiness and evolve into trusted advisors,” he said. “This way they are elevating their status with the clients.” 

The global aspect was already beginning to increase in popularity, but Mahajan said the pandemic accelerated that. And while some companies might shy away from the idea of outsourcing or using automated bots to focus on becoming better advisors, he said there is opportunity for those who embrace this mindset. 

“As you scale up, you don't have to double your workforce,” he said. “Because the time a bot takes to do one transaction is the same time it takes a person to do practically 10 transactions. The thought process here is to use a global talent pool that will give you a workforce where you are in total control.” 

COVID has changed working remotely, but Mahajan said businesses shouldn’t wait for another life-altering event to adapt their business model. 

“I think now it is a case where companies are still trying to figure out how can they make this model work to deliver business value,” he said. “My two cents to leaders is you have to try it out. Because if you don't try it out, this could be a costly business mistake.”