Sheet 1: Instructions

	
	
	
	
	

		
Instructions:
		


		


		
Definitions:
	
	

		


		


		


		


	
	

		
1.
		
List all of the clients for whom you are responsible. Consider completing in stages so it does not become overwhelming.
		


		
Job risk/complexity — These criteria deal with client risk and the potential liability some clients may bring to the firm. Whether it is an audit client in a high risk industry, management attitude or lack of controls, or a tax client that constantly pushes the limit on deductions and income reporting, we know there are some clients who pose a higher risk to the firm than others.

Profitability — Is the firm making money on this client? Grade accordingly and adjust as necessary. 

Referral source/client tie-in — These criteria become important to the overall profitability to the firm. Grade your clients according to their proven past, potential future and referral habits. The majority of your clients were
likely referred by another client and it is important to quantify that criteria in this process. Remember that just because you do work for a client who was referred by an “A” client, does not mean they are a good fit client for
your practice.

Life cycle — It’s important to analyze a client’s life cycle to understand their maturity and longevity in your firm. Is the client beginning a new start-up business? Are they growing, increasing sales and competing in their industry? Are they in a mature stage with sales at a steady state? Or is the client in a state of decline? Instead of declining, clients could be in a state of transitional uncertainty but the option of improving their products and brand and hopefully renewing their business.

Additional potential services — These criteria can be highly valuable and profitable. If you have clients who are currently underserved, who need additional services, or who you believe will be open to additional Trusted Client Adviser services, rank them accordingly. In addition to ranking the client’s current status, this will also be the baseline in starting to improve and expand upon your own processes.

Timeliness of payment — This is self-explanatory and very quantifiable. Be honest when grading these criteria.

Satisfaction — These criteria are not how satisfied the client is with us, rather, this deals with our satisfaction and enjoyment in working with the client. More importantly, if you and other team members derive enjoyment and satisfaction in working with the client and from the work itself.
	
	

		
2.
		
You will most likely need more rows than are provided. Insert the required number of additional rows between rows that have already been formatted, then copy and paste the formulas from both columns I (score) and J (rank) into the new rows. Column I automatically calculates the average score. Column J automatically calculates the A, B, C or D ranking based on the results of
column H.
		


		
	

		
3.
		
Sort the list, first by column J (rank), then by column I (score), then by column A (client). This will give you an alphabetical list by rank.
		


		
	

		
4.
		
Consider seriously reviewing the work you do for any “C” and “D” clients and think of ways to move these clients up the scale. Consider discussing with your team those “D” clients as perhaps they should be referred to another practitioner who may better serve their needs.
		


		
	

		
5.
		
Repeat this exercise at least on an annual basis.