Time was, to be a CPA in Illinois meant membership in a generally complacent, genteel profession. Both state law and the industry's own code of ethics prohibited advertising, client-raiding and other competitive business practices. All that existed was the audit, write-up and tax. Accounting firms enjoyed a lifetime relationship with clients.

But the restrictions are gone .. and so are the old-line clients that vanished with the collapse of heavy manufacturing industries in America's Rust Belt. Now, new technology and a new economy rule a profession that competes for quality candidates in a job market offering numerous, more exciting alternatives for financial professionals. These aren't merely changes, they're a revolution for CPAs, said Steve Siegel, managing member of Lipschultz, Levin and Gray, L.L.C., (LLG) in the Chicago suburb of Northbrook.

Advent of Technology
By changing with the times, Steve says LLG and other CPA firms are taking on new kinds of clients, trading new services for old ones, and even abandoning dated hierarchical structures while trying to shed an often unfavorable image.

The advent of technology is part of the story. "Technology has taken away a lot of work accountants traditionally provided. Bookkeeping, for example, is no longer a big part of individual tax returns. Computer programs like Peachtree and TurboTax have reduced that role significantly," says Steve.

"Accounting used to be non-capital intensive. CPAs typically sat at an old desk and a chair, and relied on manual input of various returns and reports. Now, we need updated computers and software, as well as Internet access."

But technology also has been LLG's salvation, and their client list reflects the times. They've added high tech industries to their capabilities, including Internet service providers, and creative types such as graphic designers.

"A CPA's job today - at LLG and in general - is in helping people grow their business, taking a holistic approach through experience gained from working with many businesses," says Steve. "That includes building computer-based business systems."

LLG, Heal Thyself
Steve is a senior member in a firm where recent history is a microcosm of the accounting profession. When he joined as a fresh college grad in 1974 (part-time while he finished a law degree), LLG had a list of Midwestern clients that were dwindling (even as early as the mid-70s), a demoralized junior staff and a traditional pyramid-style management.

But the firm reinvented itself, and one of the most visible symptoms of the turnaround was eliminating the pyramid and replacing it with a pancake environment - better known in today's business as a team structure.

The change elevated line staff members to the role of team players, eliminated closed, private offices for senior partners (now "members" in the LLG team lexicon), and put everyone behind laptop computers that they use to work virtually anywhere their team-based work roles take them.

Some observers, such as Inc. magazine in its April 1999 edition, gave Steve laurels for this change, pointing to his brash suggestion that the firm's senior partner retire and crediting him for implementing many of these innovations.

Such suggestions raise Steve's hackles. LLG's turnaround and current operating culture are not about any one person, It's not even about Steve Steve leading an initiative that created a team structure, he insists. The team is LLG, and this new company represents the most exciting part of Steve's job, one that is actually a dual role: working with other people while watching them grow and develop, while being taught as well.

"It goes both ways. The team-firm-personal development is the Number One priority of the firm, and the only way we can continue to grow," he says.

Recruitment from Abroad
One of the key issues addressed by the team is finding new members who possess the quality to develop. "There's a huge shortage of accountants in the U.S., and this is one of the biggest problems facing the profession, he says. "The perception that CPAs work a lot of hours is a deterrent to people entering the field. Today's market has a number of hot, sexy alternatives available, such as investment careers."

While Steve believes the perception is unfair in light of the roles CPAs play today, it exists nonetheless. The LLG team's solution was to look outside the U.S., and overseas recruits offered much better preparation for the business world. Steve says their certification to practice their trade, known as the chartered accountants exam, is a more demanding test than the CPA exam.

As a result of looking beyond the border, LLG now has found 20 overseas recruits per year Of LLG's 26 team members, four are Scottish, two are English, two are South African and one is Russian.

Steve admits that the superiority of some their overseas recruits may be an anomaly because those who are willing to move may be more highly motivated all-around. However, to qualify for certification, graduates are required to complete an apprenticeship. Compare that to U.S. accounting grads, who Steve believes have not been prepared for the business world they are expected to enter.

Steve was recently re-appointed to the Illinois CPA Examination Content Task Force, and will work to change the system, much as he has worked to change the image, structure and makeup of his firm.