University of Mississippi eGrove

Haskins and Sells Publications Deloitte Collection

1978 : an office ofipr le Anonymous

James H. Karales

Follow this and additional works at: https://egrove.olemiss.edu/dl_hs Part of the Accounting Commons, and the Taxation Commons

Recommended Citation H&S Reports, Vol. 15, (1978 winter), p. 10-19

This Article is brought to you for free and open access by the Deloitte Collection at eGrove. It has been accepted for inclusion in Haskins and Sells Publications by an authorized administrator of eGrove. For more information, please contact [email protected]. 11 uuutiiniiiii

Jiff

• II1111 :

t f 11111 tin rfifi

Hi ... unmit

• i I "^

m £Ji j I Iflf*1 ipgilf : i! Atlanta In May of 1864, as the softness of spring 1837 Stephen H. Long, a railroad en­ came to a country just entering the gineer, arrived to select a site for the fourth year of the War Between the southern terminal point of the Western States, Confederate General Joseph and Atlantic Railroad, which was to E. Johnston and an army in run from the Tennessee border to the prepared to meet William Tecumseh southwestern bank of the Chat­ Sherman's challenge from the north. tahoochee. Long finally chose a loca­ The Union plan called for a two- tion about seven miles east of the river pronged attack. At the same time that bank, and in 1842 the thirty inhabi­ Ulysses S. Grant advanced against the tants of what was then called Terminus formidable Robert E. Lee in Virginia, watched as road gangs poured in to Sherman would throw 100,000 men — begin grading and laying track. By the the Armies of the Cumberland, Ten­ fall, twenty-two miles of gleaming nessee and Ohio — against Johnston's track connected Terminus to Marietta, force of 60,000 men. Georgia. On Christmas eve, a locomo­ On May 7 Sherman moved from the tive, which had been lashed to a wagon northwest corner of Georgia toward and pulled by a sixteen-mule team sixty Atlanta, vital center of transport and miles from Madison to Terminus, made supply for the Confederacy. Despite its maiden run to Marietta. stubborn opposition by Johnston's out­ In 1843, the town, already a thriving numbered forces, by the middle of July trading center for the surrounding Sherman had pushed to the Chat­ countryside, was incorporated and re­ tahoochee River, only eight miles from named Marthasville in honor of Atlanta. Johnston was relieved by Martha Lumpkin, daughter of Geor­ General John B. Hood, who regrouped gia's governor. By September 1845 the the Southern forces in Atlanta where railroad was completed and the first they made a strong stand but were train from Augusta rumbled into unable to prevent the city's being Marthasville, renamed Atlanta two destroyed by artillery and fire. Hood years later to reflect the city's growth evacuated Atlanta on September 1, and importance as a rail center. and Sherman entered the city, or what In Atlanta today General Sherman was left of it, the following day. is often called the city's first urban re­ The capture and destruction of At­ newal chairman. On a more serious lanta (only 400 of the original 4,500 note, there are those who argue that the homes and buildings survived) dealt a destruction of the city in some respects mortal blow to the Confederate cause cut it off from the past, forced it to re­ and set the stage for Sherman's "march build and look to the future. Indeed, to the sea" across Georgia in Novem­ the city seal bears the phoenix, the ber, the capture of Savannah in De­ legendary bird that was periodically cember and the subsequent push north consumed by fire and rose each time through the Carolinas in the spring from its own ashes. of 1865. Atlanta has indeed risen from its At the time of its destruction by own ashes. The downtown section Sherman's armies Atlanta was not an contains some of the most striking con­ old city. The first white settlement, a temporary architecture seen anywhere fort, had been built in the Atlanta area in the country, reflecting the city's posi­ in 1813 on land that was the hunting tion as the southeast's center of com­ ground of the Creek and Cherokee. In merce, communications and finance. Haskins & Sells opened an office in America and Europe; Peach Bowl, Atlanta, its eighth, in 1915 and since Inc., a major post-season college foot­ 1963 has occupied quarters in the ball game whose net proceeds are do­ headquarters building of our client The nated to charity; and Johnston Indus­ Citizens and Southern National Bank. tries, Inc., textile manufacturer with Curtis H. Cadenhead, Jr., partner in interests in real estate and oil and gas charge in Atlanta since 1973, describes development. the city as "a great place to live and a The office also served as accountants great place to work." Curtis, a native of for the reelection campaign committee Dallas and the son of a retired H&S of Atlanta Mayor Maynard H. Jackson, partner, joined the Firm in 1951 in who was returned to a second term in Houston where, except for a tour of office in an election held last October. duty with the Navy and a year in "Atlanta was affected by the general Executive Office, he remained until economic downturn in 1974 and 1975," June 1971. He was admitted as a partner Curtis said, "probably the first time the in 1966. Curtis spent two years as part­ city really was hit by a recession after a ner in charge of the Buenos Aires office long period of very strong growth. But of Deloitte, Plender, Haskins & Sells we're coming out of it very nicely now. before transferring to Atlanta as PIC. Construction is an important factor in The Atlanta office services the en­ the economy of this area, and the latest tire state of Georgia and has our Chat­ statistics show a very definite pickup in tanooga, Tennessee office as an af­ single-family homebuilding." filiate. This provides the professional The fact is that the growth of the staff with a broad variety of clients, in­ Atlanta office has outpaced that of the cluding American Business Products, state's economy. "We had some forty to Inc., printer of business forms, books, forty-five professionals in Atlanta in magazines and catalogs; Coats & Clark 1973," Curtis said. "Today we've grown Inc., manufacturer and distributor of to about ninety, and our projection for sewing thread, knitting yarn and re­ the future sees us increasing the profes­ lated items and a subsidiary of a DH&S sional group to about one hundred client in Glasgow, Scotland; Yardley of within the next year." London, Inc., manufacturer of soap, Other statistics are equally impress­ cosmetics and toiletries and a sub­ ive. Ninety percent of the office's en­ sidiary of a client; Atlanta Gas Light gagements are originating, 38 percent Company, major supplier of natural gas of its professional staff are women, 15 in the state of Georgia; Phipps Land percent of the staff are black, about 60 Company, Inc., developer of residen­ percent of the professionals hold tial and resort properties throughout graduate degrees. The audit depart­ the southeast; Holder Construction ment has sixty-three people, tax has Company, builder of commercial and ten, small and growing business serv­ industrial buildings; Cystic Fibrosis ices has eleven and management advi­ Foundation, a voluntary health and sory services has three. welfare organization with about "Our clientele is representative of ninety-five chapters across the country; the business community in Atlanta," Kurt Salmon Associates, Inc., man­ Curtis noted. "I should point out, how­ agement and engineering consultants ever, that we're only in our second full with operations in North and South year of a new program in SBS, and the

