2021 Integrated Report - To provide a clear and coherent vision of INCPAS' ability to create value in the short, medium and long term
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Transforming Business 2021 Integrated Report
To provide a clear and coherent vision of INCPAS’
ability to create value in the short, medium and long term
Table of Contents
Introduction.....................................................................................................................................3
Letter from Leadership.................................................................................................................5
About INCPAS..................................................................................................................................7
Governance................................................................................................................................... 11
Capitals & Business Model........................................................................................................ 14
Stakeholders................................................................................................................................. 17
Environment................................................................................................................................. 20
Strategy.......................................................................................................................................... 26
Risks & Opportunities................................................................................................................. 29
Financials....................................................................................................................................... 30
Future Outlook............................................................................................................................. 38
Oversight Report.......................................................................................................................... 40
To improve the connectivity of data within the
report, we have included symbols for each
of the INCPAS capitals (see page 14). These
symbols will appear throughout the report
anywhere each capital is discussed.
HUMAN INTELLECTUAL
$
SOCIAL & FINANCIAL
RELATIONSHIP
2 | Indiana CPA Society 2021 INTEGRATED REPORT
Introduction
Introduction
Letter from
ABOUT THIS REPORT Leadership
What is Integrated Reporting? The International Integrated Reporting Council (IIRC) defines Integrated
Reporting (IR) as the language for sustainable business. It is the means by which companies
communicate how value is created and will be preserved over the short-, medium- and long-term.
This information is used principally by investors/stakeholders to support their capital allocation About INCPAS
decisions. It involves a set of processes and activities, one result of which is a periodic “integrated
report” communication about the way in which an organization’s strategy, governance, performance
and prospects lead to the creation and preservation of value.
IR represents an evolution in corporate reporting, building on recent developments in financial and
non-financial reporting. It is not designed to replace existing disclosures which provide useful detail Governance
to report users by helping to shine light on thinking and behavior within organizations. Organizations
will be able to provide additional disclosures, and we anticipate that technological advances will assist
both report preparers and users, supporting investor/stakeholder decision making by producing
value-relevant information in an easily digestible way. Capitals &
Business
What is an Integrated Report? An Integrated Report is the most visible and tangible manifestation Model
of Integrated Reporting. It is a comprehensive communication of the way in which an organization
creates and preserves value in the short-, medium- and long-term.
Why is the Indiana CPA Society preparing an Integrated Report? The Indiana CPA Society has
Stakeholders
monitored the activities of the IIRC and provided feedback on the Integrated Reporting Framework.
In an effort to help our members gain a better understanding of Integrated Reporting, we believe it is
a useful process to create our own report so our membership could see a report on an organization
they know. Also, as supporters of the concept of Integrated Reporting, we believe it is important to
show its value and our support by creating our own report.
Environment
Why is Integrated Reporting relevant for Indiana CPA Society members and their client
and employer companies? Integrated Reporting is a more complete model of corporate reporting
and facilitates the assessment of the value creation potential of an organization to investors, lenders,
donors and other stakeholders. In our case, our Integrated Report is focused primarily on how we
create value for our members, while also addressing the information needs of other stakeholders— Strategy
including students, educators, business decision makers and other users of financial statements and
CPA services to help them better understand the value of CPAs.
Risks &
Opportunities
Financials
Future
Outlook
Oversight
3 | Indiana CPA Society 2021 INTEGRATED REPORT
Report
Introduction
ASSURANCES
Integrated Reporting is a new and evolving concept, and this is our sixth year preparing an Integrated
Report. Since Integrated Reporting is principles-based instead of standards-based, we are provided
Letter from
more leeway with regard to how the report is prepared and can customize it to best tell INCPAS’ value
Leadership
creation story. Here are the areas we have focused on in our report:
• Various capitals (financial, intellectual, human, and social & relationship) that an organization
uses or affects
• Our organization’s business model About INCPAS
• Creation of value over time
We will look for feedback from stakeholder groups on an ongoing basis to understand what is
important to them. We will ask stakeholder groups to give feedback to let us know what additional Governance
matters they want to see in this report as we move to the future to ensure that it is relevant to them.
The entirety of the report is approved by the INCPAS Board of Directors. Currently, there are not
specific guidelines on providing assurance on an Integrated Report, as it is a new form of reporting. In
January, 2015, the INCPAS Board of Directors created a committee made up of two members of the Capitals &
Board of Directors and at least four members at large to serve as the Integrated Report Assurance Business
Committee to develop a process for verifying the accuracy of the information included in this report. Model
The Committee developed an assurance process and a series of checklists to be used annually to
ensure that the report complies with IIRC Guidelines and that the information included in the report
is fairly and accurately presented. In June 2015, the Board of Directors adopted a formal Integrated
Report Oversight Policy. Per the policy, the Integrated Report Assurance Committee will execute the Stakeholders
assurance process and then produce an oversight report to be shared with the Board of Directors on
an annual basis. See page 40 for the Integrated Report Oversight Report.
Management has the responsibility to determine which matters are material. Per the definition
established by the IIRC: Environment
“A matter is material if, in the view of senior management and those charged with governance, it is
of such relevance and importance that it could substantively influence assessments of the primary
intended report users with regard to the organization’s ability to create value over the short, medium
and long terms.
Strategy
In determining whether a matter is material, senior management and those charged with governance
consider whether a matter substantively affects, or has the potential to substantively affect, the
organization’s strategy, its business model, or one or more of the capitals it uses or affects in the short,
medium or long term.”
Risks &
Based on this guidance, management, who consists of senior staff and the board of directors, Opportunities
assesses materiality. They primarily focus on review of the Risks and Opportunities and the
assessment and review process for those risks and opportunities as defined on page 29 of this
report.
Financials
Future
Outlook
Oversight
4 | Indiana CPA Society 2021 INTEGRATED REPORT
Report
Introduction
Letter from Leadership
Letter from
I think it’s fair to say that no organization in the U.S. has been able to
Leadership
execute their 2020 plans without a lot of adjustments.
