Back to the Future: The Broadening Accounting Trajectory

Contemporary accounting practice has shown signs of a broadening scope of activities being undertaken both from within and as a service provided to organizations. Based upon a historiographic linking of past and present, this paper examines the past 100 years of broadening professional practice in the discipline as a basis for offering a presentist examination and critique of contemporary accounting education and research opportunities. The scope of what constitutes accounting work is found to have been expanding for over 100 years, becoming increasingly at variance with accountants’ traditional beancounter image. Recent professional accounting association investigations reveal an array of contemporary environmental factors that have accelerated this broadening of the profession’s scope into financial planning, assurance services, strategic, risk, knowledge and change management, and management advisory services. This has called for an expanded accounting skills base which has gained momentum towards the end of the 20^th century. The elements of some of these developing areas of professional work and their implications for contemporary and future education and research are examined.     

Personality preferences of accounting and non-accounting graduates seeking to enter the accounting profession

The aim of this study is to investigate the relative personality preferences of accounting and non-accounting graduates seeking to enter the accounting profession. This study is motivated by the recent changes within the Australian accounting profession to encourage non-accounting graduates to enter the discipline, a key motivation for which is a perceived need to attract a greater diversity of individuals to pursue careers in accounting. Using the personality preferences (as measured using the Myers–Briggs Type Indicator [MBTI]) as an indicator of diversity, the results of this study signify that accounting and non-accounting graduates seeking to enter the accounting profession are likely to share similar personality preferences. The implications of this finding for a range of stakeholders associated with the accounting profession, and for matters such as stereotypical images of accountants, graduate recruitment, and university and professional curriculum development are discussed.     

New Zealand High School Students’ Perception of Accounting: How and Why Those Perceptions Were Formed

Abstract

Attempts to change the negative perceptions high school students have of accounting appear to have been unsuccessful. Using the social psychology theory of stereotyping, this study explains why such attempts have been unsuccessful and proposes intervention strategies. Individual perception data were collected through questionnaires and focus groups with New Zealand high school students, half of whom had studied accounting and the other half who had not. The findings suggest that high school accounting students have a very narrow and specific perception of accounting based on their classroom experience. The non-accounting students, on the other hand, have a very abstract perception of accounting, which is devoid of specificity. Failure to address the issues identified may lead the stereotype to become self-fulfilling and result in the recruitment of future accountants who lack the required skills and capabilities required by the profession.     

Bridging the divide: The rise of the Indian Accountant from 1900 to 1932

The Accountancy and Empire literature is replete with studies in which the salient recurring theme has been that of “otherness”. An alternative interpretation of the colonial encounter is offered in this study of the rise of professional accountancy in India whilst under British rule. The study draws on Cannadine’s theorisation of Ornamentalism (2001), which suggests that class was equally as important as race when it came to contemplating the extra-metropolitan world. We draw on this concept as an aid to understanding why the professionalization trajectory in India was different from other racially-diverse colonies and how high-caste Indians were able to bridge the racial divide and enter professional accountancy during the colonial period. The study draws on archival data to examine the processes put in place to enable the rise of the Indian Accountant and professional organisation under a pervasive British presence. We forward the notion that British perceptions of Indians and Indian accountants were framed by the recognition of caste-class affinities that were not prevalent in other colonies and, in India, accountancy was considered to be a profession suitable for Indians from the higher castes.     

Is it Shameful to be an Accountant? GenMe Perception(s) of Accountants' Ethics

The function that accountants fulfil in the economic system is dependent on their ability to maintain the perception of high ethical standards. Building on the idea that birth cohorts, otherwise known as generations, are a useful proxy for the socio‐cultural environment of different time periods, we focus on the so‐called ‘GenMe’, that is, students and young workers born in the 1980s and 1990s. In particular, combining the accounting and business ethics literature, the purpose of our paper is to contribute to an increased awareness of the GenMe perceptions of accountants, with special attention given to ethical aspects. We believe that the perceptions of this age group are particularly crucial for the future of the accounting profession as it is these young people who will either become professional accountants or the accountants' future clients. Using an extensive database of 1,794 questionnaires, results show that the impression of the accountant as a corrupt professional is not dominant among GenMe and seem to suggest the existence of a multifaceted perception of accountants' ethics. Specifically, the factors that contribute to influencing GenMe perceptions of accountants' ethics are level of education, having attended an accounting course at high school level, gender, and belonging to the accounting profession. Finally, our study indicates that there is room for improving public perceptions of accountants' ethics through university courses in ethics, continuing education programs, and focused communication strategies by accounting firms and professional bodies.     

会计稳健性、公司治理与社会责任报告印象管理

以2009-2014年披露社会责任报告的A股上市公司为样本,研究会计稳健性与公司治理对企业社会责任报告印象管理的交互影响.结果表明:企业会计稳健性越高,社会责任报告印象管理程度越低;公司治理水平越高,社会责任报告印象管理程度越低;公司治理水平越高,会计稳健性对社会责任报告印象管理的抑制作用越小;反之,公司治理水平越低,会计稳健性对社会责任报告印象管理的抑制作用越大.会计稳健性和公司治理均有助于抑制企业社会责任报告印象管理行为,且具有替代关系,这种替代关系在非国有企业中更为显著.     