1 Inspecting reel of paper on its way to the press on the cavernous reel-room level of the press room at The Atlanta Constitution and The Atlanta Journal are H&S alumnus Tom H. Wood (2nd r.), president of the Atlanta Newspapers Division of Cox Enterprises, Inc.; James Cox Kennedy (r.), general manager; H&S tax partner Hardy Williamson (2nd 1.); and audit manager Steve Coulter (1.). The Constitution is on the stands in the morning, and the Jour­ nal is published for afternoon distribution. Mr. Kennedy is the grandson of the late James M. Cox, former Governor of Ohio and founder of the Cox newspaper chain.

2 MAS manager Bill Gaik (standing) offers presentation on "Effects of EDP on the Auditor's Study and Evaluation of Internal Control" at breakfast training meeting held to discuss current developments in accounting and auditing. Seminar was given at the Royal Coach Motor Inn in Atlanta.

3 The first step in the delivery of printed checks from the John H. Harland Company is always by air as employee Terry Hayes tosses stamped and addressed boxes into mail bags sur­ rounding him on three sides. Watching an almost flawless performance are (1. to r.) H&S partner Jim Curry; Robert R. Woodson, executive vice president of Harland and an H&S alumnus; Harland chairman J. William Robinson; senior assistants John Robinson and Sloan Woodson; and seniors Thorn Peters and Melanie Morris. Harland operates twenty- seven plants in various parts of the country, producing checks and other printed materials.

