International Insights: The Benefits of Thinking Globally
 
Understanding international business practices has never been more important for audit professionals than it is today. In a recent nationwide survey of executives by Robert Half International, 61 percent of respondents said their organizations are doing more international business today than five years ago. Following are two key ways that managers and their teams can gain a more global perspective:

Be familiar with international reporting standards. The growing convergence of financial reporting standards requires professionals to be proficient with international usage. The generally accepted accounting principles (GAAP) used in the U.S. for filing financial reports coexists with the international financial reporting standards (IFRS), which have been adopted by the countries of the European Union and other major nations around the world.
 
International committees are working to reduce the differences between the two, and foreign companies listed with the U.S. Securities and Exchange Commission may soon be able to file financial reports using IFRS instead of reconciling their reports with GAAP. In addition, it’s beneficial to have at least a working knowledge of how U.S. corporate governance requirements affect foreign subsidiaries of U.S.-based firms.
 
Boost your cultural literacy. Being knowledgeable of and sensitive to cultural differences and customs will help you immensely — regardless of whether you’re a globetrotting frequent flier or you’re part of an international work team. Strive to learn the professional protocol and cultural nuances of the countries in which your firm does business.
 
Consult international etiquette books or country-specific guides. (For instance, did you know that exchanging business cards in Japan is a formal process and it’s considered rude if you don’t carefully study a contact’s card when you receive it?) When doing your research, pay particular attention to proper greetings, gestures to avoid, and the appropriate use of first names, last names and honorific titles. And even if your job doesn’t require you to be multilingual, foster goodwill and build rapport with your foreign colleagues and customers by learning a phrase or two in their language.
 
This article is provided courtesy of Robert Half Management Resources, North America’s largest consulting services firm providing senior-level accounting and finance professionals on a project basis. For further information, visit Robert Half Management Resources’ website at www.roberthalfmr.com or call 1-888-400-7474.