COVID-19 and the tumult it caused could not have been predicted. In
addition to the personal toll it has taken, it turned the work world upside
down. The CPA profession is an integral part of the process of helping About INCPAS
businesses manage, recover and even grow in many cases. I am proud
to say the Society and its members have managed an extraordinary
amount of work in dynamic and innovative ways.
While our focus at INCPAS was diverted to all things COVID-related for
Jennifer Briggs, CAE a short time, we quickly pivoted to focusing on our strategic objectives Governance
President & CEO around the pipeline, advocacy, technology and expanded services by
CPAs:
Information: With major news breaking daily—even hourly—we knew Capitals &
members were struggling with information overload. We replaced our Business
biweekly CPA ePerspective eNewsletter with a daily 3@3 news bulletin. Model
The top three news items each day are distributed at 3 p.m. It has been
so well received we continue to do it. We also quickly added many free
educational programs to help members through this time.
Stakeholders
Advocacy: We achieved three key advocacy wins thanks to our
relationships with legislators and regulators, advocacy teams and Indiana
CPA-Political Action Committee contributors: CPA services were classified
as essential; tax filing and payment deadlines were extended; and the
Erland Porter, CPA
business personal property tax deadline was extended. We also hosted
Chair Environment
eight virtual events with members and state legislators to strengthen our
relationships and educate about the value of advocacy.
Education: We quickly moved all our education offerings online. We
prioritized topics members needed and were able to provide hundreds
of courses as Live Virtual CPE, so they could meet their licensing Strategy
requirements in this 3rd year reporting cycle. We’ve had 3,693 members
take advantage of our complimentary In the Know programs this year.
Technology: Prior to COVID-19, the Society’s leadership had committed
to focusing on helping members in small- and mid-sized firms embrace Risks &
new technologies. The pandemic certainly prioritized this effort even Opportunities
further as firms moved quickly to work-from-home scenarios. INCPAS is
embarking on a comprehensive survey to learn more about where our
members are now and how we can help going forward.
Networking: Member posts in the Open Forum skyrocketed this year— Financials
up 154% from 2019. The most-discussed topics were the Paycheck
Protection Program, Governor’s Executive Orders, tax filing deadline and
payment extensions, and stimulus payments sent to the deceased. We
also provided opportunities for young members to ‘get together’ through
Future
virtual trivia nights, roundtables, and lunch and learns.
Outlook
Oversight
5 | Indiana CPA Society 2021 INTEGRATED REPORT
Report
Introduction
“ While the pandemic made 2020 a
year challenging like no other, it also Letter from
Leadership
accelerated plans we’ve considered
for years related to technology and
delivery of programs and services.
”
About INCPAS
Governance
Pipeline and Diversity, Equity & Inclusion: Our popular annual INCPAS Scholars career
awareness and mentoring program for underrepresented students will be virtual. We can continue
to allow members to sponsor the program and give the students a great experience. A new initiative
this year—CPA Week, aimed at sharing career information in high schools around Indiana—moved
Capitals &
online and reached 19 cities; more than 700 students from 22 schools heard from 52 CPA member
Business
volunteers.
Model
While the pandemic made 2020 a year challenging like no other, it also accelerated plans we’ve
considered for years related to technology and delivery of programs and services. The expression
“necessity is the mother of invention” is top of mind. The need to provide value to members in new
and different ways gave us the opportunity to think creatively to serve our members and meet our Stakeholders
mission.
Environment
Jennifer Briggs, CAE Erland Porter, CPA
INCPAS President & CEO Chair
Strategy
Risks &
Opportunities
Financials
Future
Outlook
Oversight
6 | Indiana CPA Society 2021 INTEGRATED REPORT
Report
Introduction
About INCPAS
Letter from
Leadership
WHO WE ARE
The Indiana CPA Society is a statewide professional association representing over 7,100
CPAs and accounting professionals who are transforming business in Indiana. We
serve the public interest as well as our members. We function as an advocate for the About INCPAS
profession through education, public awareness, government relations and promotion of high ethical
standards. Programs and services offered by us are designed to meet the needs that have been
identified for our diverse membership.
Governance
WHO OUR MEMBERS ARE
On June 30, 2020,
Capitals &
we had 7,110 total
Business
members representing
Model
the full spectrum of accounting professionals
and future accounting professionals. We have
members who work for small local CPA firms,
mid-size regional CPA firms, large international
Stakeholders
CPA firms, Fortune 500 companies, small private
companies, not-for-profit organizations, and
professors at colleges and universities across the
state. Additionally, we have members who are
college students, CPA candidates and other non-
CPAs working in the profession, as well as retired Environment
CPAs who are still interested in the profession.
GENDER
GENDER
(DUES PAYING MEMBERS)
Strategy
Risks &
Opportunities
60% 40%
MALE FEMALE Financials
Future
Outlook
Oversight
7 | Indiana CPA Society 2021 INTEGRATED REPORT
Report
Introduction
AGE
AGE
(DUES PAYING MEMBERS)
Letter from
21% Leadership
19%
15% 16% 15% 14%
60% 40%
About INCPAS
MALE FEMALE Governance
30 &
Under 31–40 41–50 51–60 Over 60 Unknown
When age data is not provided, Exam pass date is used when available. Capitals &
Business
Model
Stakeholders
ORGANIZATION TYPE
ORGANIZATION
(DUES PAYING MEMBERS)TYPE
Environment
51% 1%
Strategy
PUBLIC ACCOUNTING
GOVERNMENT
2% Risks &
EDUCATION Opportunities
3%
31% OTHER
INDUSTRY* Financials
12% NO ORGANIZATION
LISTED
Future
*Includes not-for-profit organizations Outlook
Oversight
8 | Indiana CPA Society 2021 INTEGRATED REPORT
Report
Introduction
OUR VISION, MISSION AND VALUES
VISION Letter from
Home of the most trusted professionals, locally...globally. Leadership
MISSION
Enhance the professional success of our members while:
About INCPAS
• Respecting the public interest.