growth there has really been gratifying. We've had solid advances in our audit, tax and MAS clientele as well, but I think what we've seen in small and growing businesses proves conclusively that putting the right people in key po­ sitions and then mapping and imple­ menting a broad, effective program brings the kind of results we want." Administration is definitely one of the strong points of Curtis Cadenhead. "People are the key to an expanding practice," he insists, "and that means not just having the right people, but giving them proper supervision, the right training and positioning them so that their strengths are utilized to the fullest. "In the case of training, for example, audit manager Vance Wingo under the direction of partner Mike Sutton guides and monitors the progress of our train­ ing program, which basically consists of the Firm's core program plus original material we've developed here. Last year we averaged some 100 hours of training. This calendar year it will be more like 120." Recruiting is a key element in the Atlanta office's drive to develop an out­ standing staff. SBS partner Jim Cope- land, who is the office recruitment coordinator, uses a team approach in Atlanta. Team captains, including Curtis and partners Mike Sutton and Charles Bagby, managers Gerald McCarley and Bill Gaik, and seniors John Hoyle and Thorn Peters, map an approach to the office's recruiting ef­ forts at such schools as the University of Tennessee, , Auburn University, Georgia State University, Georgia Tech, Emory Uni­ versity and Atlanta University Center. Each captain is responsible for assem­ bling a team of H&S people that will maintain contact with faculty, impor-

14 2

tant administrative personnel and out­ clear indication of that confidence in standing students at each school. The the future of H&S in Atlanta. team is also expected to attend school "Thirteen percent of the office pro­ functions, assist in campus and office fessional staff are in SBS," Jim Cope­ recruiting visits, and, in the long run, land said, "and the department is ex­ see that the Firm has a consistently out­ panding. Right now we're interested in standing recruiting effort. a direct-entry recruiting program for "Atlanta has a very positive image Small Business, or 'growing our own,' if throughout the country, "Jim Copeland I can put it that way. We provide serv­ said, "and that certainly makes it easier ices for a great variety of SBS clients. to recruit people for the office. A We've done everything from perform­ number of the top students who were ing a statistical survey for the state in a enrolled in the Firm's special internship Medicaid fraud investigation to design­ program, for example, selected Atlanta ing a special statistical-sampling ap­ as a location for their internship. We proach to the quoting of odds on 'in­ have people on our staff from the better stant' lottery tickets for Scientific schools all over the ." Games Development Corporation, a "The foundation of any successful client controlling some 80 percent of accounting practice, of course, is serv­ the market in state lotteries utilizing ice — service of the highest quality — the 'instant' type of ticket. and Atlanta's traditional dedication to "One important ancillary benefit to technical proficiency and quality of the Firm is that so many of the better service is well known," Curtis ob­ students — and I should note that served. "We have an excellent reputa­ about 80 percent of the SBS staff have tion in the city — we are known as a graduate degrees — are attracted by a Firm and an office that provide out­ good SBS program because it gives standing services to their clients. We them an opportunity to function as believe that with our new and stronger consultants at an earlier stage in their dedication to practice development, careers. we can make our reputation pay off. "Curtis gave me the people, the "In the Firm, we are known as an resources and his support. We've put office that produces exceptionally our emphasis on those businesses we capable people. Atlanta managers have feel are growing, and we assembled a been promoted to partner in each of group of people that is talented, enthu­ the last six years, with two — Jim siastic, professional and practice- Copeland and Jim Curry — admitted in development oriented. It's an unbeata­ 1977. It's a good young group we have ble combination." here, and they know we have to expand Jim Curry, administrative tax part­ if they want to stay with the Firm in ner in Atlanta (Hardy T Williamson Atlanta and grow and advance profes­ is senior technical partner), is equally sionally. There may have been a time optimistic about the tax practice. when it was accepted that you would "Our ability to grow seems to be lim­ have to leave Atlanta for promotion, ited only by the rate at which we can but we've changed that." develop talented tax specialists," Jim said, pointing to the success of the of­ The development of the Small and fice practice-development efforts. Growing Business Services group is a "However, I have good reason to be op-

1 Shown on main level of Fulton Federal Savings & Loan Association are Ed Schweers (r.), Fulton senior vice president and treasurer and an H&S alumnus; H&S partner Charles Bagby (2nd r.); Jim Roberts (1.), vice president and secretary for Fulton; and audit manager Vance Wingo (2nd 1.). Fulton Federal has thirty-two branches in Atlanta and five other cities in Georgia.