ACCOUNTANTS AND ACCOUNTING: A STUDENT PERSPECTIVE

The concept of a stereotype accountant has previously been researched and reported in the literature. This study examines the attitudes of management studies students towards accounting and the accounting profession. The attitudes were measured using semantic differential and Likert-type scales. Differences between year of study and intended major were examined.     

A conceptual framework of impression management: new insights from psychology,sociology and critical perspectives

In this paper we develop a conceptual framework, based on the concepts of rationality and motivation, which uses theories and empirical research from psychology/behavioural finance, sociology and critical accounting to systematise, advance and challenge research on impression management. The paper focuses on research that departs from economic concepts of impression management as opportunistic managerial discretionary disclosure behaviour resulting in reporting bias or ‘cheap talk’. Using alternative rationality assumptions, such as bounded rationality, irrationality, substantive rationality and the notion of rationality as a social construct, we conceptualise impression management in alternative ways as (1) self-serving bias, (2) symbolic management and (3) accounting rhetoric. This contributes to an enhanced understanding of impression management in a corporate reporting context.     

Modern slavery and the accounting profession

This first paper in the Special Issue on “Modern slavery and the accounting profession” considers how various branches and functions of the accounting profession in business operations and supply chains are implicated by the move to end modern slavery. Accounting has always been involved with slavery practices. When slavery was legal, accounting focused on reporting slaves as assets and expenses in the accounts. In these more humane times, now that ownership of slaves is illegal, the accounting profession has different functional responsibilities towards modern slavery. These include external reporting in line with and above and beyond requirements of legislation; internal management accounting to build awareness and support planning, control and decision making to reduce modern slavery risk and look for opportunities from mitigation; and audit and assurance to ensure credibility of claims made by business. The papers presented in this Special Issue touch upon some of the key aspects of the connection between modern slavery and management control systems, corporate disclosures and the historical role of professional auditors/the accounting profession, but much remains to be achieved in the research agenda ahead.     

The reflective accountant: towards a new model for professional development

The accounting profession in recent times has been under intense scrutiny. Questions have been raised about, among other things, the right of the profession to regulate its activities, the behaviour of accounting firms and the usefulness of accounting information, a situation that would seem to indicate the existence of a crisis. This paper argues that the present crisis facing the accounting profession can be attributed to the inability of the tradional (technical rationality) model for professional development to cope with the new demands placed on the modern accounting profession which is characterized by professional pluralism. The paper proposes an alternative model for professional development based on the concept of the ‘reflective practitioner’. It is argued that the proposed model would equip accounting professionals with a degree of flexibility which is considered essential in carrying out their functions in a changing environment.     

The effects of personal information management capabilities and social-psychological factors on accounting professionals’ knowledge-sharing intentions: Pre and post COVID-19

Given the increased emphasis on individual factors in knowledge management research, this study proposes a research model that examines the effects of personal information management capabilities and social-psychological factors on the knowledge-sharing intention of accounting professionals. The survey results from 136 accounting professionals reveal that both personal information management capabilities and perceived image can positively influence knowledge-sharing behavior. Conversely, reciprocity and loss of knowledge power do not exhibit a significant role in knowledge-sharing intentions. The comparison analyses between pre- and post-COVID-19 sample groups indicate similar results for the hypothesized relationships while there are notable mean differences in knowledge sharing intention, image and information processing capabilities. This study extends current research by incorporating personal information management capabilities to examine the power of the “individual” in knowledge sharing and offers timely evidence of accounting professionals’ personal knowledge management practices during the period of COVID-19. This study raises implications for researchers and practitioners interested in knowledge management in the accounting profession.     

Educating and Training Accountants in Syria in a Transition Context: Perceptions of Accounting Academics and Professional Accountants

This study focuses on accounting education in the Syrian transition context and in the international context of globalization. It offers insights into accounting education and into the interrelationship in this respect between the accountancy profession and academia in this context. We elaborate an historical and contextual analysis of the Syrian context in relation to accounting education. We report on a series of interviews (conducted in 2002 and 2005) of professional accountants and accounting academics in Syria that elaborates the views of these key parties on a number of interrelated matters: the current limitations of tertiary accounting education in Syria; the role of the accountancy profession in providing education and training; and the developing interrelationship between the profession and academia. In concluding, we summarize some key insights and elaborate on the relevance of the study and the future research it suggests.     