• Encouraging and facilitating the adherence to high ethical and professional standards.
• Facilitating relationships that will benefit our members.
• Promoting a better understanding of services rendered by CPAs.
• Representing our profession.
Governance
VALUE PROPOSITION
Transforming Business
We:
Capitals &
• Advocate and protect on behalf of our members.
Business
• Build bridges to the profession.
Model
• Transform the profession to be truly competency-based.
• Enhance the value of the CPA designation.
• Uphold the integrity, trust and pride of the profession.
• Respond to the changing role of the CPA.
Stakeholders
• Guide members through their careers.
• Create a trusted network of professionals and environment for collaboration.
• Leverage technology and innovation to develop strategies for long-term success.
CORE VALUES
Environment
• Integrity – The Society Board of Directors and members conduct themselves with honesty and
adherence to high standards of professional ethics.
• Advocacy – The Society exists to protect and promote the value of the CPA credential and to
represent members on issues that are important to the profession and the public.
• Knowledge – The Society is the first and best resource for CPAs. We broker knowledge about Strategy
important issues and future trends, as well as help members share knowledge with each other
about the profession and their careers.
• Leadership – The Society strives for perpetual improvement and thought leadership in order to
provide the best service to members.
• Community – The Society is the professional home for CPAs and CPA candidates and fosters Risks &
collegiality, inclusiveness, networking, idea-sharing and continuous learning. Opportunities
Financials
Future
Outlook
Oversight
9 | Indiana CPA Society 2021 INTEGRATED REPORT
Report
Introduction
PUBLIC INTEREST FILTERS
In addition to our vision, mission, value Does it fulfill
proposition and core values, we have also the mission?
developed public interest filters. These filters Letter from
were created to be applied to decisions made Leadership
at all levels of the organization—from the Does it fit Does it fit
Board of Directors to the staff—to ensure that with our DECISION with our
vision? values?
every resource (financial and non-financial) is
allocated properly. About INCPAS
In 2011, the Board of Directors created the Does it pass the
following Public Interest Filters that are applied public interest
filters?
to all decision making for the organization.
Governance
Does it:
• Help our members provide current and future services with integrity, competency and quality?
• Focus on services, programs and initiatives that members/ firms/companies cannot do on
their own, or that would not be as effective if undertaken on their own? Capitals &
Business
• Represent something members value and enhance member’s success? Model
• Align with value proposition, core values, vision and mission statements?
Stakeholders
Environment
Strategy
Risks &
Opportunities
Financials
Future
Outlook
Oversight
10 | Indiana CPA Society 2021 INTEGRATED REPORT
ReportIntroduction
Governance
The Board of Directors is responsible for: Under the direction of the CEO, the staff is Letter from
responsible for: Leadership
• Identifying and prioritizing issues.
• Setting strategy. • Identifying issues and trends.
• Approving budgets. • Implementing strategy.
• Acting as ambassadors for the Society. • Determining financial resources needed to
implement strategy and preparing budgets. About INCPAS
• Communicating with the members and
other stakeholders.
• Acting as ambassadors for the Society.
Governance
INCPAS GOVERNANCE SYSTEM
Revolves around the Board of Directors, who lead the value creation process by developing a strategic
plan that fulfills the Society's mission for our members. The Board utilizes the various councils and Capitals &
committees to gain insight and feedback. Business
Model
BOARD COMMITTEES Stakeholders
Include Executive,
leadership succession,
and finance and aid the
INCPAS MEMBERS MEMBER NETWORKS
Board in fulfilling
Serve as members of the Collaboration
responsibilities
Board and committees opportunities for Environment
and councils—can provide members to interact
direct input to the Board with peers and keep up
with trending topics
within the profession
Strategy
INCPAS BOARD
INCPAS ADVISORY
OF DIRECTORS AD HOC COMMITTEES
COUNCILS Include Conference
Risks &
Serve as subject matter STRATEGY planning project teams
Opportunities
experts for the Board on SETTING and CPE committee.
topics including Members volunteer
innovation, diversity, tax based on subject
and government affairs matter interest
Financials
INCPAS STAFF STANDING COMMITTEES
Works with all groups to Include Ethics Committee
fulfill the mission of INCPAS and serve specialized role Future
to help the Board and Outlook
members
Oversight
11 | Indiana CPA Society 2021 INTEGRATED REPORT
ReportIntroduction
INDIANA CPA SOCIETY BOARD OF DIRECTORS
EXECUTIVE COMMITTEE Letter from
Leadership
CHAIR VICE CHAIR
Erland C. Porter, CPA Carrie B. Minnich, CPA, MAcct
Thrivent Financial Dulin, Ward & Dewald, Inc.