2 Clifford M. Kirtland, Jr. (1.), president of Cox Broadcasting Corporation, and Raymond J. Tucker (r.), secretary-treasurer of Cox, enj oy conversation on a warm autumn afternoon with H&S partner Mike Sutton (2nd r.) and manager Dwight Mathews (2nd 1.) on portico of headquarters of the corporation. Called White Columns because it was constructed in classical antebellum style, building is also site of WSB-TV and WSB AM and FM radio.

3 Dr. Robert C. Vowels (2nd r.), dean of the School of Business Administration at Atlanta Uni­ versity Center, emphasizes a point in discussion with H&S manager Bob Gay (L), senior Thorn Peters (2nd 1.) and senior assistant Marzell Cain (r.). Both Thorn, who is president of the Atlanta Chapter of the National Association of Black Accountants and a member of the NABA National Board of Directors, and Marzell, recently named one of the Outstanding Young Men of America for 1977 by that organization, are graduates of Atlanta University Center, which includes four undergraduate colleges, a graduate school and an inter­ denominational theological college. 1 Ship's running lights and decanter lend nautical motif to conference room where changes in banking industry are discussed by (1. to r.) Bennett A. Brown, assistant president of The Citizens and Southern National Bank; Richard L. Kattel, C&S chairman and president; H&S partner Wil Schwotzer; Everett E. Walker, C&S senior vice president and comptroller; H&S manager Gerald McCarley; and senior Dan Kirby. Seagoing flavor of room reflects bank's roots in the port city of Savannah, where it was founded.

2 Wayne Mason (2nd 1.), chairman of the Gwinnett County Board of Commissioners, shows off features of the Lake Lanier Water Park, a new $18 million water-treatment plant, to (1. to r.) H&S manager Marty Crowson, Gwinnett County Director of Finance Larry Still, Gwin­ nett County Administrative Assistant Wayne Shackelford, and H&S senior Zack Rogers.

3 Seniors Cheryl Green way and Jim Adams (a) and staff accountant Howard Gibbs (r.) pause after viewing the figures of Jefferson Davis, Robert E. Lee and Stonewall Jackson carved into the side of Stone Mountain, said to be the largest single piece of exposed gran­ ite in the world. Stone Mountain State Park is operated by H&S client Stone Mountain Memorial Association. Howard, who holds a master's degree from The Wharton School, joined our Atlanta office in June 1976 and received the highest scores in the state in the November 1976 Uniform CPA Examination.

