Scope creep is a common challenge many accounting firms face, arising from expanding client demands beyond the initially agreed-upon scope of engagement.
The root cause often lies in unclear agreements and inadequate communication, leading to client frustrations, burnout among team members, undervaluation of services, and potential client loss. The last thing your firm needs is to give away work for free, so how can you receive appropriate compensation without endangering your relationships with clients? Addressing this issue requires a proactive approach to effectively define and manage project scopes.
The engagement letter
The first step in reducing this problem is to define the range of services that will be performed for each client. In our firm, we like to say, “To be clear is to be kind.” I highly recommend implementing a written engagement letter for every client that outlines the services and tasks being offered. Even more important: We’ve found that including a list of services outside the agreed-upon engagement can encourage dialogue on the front end and reduce assumptions on both sides.