About INCPAS
VICE CHAIR
CHAIR-ELECT Diane L. Sturek, CPA-inactive,
Barry K. Hall, CPA, CGMA MAcc
Kruggel Lawton CPAs Indiana University Kelley School
of Business, Indianapolis Governance
VICE CHAIR
Capitals &
Jeremy E. Gallion, CPA
Business
EY
Model
DIRECTORS
Stakeholders
Jacob T. Buehler, CPA Melanie D. King, CPA
Dauby O’Connor & Zaleski, LLC The Hagerman Group
Environment
Douglas C. Fahrnow, CPA, CGMA Kyle A. Simmerman, CPA
Somerset CPAs, PC BGBC Partners, LLP
Strategy
Matthew F. Howard, CPA Lisa D. Tressler, CPA
Indiana Limestone Company/ RBSK Partners PC Risks &
Polycor West Opportunities
PUBLIC MEMBER Financials
Mandy M. Parris
JPMorgan Chase Future
Outlook
Oversight
12 | Indiana CPA Society 2021 INTEGRATED REPORT
ReportIntroduction
INDIANA CPA SOCIETY STAFF
Letter from
Leadership
About INCPAS
Governance
Capitals &
Business
EXECUTIVE FINANCE & TECHNICAL SERVICES Model
Jennifer Briggs, CAE Jenny Norris, CPA, CGMA, CAE
President & CEO Vice President – Finance
Courtney Kincaid, CAE Katy Edmonds Stakeholders
Vice President – Strategic Initiatives Staff Accountant
Mary McKinzie
Executive Administrator MEMBER SERVICES & PROFESSIONAL
DEVELOPMENT
Environment
ADVOCACY Stacey Wilson, CAE
Vice President – Member Services
Sherrill Rude, CAE
Vice President – Advocacy Nichole Favors
Director – Learning & Collaboration
Ali Paul, CAE Strategy
Director – Diversity & Outreach Jessica Bowyer, CAE
Strategist – Online Learning & Community
COMMUNICATIONS Sarah Townsend
Membership & Volunteer Manager Risks &
Stephanie Parton, CAE
Vice President – Communications Gretchen Meitzler Opportunities
Receptionist/Administrative Assistant
Katie Kirkton
Creative Manager Christina Pristasch
Senior Member Services Associate
Lindsay Mason
Financials
Graphic Designer Miriam Rivera
Member Services Associate
Elise May
Communications Coordinator Stacy Thomas, CMP
Conference & Member Event Associate
Future
Jenna Whalen Outlook
Volunteer & Member Services Associate
Oversight
13 | Indiana CPA Society 2021 INTEGRATED REPORT
ReportIntroduction
Capitals & Business Model
Letter from
Leadership
HUMAN CAPITAL
We strive to maintain a staff that can meet the evolving needs of our members. The staff
has a combined 213 years of experience at the Indiana CPA Society. The staff also has
eight Certified Association Executives (CAEs). The staff is acknowledged regularly by the
Indiana Society of Association Executives for outstanding programs, including an award of excellence About INCPAS
in 2019 for our innovative communications.
We assess both member needs and staff performance, and provide staff with the training and tools
necessary to best serve the members. Each staff member is given a specific set of objectives annually
to give direction and define expectations. Staff is also cross trained to ensure that someone is always Governance
available to assist members with any questions or issues they may have.
Volunteer members are also critical to our success as an organization. We have an established
leadership succession process to help find future leaders for the organization. Members are given
Capitals &
the chance to get involved through a number of volunteer opportunities. We also work hard as an
Business
organization to ensure that there is a strong pipeline of future CPAs to maintain the profession into
Model
the future. We work with members to provide outreach to students in high school and college to
get them interested in the profession and to inform them of the opportunities available as CPAs. A
particular area of emphasis has been the diversity initiative focusing on minority students.
Stakeholders
INTELLECTUAL CAPITAL
Knowledge – As an organization, we strive to facilitate opportunities for our members
to collaborate and share knowledge, whenever possible. We also work to be a key
resource for members regarding issues and trends impacting the CPA profession.
In 2014, we launched the CPA Center of Excellence® online community as a means to allow our Environment
members to share their knowledge through discussion boards, libraries and blogs.
Additionally, the INCPAS Board of Directors is actively engaged in monitoring emerging issues and has
written several white papers over the last few years on issues that are impacting the profession now
and that will be issues as we move into the future. Those white papers include The Future of Competency, Strategy
Integrated Reporting, Hyper-specialization and Core Competencies for CPAs.
Brand Reputation – Our aspiration is that the INCPAS name stands for quality, trust, integrity,
leadership and lifelong learning. We strive to emphasize those ideals in everything we do as an
organization. They are woven into our strategy, mission, vision and value proposition. Our ultimate Risks &
goal is that INCPAS and our members become the most trusted business resource and advocates in Opportunities
Indiana. The Society works to position our members as trusted business advisors through all of our
advertising efforts and participates in various activities to show the value of CPAs as trusted business
advisors for entrepreneurs.
Financials
SOCIAL & RELATIONSHIP CAPITAL
INCPAS has built a full spectrum of relationships with groups including our members,
students and educators, regulators and legislators, employers, clients, users of
financial statements, other organizations and our sponsors. We strive to leverage these
relationships to a collective good that will benefit all parties while protecting the integrity of the Future
profession and the interests of the public. Outlook
Oversight
14 | Indiana CPA Society 2021 INTEGRATED REPORT
ReportIntroduction
Additionally INCPAS has and is continuing to develop networking opportunities to allow members
in similar fields an opportunity to discuss issues unique to their practice. Those opportunities range
from our various conferences, to special events and member network groups.
Letter from
FINANCIAL CAPITAL
$
Leadership
The Board has established a financial reserve policy to ensure long-term financial
strength for the organization. The goal for the financial reserve is to hold 3–6 months of
operating capital in reserve. Additionally, it is the intent to operate each annual budget
cycle with an operating surplus to enable the maintenance of that reserve. About INCPAS
Governance
Capitals &
Business
Model
Stakeholders
Environment
Strategy
Risks &
Opportunities
Financials
Future
Outlook
Oversight
15 | Indiana CPA Society 2021 INTEGRATED REPORT
ReportIntroduction
BUSINESS MODEL
Letter from
Capital Inputs Activities Outputs Outcomes Leadership
Human People– Professional Skilled members More competent
members, development, and staff, future CPAs, satisfied
staff diversity and CPAs, increased members and
inclusion initiatives, diversity volunteers, diversity About INCPAS
student outreach, awareness, low
committees, employee turnover, a
volunteer member staff with the skills to
activities fulfill INCPAS’ mission
and serve member Governance
needs
Intellectual Knowledge Risk management, Issue awareness, Collaboration,
(members information sharing knowledge informed members
and staff), which includes CPA sharing, thought who are up to date Capitals &
brand Conversations, In leadership on the latest trends Business
reputation, the Know webinars, and issues impacting Model
governance CPA Center of the profession
structure Excellence® online
community
Social & Member Networking and Ethical behavior, Collaboration, Stakeholders
Relationship relations, collaboration at compliance enhanced
relations conferences and with standards, awareness of CPAs
with other member events increased and their value, a
stakeholders and through the understanding favorable legislative
CPA Center of of legislative and regulatory Environment
Excellence® online and regulatory environment
community, ethics processes,
enforcement, strong member
advocacy with connections,
governmental and success working Strategy
regulatory bodies, with legislators
advocacy and and regulators
awareness building
with academics and
students, and with Risks &
businesses and Opportunities
financial statement
users
Financial Dues, Fiscally responsible Cash flow from Financial
fees and budgeting, cost operations stability, business Financials
sponsorships management sustainability
$ along with
invested
reserves
Future
Outlook
Oversight
16 | Indiana CPA Society 2021 INTEGRATED REPORT
ReportIntroduction
Stakeholders
WHO WE ARE ACCOUNTABLE TO AND WHAT Letter from
Leadership
IS IMPORTANT TO THEM
Stakeholder – A party that can Business Partner – A party a business
affect or be affected by the actions cooperates with to create increased value.