timistic. We have an exceptional group tailed practice-development program. of people on our tax staff. As they move "You have to make an investment in into the management ranks over the terms of people's time; you have to next few years, I expect our tax practice work at it. It's not a collateral duty," will really take off. Our plans call for Bills insists. recruiting approximately four new tax Under the office program, the PD specialists a year for the next several committee deals with prospective years in order to meet the expanding clients when necessary, oversees the demand for our services. The Atlanta development and maintaining of con­ office has an outstanding client base, tact with attorneys, bankers and simi­ and we intend to take full advantage of lar referral sources; counsels members this resource in building a strong tax of the staff in practice-development practice." techniques; and monitors the prepara­ Atlanta's MAS group, headed by tion of prospective-client proposals and manager Bill Gaik, who works with presentations. One of the more impor­ consultants Ned Smith and Steve tant functions of the committee is to Williams (both EDP specialists), serves designate a specific team assigned first Atlanta, Mobile, Birmingham, Nash­ to meet with a prospective client and ville and Chattanooga. then to prepare an engagement "About half our work is EDP ori­ proposal. ented," Bill said, "and about 75 percent "We also feel strongly that our people of our services are performed for audit have to become more involved in clients. The potential for an expansion community activities," Bill said, "but of our MAS activity here is really we want them in the more influential, good," Bill insists, "especially with visible positions with key organiza­ established clients. What we've been tions. As part of this program we have finding is that many of our clients have obtained copies of such booklets as been so impressed with the quality of How To Be a Board or Committee our audit and tax work that we've also Member, part of the Leadership Library been asked to provide MAS services." published by the National Board of the According to Bill, a CPA who trans­ YMCA, and the Guide for Board Or­ ferred from audit to MAS in 1971 and ganizations in Social Agencies, published who specializes in the design of ac­ by the Child Welfare League of counting systems, the MAS group in America. We're in the process now of Atlanta expects to add two more people building a library of PD materials for by the end of the present fiscal year. our people." "Our projection now is to increase the Bill said that it is management's pol­ group by three people, to a total of icy to encourage people to become in­ eight, by the end of the following fiscal volved in outside activities. "We're year." helping those people who want to join Bill is also chairman of a practice- organizations by giving them assis­ development committee made up of tance, time and support. The entire partners Curtis Cadenhead, Charles staff has become PD conscious, and I Bagby, Jim Copeland and Jim Curry think the success of this effort shows up and audit manager Marty Crowson. A most clearly in the increasing number large part of the Atlanta office's of prospective-client leads we are get­ growth, enthusiasm and optimism, he ting from our staff people. This has said, stems from management's very been an important contributing factor strong commitment to a formal and de­ to the success of our SBS practice." • Even the monthly office newsletter ties, in addition to its respectable includes a special section on practice- baseball and basketball teams, helps development matters, including client foster the Atlanta office's team spirit. and prospective-client material, to In the fall all office personnel adjourn make the subject more open, more for an outing at Lake Lanier Island, available to everyone. "It's surprising northeast of the city, for a day of camp­ how many times we've written some­ ing, horseback riding, fishing, golf, thing about a prospective client and tennis, boating or just relaxing in the had one of our staff people come to us sun. In December there is a Christmas and say he or she knows someone cocktail party for office people and there," Bill noted. their families, followed in the spring by In the same vein, Jim Copeland last a dinner-dance and in July by a family year was the first person from H&S At­ barbecue at Stone Mountain Park. lanta to be in Leadership Atlanta, a A strongly sports-minded city, At­ nine-month program sponsored by the lanta gives enthusiastic support to the Chamber of Commerce. A large football Falcons, baseball Braves, bas­ number of professionals are nominated ketball Hawks and hockey Flames. for the program, with only fifty being Since there are some eleven colleges selected to participate each year. Jim and universities in the city and sur­ Curry is in the program this year. rounding area, college football also is a "The program was established basi­ popular activity for alumni. cally to help train people to fill leader­ "I think in many ways Atlanta is an ship positions in the future," Jim Cope- ideal location for anyone, single or land explained. The program lasts nine married," Curtis Cadenhead said. months, and those participating meet "You've got a great range of professional in plenary sessions and in smaller study sports for those who enjoy watching groups each month. Each study group is team play; there are great places for hik­ assigned a particular problem facing the ing, fishing, hunting and boating city. As a graduate of Leadership At­ nearby; museums to visit; and concert lanta, Jim has led a study group and is and dance troupes appearing regularly. now assisting in the administration of I also think Atlanta has some of the the study-group program. finest restaurants in the country — "Although it has only been in opera­ which some of us consider a true asset tion for about five years," Jim said, to Georgia's capital city. And if you've a "Leadership Atlanta has been so suc­ mind for travel, you can get direct cessful that several other cities have al­ flights to most major cities from ready started their own programs, mod­ Atlanta. eled after the Atlanta format, and "Atlanta would like to be an interna­ other cities considering its adoption tional city and it's well on the way. have been in touch with us. I think Aside from the strong influx of popu­ what I really like about the program is lation and business to the Sun Belt that it gives you the training and oppor­ during the past several years, a consid­ tunity to make a real contribution to erable number of foreign interests are the development of the city. And, of considering investment in the Atlanta course, the practice-development po­ area. tential in the contacts you make in a "When you live and work in At­ program such as this is invaluable." lanta," Curtis said, "it's hard not to be A regular schedule of social activi­ optimistic." O

1 Outside High Museum of Art, part of the Atlanta Memorial Arts Center, H&S partner Jim Copeland (1.) discusses modern steel-girder sculpture with SBS manager Michael Hem- bree (2nd 1.), while audit manager Tom Waggoner gets a brief lesson in sketching from art student Susan Battle.

2 Enjoying a lunch break in Atlanta's Central City Park are (1. to r.) Bucky Dykes, Jr., audit senior; Linda Taylor, audit assistant; Cathy Pickard, audit senior assistant; and John Hoyle, small business services senior. Central City Park is one of the more popular places for in­ formal dining during pleasant weather.

3 At Commerce Club reception for the prominent Atlanta law firm of King & Spalding, Atlanta PIC Curtis Cadenhead (1.) talks with K&S partners Charles Kirbo (c.) and Jimmy Sibley. Mr. Kirbo is a close friend and advisor to President .

18