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150 PUBLICACCOUNTINGFIRMShow much to save to reach a particular target. The set up
of a Web site also enables clients and potential clients to
get right to the information they want, even though the
company may have a great deal of other, unrelated infor-
mation on its Web site.
Key promotional items likely to be found at the Web
site of many public accounting firms include the follow-
ing:Contact information, firm history, firm mission state-
ment and core values, and biographies of owners and
key employees
Press releases about personnel changes and new activi-
ties
Promotional information—what is so special about the
firm, why someone should hire the firm
Description of services provided, often within industry
areas of expertise (such as banking or real estate)
Downloadable and Web-viewable newsletters and infor-
mational reports (such as to explain a tax or accounting
rule)
Tip of the week (typically a tax tip) that may lead clients
and potential clients to visit the Web site more often
Upcoming events, such as seminars
Career information (types of career opportunities, po-
sitions available, how to apply, and ability to submit a
resume via e-mail)Some firms, particularly large international firms,
maximize the technology and broad reach of the Internet
in ways that go beyond just using the Web as an electronic
marketing brochure. Some firms offer free webcasts of
technical subjects to their clients and others. Such ses-
sions may involve both a conference call and a Web-based
presentation, as well as an option to allow participants to
ask questions (either online or via phone). The sessions
are typically run by the firm’s experts on the particular
topic. Because the presenters do not all have to be in the
same room (or city), these types of educational programs
enable the firms to avoid travel costs, as well as the costs of
a room rental for traditional face-to-face seminars. Gener-
ally, the participants are offered continuing professional
education credits (CPE) for their participation, which is
an added incentive to participate. A firm benefits by expos-
ing a large group of clients and nonclients to the firm’s ex-
perts. Examples of topics covered in Web-based seminars
include dealing with new IRS audit and appeals changes
(Deloitte & Touche, May 2002) and proper application of
Financial Accounting Standard #133 on derivatives (Ernst
& Young LLP, December 2001). The presenting firms may
also archive the presentations on their Web site for access
by anyone at anytime.
As CPA firms expand their use of Web-based account-
ing tools, it is likely they will offer even more services to
clients, such as access to their CPAs’ calendars so clients
can schedule appointments. Also, firms might set up their
Internet services to allow clients to access their own tax
returns and other documents prepared for that particular
client, assuming that the obvious security concerns can
be adequately addressed.IMPLEMENTATION CONSIDERATIONS
System Reliability and Security
To provide services online, CPA firms must have systems
with high reliability and security. System reliability is
about a system’s availability (available for operations and
to be updated and maintained in a manner that continues
to provide system availability) and its integrity. A reliable
system can operate without material error, fault or failure
during a specified time in a specified environment (Boritz
et al., 1999).
System security is the ability to protect information re-
sources from unauthorized access, modification, and de-
struction. Information resources in an Internet/e-business
environment are hardware, software, and telecommuni-
cations. For CPA firms, online security is vital not only
because it is required to protect the information assets,
but also because of the long-term trusted relationship
with clients. From a client viewpoint, security is the per-
ceived guarantee that no unauthorized parties will have
access to communications between the client and the CPA
firm. The focus of online security is threefold: authentica-
tion, confidentiality, and integrity (Romney & Steinbart,
2000). Authentication is the ability of the system to ver-
ify that users are who they claim they are. Confidentiality
refers to limiting data access or use to authorized individ-
uals only. Online systems must be able to authenticate the
identities of those who attempt to log on, allowing only
legitimate users to access the information or database.
Integrity refers to maintaining data accuracy and pre-
venting hardware failure and unauthorized tampering.
Current encryption technology (128-bit Data Encryption
Standard) with public–private key usage and a good pub-
lic key infrastructure (PKI) can accomplish these three
goals. To have a good PKI, a firm needs to form consistent
agreement between the practices of a certificate author-
ity (CA) and the firm’s certificate policies because the CA
manages the firm’s public keys.
In addition, properly trained IT professionals can play
a key role to make an information system reliable and
secure. It is also important that the top management of
a firm maintain a well-established system development
life cycle policy to assure the reliability and security of its
information systems.Training and Certification
During the 1990s and continuing today, CPA firms are de-
voting more time to training and education in IT areas,
as evidenced by the number of IT conferences, the emer-
gence of IT committees and IT newsletters within state
CPA societies, and a new IT certification provided by the
AICPA.
One of the premier IT conferences is the annual AICPA
Tech conference. In 2002, this 4-day conference con-
sisted of more than 50 sessions within the areas of
consulting, technology, products, and IT management.
Session topics dealing with the Internet and e-business in-
cluded securing e-mail, Web collaboration tools, wireless
technology and products, Web-based accounting soft-
ware, e-commerce software systems, SysTrust and Web-
Trust, maximizing traffic to a Web site, and technology