of the business as a whole. We further breakdown
About INCPAS
as primary and secondary to show the level of
importance of the stakeholder group.
Stakeholder/ The value
Why we How we The value
Business created for the Governance
engage engage for INCPAS
Partner/Other stakeholder
Members INCPAS exists to The services we provide Tools and Our members
(resident/ serve the needs are offered to aid resources to guide are why we
candidate)— of its members. members through their them through their exist. As an Capitals &
Primary Each of the entire career, from careers, uphold organization Business
Stakeholder programs and CPA Exam candidate to the integrity of we take pride
Model
services provided retirement. We engage the profession, in being able to
is designed to meet members regularly enhance value help members.
the needs that have through surveys and of the CPA
been identified gather input from designation,
for our diverse committees and other provide advocacy, Stakeholders
membership. groups to ensure a forum to connect,
we understand their share experiences
current needs. and have fun, and
a trusted network
of professionals to Environment
enable intelligent
collaboration.
Regulators (Board To facilitate access Through advocacy Connection to Involvement in
of Accountancy, between members groups and staff CPAs and a better the regulatory
Department of and legislators and contact, INCPAS works understanding of and legislative
Revenue, IRS) regulators and to directly with the Indiana the impact of the processes Strategy
and legislators— uphold the integrity Dept. of Revenue, IPLA issues they are allowing
Primary of the profession. and other regulators. addressing. INCPAS to
Stakeholder INCPAS also facilitates serve as the
direct communication voice for
between members Indiana CPAs.
Risks &
and legislators and Opportunities
regulators to aid them
in understanding
the impact of their
regulatory or legislative
proposals on our Financials
profession and on users
of CPA services.
College To enable a strong Educators Network and Connection to the Connection to
Educators— pool of incoming an annual Educators profession. future CPAs. Future
Primary CPA candidates Conference to share
Outlook
Stakeholder into the profession. relevant information
with educators.
Oversight
17 | Indiana CPA Society 2021 INTEGRATED REPORT
ReportIntroduction
Stakeholder/ The value
Why we How we The value
Business created for the
engage engage for INCPAS
Partner/Other stakeholder
College To show college Campus visits by Connection to Connection to Letter from
Accounting students the members, free student the profession future CPAs. Leadership
Students— opportunities membership. and awareness
Primary available to them of the career
Stakeholder once they enter opportunities
the workforce and within the
the importance of profession. About INCPAS
attaining the CPA
designation.
High School To enable a INCPAS Scholars Awareness of Opportunity
“audience” strong pipeline of program, CPA the profession to influence Governance
(students, candidates into Week, CPA visits to and of career students
teachers, college accounting classrooms. opportunities into the CPA
counselors, programs. within the profession.
administrators, profession. Capitals &
parents)—Primary Business
Stakeholder
Model
AICPA—Secondary To enhance Joint ethics Conduit to A national voice
Stakeholder member services enforcement, peer grassroots for INCPAS
and avoid review, advocacy members. and INCPAS
Stakeholders
duplication of efforts, and resources members.
effort. for knowledge sharing
and advocacy and
lobbying efforts.
Employers (public To help employers We strive to provide Advocacy, access Access to the
accounting/ better understand relevant professional to information, employees. Environment
industry/ the value of the development that is a forum for
government/ CPA designation needed by CPAs in members, and
education)— and of having CPAs all types of business professional
Secondary as employees environments. development for
Stakeholder within their Additionally, we work employees. Strategy
Also a Primary organization. with legislative/
Stakeholder if the regulatory agencies to
employer is a CPA help to enable a stable
Firm member of business environment.
INCPAS Risks &
Opportunities
Business Decision This is part of our Public relations. Advocacy, access to Opportunity to
Makers (CEOs, efforts to respect information, better promote the
CFOs, owners, the public interest understanding of value of CPAs.
etc.)—Secondary and enhance the CPA services.
Financials
Stakeholder value of the CPA
designation.
Other Accounting To enhance Collaboration. Ability to enhance Ability to
Professional member services value to members. enhance value
Organizations— and avoid duplicate to members. Future
Secondary effort. Outlook
Stakeholder
Oversight
18 | Indiana CPA Society 2021 INTEGRATED REPORT
ReportIntroduction
Stakeholder/ The value
Why we How we The value
Business created for the
engage engage for INCPAS
Partner/Other stakeholder
Users of Financial This is part of our Public relations. Better It helps to Letter from
Statements efforts to respect understanding of position CPAs Leadership
prepared by CPAs the public interest the value of CPAs as proven
(the public)— and enhance the and the services business
Secondary value of the CPA and skills they advisors and
Stakeholder designation and provide. enhances their
promote a better value. About INCPAS
understanding of
services rendered
by CPAs.
