Art of Accounting: How Price Waterhouse was engaged to count the Oscar ballots

Summary

This article discusses the role of Price Waterhouse (now PwC) in the Academy Awards since 1935 when they were engaged to count the ballots for the Oscars. This was an early example of cross-selling services and helped to add credibility to the award. The article also discusses how Price Waterhouse was selected as an auditor for the Academy and how they took on added assignments such as tabulating and overseeing internal balloting and income tax consulting. It also talks about how modern accounting firms can learn from Price Waterhouse's example and use their agility and ability to go after new services and spur growth.

Q&As

AI Comments

👍 This article is an interesting look into the history of accounting and how Price Waterhouse was able to add value to the Academy of Motion Picture Arts and Sciences. It is amazing to see how far accounting has come since the 1930s and how Price Waterhouse was able to gain so much recognition for its services.

👎 This article does not provide any real insight into the current state of accounting and how firms are using cross-selling services to add value to their engagements. There is not enough analysis or discussion about the pros and cons of growing into different niches.

AI Discussion

Me: It's about how Price Waterhouse was engaged to count the ballots for the Academy Awards in 1935. It discusses the importance of cross-selling services, even back then, and how the accounting firm was able to gain a lot of publicity through high-profile public service accounting roles. It also discusses the need for accounting firms to be agile and willing to take on new services and clients in order to grow.

Friend: Interesting! So what are the implications of the article?

Me: Well, I think it's a reminder that accounting firms need to be open to taking on new services and clients in order to grow. They need to be agile and willing to take on new challenges and opportunities. It also stresses the importance of cross-selling services, and how it can lead to more publicity and recognition. Finally, it also shows the value of engaging with high-profile public service roles, as it can lead to greater credibility and trust.

Action items

• Research other industries and organizations that could benefit from the services of an accounting firm.
• Reach out to potential clients in those industries and organizations to offer services.
• Develop a strategy for providing advisory services to clients outside of the firm's niche.

Technical terms

Audit

An audit is an independent examination of financial information of any entity, whether profit-oriented or not, and irrespective of its size or legal form. It is an objective assurance activity designed to add value and improve an organization's operations.

Cross-selling

Cross-selling is a sales technique used to encourage existing customers to purchase additional products or services.

Statuette

A statuette is a small sculpture, typically of a human figure, that is used as a decorative object or award.

Tabulating

Tabulating is the process of collecting, organizing, and summarizing data in a tabular form.

Income Tax Consulting

Income tax consulting is the process of providing advice and assistance to individuals and businesses on how to minimize their tax liabilities.

Advisory Services

Advisory services are professional services provided by a firm or individual to help clients make informed decisions.

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