To help our members adhere to the standards required by the Accounting Professional and Ethical Standards Board, all IPA members in public practice must currently undertake Public Practice Quality Assurance (PPQA) reviews every three to five years. This ensures greater protection for, and confidence among, consumers.
Previously, the IPA successfully applied for Star Grants funding from the Professional Standards Councils to further develop an online tool for its PPQA process. Using this tool, the IPA has discovered less than 1 per cent non-compliance in 37 per cent of questions for participating members and less than 10 per cent non-compliance in more than 90 per cent of questions.
Following the successful launch of the original system, the IPA has been awarded additional funding to further enhance the PPQA Online system so it meets requirements for SMSF auditors and accountants offering financial services.
The new question sets, as part of the online tool, offer a number of benefits: they will remind members of their obligations and test their compliance, leading to better outcomes for clients; and they will also help the IPA regulate member behaviour in areas that will require statutory registration for the first time, allowing the IPA to monitor adherence, remind members of their obligations and correct members if necessary.
The benefit to both clients and practices is substantial – practices are able to track their progress and improvement from year to year and clients can be confident in the professional and ethical conduct of their accountant.
Streamlining admin burdens
The objective of the new online system is to reduce the complexity and time taken to complete a PPQA review. This has become one of the most successful elements of the project – on average, the time has been reduced from five hours to one hour and 30 minutes, a significant time saving for members. Conservative estimates calculate practices save $700 in administration time using the online reporting format.
The upgrade also includes a systematic reporting process for the IPA. Where reports were previously submitted in hard copy, they are now shared with Head Office online. This process significantly reduces the time required for administration of the system and cuts paper usage, freeing up more time for client-focused matters and being more environmentally friendly.
The new online report to the IPA will also cross-reference information already in the system and repopulate those into the new report – meaning reviewer accuracy will be higher and time will be saved.
[breakoutbox][breakoutbox_title]Glowing report[/breakoutbox_title][breakoutbox_excerpt]Quality assurance reviewer Robyn Allen shares her thoughts on the new PPQA Online system…[/breakoutbox_excerpt][breakoutbox_content]“As one of the IPA’s quality assurance reviewers, it has been interesting to see the transition to the new online system for the PPQA.
“Previously, reviews were paper based and cumbersome, with practitioners printing out and completing up to 30 pages of questions, then forwarding the questionnaire to the reviewer. The new online system is time saving for the practice and eliminates postal delays. It also gives reviewers instant access to the data, and both reviewer and practitioner can enter the system continuously.
“Members have indicated that the new system is easier to use and questions are relevant to the industry, including accounting standards, office procedures, staffing and so on. The content of the questionnaire allows members to be aware of the ethical and professional requirements of the IPA. It allows them to identify problem areas and to adjust their practices accordingly.
“It is anticipated that members and practices will be able to track their compliance and progress on an annual basis. Overall, the benefits to reviewers, practices and their clients are in keeping with modern trends of a speedy access to a paperless society.”[/breakoutbox_content][/breakoutbox]
Setting the standard
The benefits of the new system are twofold. First, it will improve the professionalism of IPA members and assist in developing a culture of compliance. Second, it will increase client confidence in the level of professionalism of accounting services from IPA practices.
We believe the improved online system has the potential to become the world’s best online quality assurance review process, with international relevance. The system helps set best-practice standards for the industry, through an efficient and effective method, which offers both firm and client success.
The online system allows for greater aggregation and interrogation of data, which can be used to improve training for members, identify problematic compliance issues and provide members with a diagnostic tool in order to initiate self-correction.
The further development of the PPQA Online system has been made possible thanks to the Professional Standards Councils’ Star Grants initiative. Available to organisations participating in a Cover of Excellence® scheme, Star Grants are awarded to industry associations that are striving to improve adherence to codes of ethics or practice, risk management, complaints or discipline processes and occupational education, plus develop self-regulation.
Submissions for Round Three of Star Grants are open until 1 March 2013.