Clients/Potential This is part of our Public relations. Better It helps to
Clients— efforts to respect understanding of position CPAs Governance
Secondary the public interest the value of CPAs as proven
Stakeholder and enhance the and the services business
value of the CPA and skills they advisors and
designation and provide. enhances their
Capitals &
promote a better value.
Business
understanding of
services rendered
Model
by CPAs.
Corporate To facilitate access Sponsors are given Access to a Revenue
Sponsors— for our members. opportunities to targeted market stream
Business Partner network with our and an ability to to offset Stakeholders
members to help to strengthen existing expenses.
enable our members’ relationships.
professional success.
Vendors/CPE To enhance the Vendors/CPE Access to a Quality product
Providers— professional providers provide the targeted market and course Environment
Business Partner success of our educational offerings and an ability to offerings for
members. to our members— strengthen existing our members.
we rely on them to relationships.
ensure accurate and
relevant educational
opportunities.
Strategy
Risks &
Opportunities
Financials
Future
Outlook
Oversight
19 | Indiana CPA Society 2021 INTEGRATED REPORT
ReportIntroduction
Environment
Letter from
WHAT IS HAPPENING IN OUR ENVIRONMENT Leadership
In order to be responsive and add value for our members, INCPAS strives to keep up with the evolution
of the CPA profession locally, nationally and globally so that we can keep members informed of the
changes that could impact them. We share news and information in all of our communications to
members and provide free In the Know webinars on emerging professional issues. About INCPAS
Almost every facet of the profession we serve is seeing change right now. From technology, legislation,
regulation, reporting requirements and demographics—change is everywhere.
Issue Response Governance
REPORTING. Reporting standards The Indiana CPA Society has been monitoring
continue to change, and new reporting changes, communicating them to
reporting frameworks are being members and offering educational opportunities
developed, largely in efforts to related to the changes. When appropriate, Capitals &
increase transparency and make it easier for the Society forms member groups to provide Business
users of financial statements to understand. feedback to regulatory agencies about proposed Model
standards changes. Additionally, the Society
wrote this report to provide an example of new
reporting frameworks.
ADVOCACY. There are always The Indiana CPA Society retains a professional Stakeholders
regulatory and statutory changes lobbyist at the state level to stay involved in
both at the state and national level the legislative process and have a positive
that will impact the profession. For impact on legislative issues that could impact
example: there is a current national effort to our members, the profession and the clients
eliminate licensure for professions. Additionally, and organizations they serve. The Society has Environment
it is constantly more challenging to get access to formed advocacy groups utilizing members to
legislators and regulators to talk about issues work directly with legislators and regulators to
because there are so many organizations vying improve processes and resolve issues that could
for their attention. have an impact on the profession.
TECHNOLOGY. Changes are The Indiana CPA Society has worked to Strategy
impacting how we communicate incorporate technology news, success stories
with our members and how we and resources through our communications
provide professional development. efforts, conferences and professional
They are also providing more opportunities to development courses to increase members’ Risks &
facilitate access for our members to news and awareness of the changes in technology that Opportunities
information and to each other as resources for can have an impact on the profession. The
knowledge sharing. Society accelerated our utilization of technology
to offer educational opportunities online using
simulcasting and webinars in 2019, but really
ramped it up in 2020. Financials
Future
Outlook
Oversight
20 | Indiana CPA Society 2021 INTEGRATED REPORT
ReportIntroduction
Issue Response
DIVERSITY AND INCLUSION. The The Indiana CPA Society has been actively
population demographics of engaged in increasing diversity in the profession
Letter from
Indiana are growing more diverse, for several years. The Society has created a
Leadership
and the profession’s demographics Diversity Advisory Council whose main function
are not keeping up with the rest of the is to look at ways to increase diversity in the
population. In order to maintain relevance, the profession in Indiana. The Society also has
CPA profession needs to become more diverse. developed an INCPAS Scholars program and
CPA Weeks, designed to introduce high school About INCPAS
students to the accounting profession. INCPAS
President and CEO Jennifer Briggs has signed
the pledge for the CEO Action for Diversity
& Inclusion, the largest CEO-driven business
commitment to advance diversity and inclusion Governance
within the workplace.
PROFESSIONAL DEVELOPMENT. The Indiana CPA Society has worked to be
Members are looking for more a leader in the push for competency-based
effective ways to learn and education since publishing The Future of Capitals &
professional development is Competency white paper in 2012. New courses Business
starting to see a number of changes, from are being developed in new formats, including Model
trends like nano-learning to more impactful case study, to provide a better learning
changes like competency-based education. experience for members, and we continue to
look at delivery mechanism, to provide the best
and most convenient experience for members. Stakeholders
Because of the pandemic, all learning was
moved to virtual during the past year, and we
look forward to being able to provide more of
a hybrid experience going forward, with both
virtual and in person learning. In 2020 we began Environment
offering Micro-credentials.
MEMBERS. Society members The Indiana CPA Society is continually working
themselves are changing too, and to serve the needs of all members. In response
we must adapt the organization to to recent trends, recruitment of successful
suit their wants and needs. It’s CPA Exam passers is a focus, as is connecting Strategy
becoming more challenging to attract and members in industry with networking
retain young members and also members who opportunities and offering membership options.
move from public accounting to industry jobs. The Society also increased its focus on member
Market share has declined recently as more events and programming related to young
Risks &
CPAs retire and maintain a license but not their professionals and their career goals.
Opportunities
membership.
INNOVATION. All of the changes The Indiana CPA Society’s Board of Directors had
happening in technology, reporting a task force explore innovation in 2016, and as
and globalization are having a a result, published a paper on the CPA’s role in
Financials
great impact on the profession. leading innovation. In addition, the Society has
CPAs will have to innovate to remain relevant in created an Innovation Advisory Council to study
the future. innovation and look for ways the Society can
help members with innovation.
Future
Outlook
Oversight
21 | Indiana CPA Society 2021 INTEGRATED REPORT
ReportIntroduction
Issue Response
CONNECTING MEMBERS. The Indiana CPA Society has created member
Members are looking for networks to allow members to have a forum to
Letter from
meaningful ways to connect and meet and interact with peers. An example of
Leadership
collaborate with peers. one group is a not-for-profit CFO peer group
that meets bimonthly to have round table
discussions and idea exchanges on a variety
of topics.
We followed our disaster preparedness plan About INCPAS
COVID-19 PANDEMIC. Covid-19
has created disruption to Indiana and because we had transitioned to cloud
CPA Society operations due to based systems and were agile, staff was able to
government limitations on event move quickly to remote working and continue
capacity and social distancing guidelines. to function and service members. Contingency
plans were developed to move member events Governance
and education to a virtual environment. We
continue to monitor the financial impact on the
organization, but forecasts look stable.
Capitals &
Business
WHAT IS HAPPENING IN OUR MEMBERS’ ENVIRONMENT Model
Issue Response
TECHNOLOGY. Technology is a The Indiana CPA Society monitors trends
and news related to the profession and the Stakeholders
fast-growing, fast-moving area of
change. It is changing how CPAs changes that are occurring and works to provide
work and how they communicate awareness through our communications efforts
with clients. Technologies like artificial intelligence and educational opportunities. Additionally,
and bots and new areas of practice like data Indiana CPA Society has developed specific
analytics and cybersecurity are a few examples. strategic initiatives to increase technology Environment
awareness and utilization in small and medium
sized firms.
GLOBALIZATION. Globalization is The Indiana CPA Society monitors trends
creating changes for our members. and news related to globalization and the
changes in standards and practices within the Strategy
Accounting standards and practices
are becoming more global and our profession and works to communicate these
clients’ business reach is also becoming global. changes to members.
They often have to learn multiple sets of
standards to satisfy their clients’ business needs. Risks &
Opportunities
Financials
Future
Outlook
Oversight
22 | Indiana CPA Society 2021 INTEGRATED REPORT
ReportIntroduction
Issue Response
A CHANGING WORKFORCE. The Indiana CPA Society monitors all of these
Firms are in a unique position now trends and issues and works to communicate
Letter from
to have multiple generations of news and information to members to help
Leadership
workers in the current workforce. provide them tools to be better equipped to
This poses an interesting dynamic in the deal with these changes within their firms and
workforce that employers must deal with to companies. The Society also offers professional
handle the generational differences. Technology development opportunities to educate
has enabled a more mobile workforce that no members about workforce trends. About INCPAS
longer has to be bound to working in a traditional
office environment, and we all experienced it this
year. Using cloud technologies, employees can
access software and data from any location. The
“gig economy” is starting to expand into Governance
professional service fields as well, so firms and
companies need to be prepared for the impact of
having gig workers. Employee expectations are
also changing. Employees want flexibility, work- Capitals &
life balance and wellness initiatives in their Business
workplace. Continued flexibility in where they Model
work.
CPA PIPELINE. Firms continue to The Indiana CPA Society works with members
seek qualified staff to fill positions. to understand pipeline issues and facilitates
More firms are hiring non-CPAs to communication between members and Stakeholders
fill positions in firms as they deal educators to help schools better align to meet
with advanced technologies, Robotic Process the needs of the profession. We have specific
Automation and data analytics. programs to enhance the pipeline, including CPA
Weeks and INCPAS Scholars.
The Indiana CPA Society works to aid Environment
REGULATORY
BURDENS. members when possible to minimize the
Members are facing an burden of regulatory changes, and facilitates
increasing regulatory communications between members and
burden. This is impacting members both in public regulators to help resolve issues.
Strategy
accounting and in industry, creating more and
stricter reporting requirements.
TRANSPARENCY IN REPORTING. The Indiana CPA Society monitors the issues
There is pressure for our related to transparency and providing news on
members to increase transparency the latest changes in financial reporting to our Risks &
in reporting—to move away from members. Opportunities
traditional financial reporting and into a more
detailed reporting that expands beyond strictly
financial information. Integrated reporting,
sustainability reporting and other more Financials
comprehensive reporting models are emerging
and will continue to evolve.
CHANGING SKILLSETS. Members As a result, INCPAS has spent the last few years
are reporting it is difficult to hire establishing and benchmarking a set of CPA core
Future
and/or promote people with strong competencies, along with the tools to measure
Outlook
soft skills, such as communication, and enhance them.
leadership and critical thinking.
Oversight
23 | Indiana CPA Society 2021 INTEGRATED REPORT
ReportIntroduction
Issue Response
DIVERSITY AND INCLUSION. Not In addition to its work to attract more minorities
only is this an issue for INCPAS, but to the profession, the Indiana CPA Society also
Letter from
also an issue for our members. Our works to educate and inform members about
Leadership
members are seeing more diversity diversity and inclusion to help them to create
in their clientele and future clientele. In order to and maintain a more diverse workforce.
be relevant and to attract those future clients,
our members’ firms need to ensure that they
are addressing diversity to ensure that they About INCPAS
have the best opportunities to connect with
their clients.
EXPANDING ROLE OF THE CPA. The Indiana CPA Society works to educate and
CPAs in both public accounting and inform members of the changing expectations
Governance
in industry are seeing their roles from clients and employers as to the expanded
expand beyond traditional financial role they expect CPAs to play. INCPAS is also
reporting roles, into advisory strategic planning, focusing on the expanded skillset required
big data analysis and other areas. for this expanded role by offering educational
opportunities through traditional CPE and the Capitals &
CPA Center of Excellence® competency-based Business
course offerings. Model
NEW AREAS OF PRACTICE. The Indiana CPA Society monitors these
Cybersecurity, sustainability and areas and works to educate members on the
integrated reporting are examples opportunities available and shares resources
Stakeholders
of new areas of practice where from the AICPA and other sources.
attestation could be required, and CPAs are well
suited to take on these new opportunities.
PROFESSIONAL ISSUES AND The Indiana CPA Society works to filter the
CONCERNS. There is a constant news and highlight the important issues Environment
news feed of issues impacting the members need to focus on, specifically through
profession filling members’ our 3@3 e-newsletter. Additionally, the Indiana
inboxes. CPA Society started offering free one-hour In
the Know webinars throughout the year to
inform members. Strategy
LICENSURE THREATS. Groups are The Indiana CPA Society is working with
recommending legislative changes legislators and regulators and in conjunction
nationwide that would be with other licensed professions to stop
detrimental to CPAs' ability to threatening legislation.
Risks &
provide professional services to the
Opportunities
organizations and clients they represent, and
not be in the best interest of the public.
COVID-19 PANDEMIC. The The Indiana CPA Society developed a daily 3@3
pandemic has been disruptive to all news bulletin highlighting significant news for
members in public accounting and CPAs to be aware of. Additionally, we worked Financials
in industry as they deal with with state agencies to help get extensions and
significant business disruption, relief for members to meet deadlines for their
changing tax deadlines and numerous clients and businesses, and we were able to get
government relief programs, including PPP loans CPAs listed as essential workers in Indiana.
Future
and CARES Act.
Outlook
Oversight
24 | Indiana CPA Society 2021 INTEGRATED REPORT
ReportIntroduction
Issue Response
CPA EVOLUTION. The AICPA and Indiana CPA Society is monitoring these
NASBA are working to evolve the activities and sharing relevant information
Letter from
CPA Exam to broaden the appeal to with members, including firms, educators and
Leadership
a wider audience, hoping to attract students and regulators.
students with an interest in data
analytics and other specialties to the profession,
especially as CPA firms hire more non-CPAs.
About INCPAS
Governance
Capitals &
Business
Model
Stakeholders
Environment
Strategy
Risks &
Opportunities
Financials
Future
Outlook
Oversight
25 | Indiana CPA Society 2021 INTEGRATED REPORT
ReportIntroduction
Strategy
The Society’s strategic plan is evaluated by the Board of Directors on an annual basis to ensure Letter from
the objectives and goals are relevant to the issues impacting our members and the profession as Leadership
a whole. The Board monitors status through regular informational updates from staff on progress
towards achieving goals.
As the Board reviews objectives and goals on an annual basis, it asks the following questions:
About INCPAS
1 What do we want or need to achieve?
What do we expect?
Governance
Capitals &
2
Business
Model
For who?
Stakeholders
3
Environment
Why?
Strategy
4
Risks &
What is the goal or expectation? Opportunities
How do we define success?
Financials
Future
Outlook
Oversight
26 | Indiana CPA Society 2021 INTEGRATED REPORT
ReportIntroduction
2020–21 INDIANA CPA SOCIETY STRATEGIC PLAN
Vision
Letter from
"Home of the most trusted professionals, locally ... globally."
Leadership
Be the #1 resource Protect the CPA license Encourage and Recruit and retain
for members in in Indiana. communicate with a strong pipeline
Objectives
small - to medium- members to expand of CPAs who are
sized firms services offered. lifelong learners About INCPAS
for awareness while emphasizing
and adoption the need for diversity
of emerging and inclusion in the
technologies. profession.
Governance
1. INCPAS shares 1. CPAs remain a 1. CPAs embrace their 1. The CPA workforce
positive, easy- licensed profession expanded role in in Indiana is
to-understand business ethnically diverse
stories/examples 2. Members better
Capitals &
of successful understand the 2. High school
Business
technology value of INCPAS students are
Model
implementation advocacy efforts aware of the CPA
profession and fill
2. Meaningful 3. INCPAS supports pipeline
connections are broadening the
created between Stakeholders
spectrum of work 3. INCPAS
members related tied to the CPA professional
to technology license development
Key Results Areas
initiatives continuously
evolves to meet
3. Staff at small - to the needs of Environment
medium-sized a changing
firms are able workforce in
to navigate the delivery and
necessary culture content
shifts through Strategy
developing
communication,
decision making,
strategic Risks &
planning, Opportunities
critical thinking,
leadership and
collaboration
skills
Financials
Future
Outlook
Oversight
27 | Indiana CPA Society 2021 INTEGRATED REPORT
ReportIntroduction
STRATEGIC RESULTS 2019–20
90% 68% 70%
Letter from
Leadership
retention of overall of active licensees in of successful Exam
members in 2020 Indiana are INCPAS Candidates are
dues renewal. members. INCPAS members.
*
ASAE Benchmark is 85% *
ASAE Benchmark is 47% About INCPAS
38.5%
of members engaged on the CPA
Center of Excellence® Online Governance
community in 2020.
80%
Capitals &
Business
Model
of legislators are matched Launched
with a CPA Advocate.
LEARNING Stakeholders
Raised CONCIERGE
program in 2019 to
$33,756
in PAC Contributions in CY 2019
help members better
fill their learning needs.
11 members used and
Environment
from 577 members. registered for 121.5 hours
In 2018, 636 members gave $36,369. of education.
Strategy
63% of INCPAS Scholars alumni
74% are pursuing an accounting/business
of members view degree. Up from 62% in 2019.
themselves as
the go-to in their 46% of INCPAS Scholars alumni are Risks &
Opportunities
organization for real- eligible to sit for the CPA exam upon
time information, graduation. Up from 44% in 2019.
68%
for data analytics and Raised
$70,000
interpretation and Financials
77%
for integrated
reporting. to support 2019–2020 Scholars program
from 21 organizations. This includes two Future
new sponsor firms. Outlook
*from American Society of Association Executives 2018 Benchmarking in Association Management Report.
Benchmark=professional association with $1–4.9 million budget
Oversight
28 | Indiana CPA Society 2021 INTEGRATED REPORT
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