South African Career Guidance Counsellors' and Mathematics Teachers' Perception of the Accounting Profession

The shortage of accounting professionals is well-documented. To address this shortage, greater numbers of school students should be attracted and enrolled in undergraduate accounting programmes. Unfortunately, school students may have misperceptions of the accounting profession. These misperceptions may result in potential entrants to the profession being lost to other professions. Secondary school teachers play an influential role in students' perceptions of future careers. This survey assessed the perceptions of the secondary school career guidance counsellors and mathematics teachers' perceptions of the accounting profession in South Africa in comparison to the medical, engineering and legal professions. The findings suggest that the accounting profession is held in lower esteem than the engineering and medical professions, but in higher esteem than the legal profession. The findings confirm previous research conducted in the USA, Australasia and Japan. Marketing and recruitment programmes should educate secondary school teachers as to the true nature of the accounting profession.     

Breaking the link with a university education in the creation of a chartered accountant: The ICAS story

Accountancy is now well established as an elite professional occupation in most parts of the world and much of this status has been afforded through an association with educational qualifications. The assumption that a university education adds value to individuals, employers and society has led to a massive increase in tertiary education both in the UK and internationally and there is a societal expectation in the UK that a university education is the norm rather than an opportunity reserved for the academically elite. However, within this context, the chartered accounting profession in Scotland (ICAS) is considering opening up training to school leavers and other non-graduates as part of its ‘Fast Forward to 2010’ strategy. Evidence from the sociological literature suggests that any alteration in the educational composition of the members of a professional group may adversely impact upon that group's status and standing in society. In turn, any change in the educational qualifications of the members of a profession risks influencing the perceptions and aspirations of potential recruits.In this study we seek to further our understanding of how potential recruits perceive and evaluate both university education and the accountancy profession as an occupational group. In addition we consider how the school leaver route may be viewed by potential recruits in terms of its impact upon individuals' career aspirations and the overall status of the profession. By collecting data from school pupils from both the public and the private educational sector and first year and final year university undergraduates from a ‘traditional’ and ‘new’ university this study has identified some of the possible consequences of the ICAS proposal and provides insights relevant to an understanding of the professional identity of CAs in the 21st century. As such, our insights may serve to assist policy-makers in understanding the potential consequences of any changes in the educational requirements of future recruits.     

'A sort of guide, philosopher and friend': the rise of the professional auditor in Britain

This paper considers the legal and financial context in which professional audit emerged in Britain during the nineteenth century. It concludes that an important contributing factor to the rise of the audit profession was its provision of advice on prudent accounting, which represented a distinctive competence. The capture of a jurisdiction over business advisory services from the legal profession involved, however, a relationship of complicity with management and large insider investors the interests of social capital- to the exclusion of small investors, who were stigmatized as 'speculators'.     

Boundary-work in management accounting: The case of hybrid professionalism

This paper investigates boundary-work in management accounting in the context of globalization and hybrid professionalism. The paper demonstrates how permeable symbolic boundaries of the management accounting field can be altered by employing expansion boundary-work. Contrasting boundary-work of IMA officials and IMA members in Russia, we show that IMA officials employ primarily monopolization boundary-work while IMA members employ primarily expansion boundary-work. Our findings illustrate how boundary-work is employed to exhibit organizational and occupational professionalism in the symbolic realm. The paper provides additional insight into the discursive domain of the accounting profession by linking boundary-work to globalization, two forms of professionalism, legitimacy, status and professional identity. This suggests that the professionalization process is influenced by the properties of professional boundaries.     

The relationship between accounting students’ personality,professional skepticism and anticipatory socialization

Professional skepticism is an essential component of every successful audit. Research in psychology identified the trait professional skepticism as an enduring personality construct. The current study examines the relationship between the Big Five personality characteristics and accounting students’ trait professional skepticism and their level of anticipatory socialization. Using a sample of 293 accounting students close to graduation, results indicate a positive relationship between Big Five personality characteristics and the trait professional skepticism, and between personality and anticipatory socialization. There is also a positive relationship between professional skepticism and anticipatory socialization. These results are useful to accounting educators who attempt to socialize accounting students into the profession.     

Tests of time: organizational time-reckoning and the making of accountants in two multi-national accounting firms

There has been remarkably little study of the recruitment, training and socialization of accountants in general, much less the specific case of trainee auditors, despite many calls to do so. In this paper, we seek to explore one key aspect of professional socialization in accounting firms: the discourses and practices of time-reckoning and time-management. By exploring time practices in accounting firms we argue that the organizational socialization of trainees into particular forms of time-consciousness and temporal visioning is a fundamental aspect of securing and developing professional identity. We pay particular attention to how actors consciousness of time is understood to develop, and how it reflects their organizational and professional environment, including how they envision the future and structure their strategic life-plan accordingly. Also of particular importance to the advancement of career in accounting firms is an active engagement with the politics of time: the capacity to manipulate and resist following the overt time-management routines of the firms. Rather than simply see trainees as passive subjects of organizational time-management devices, we noted how they are actively involved in ‘managing’ the organizational recording of time to further their career progression.     

Towards market differentiation in the accounting profession: The case of Australia and New Zealand

The literature on the evolution of the accounting profession has frequently explained that the changes in the structure of the profession over the last century or more have often been used to achieve closure of the profession. The profession is once again in a state of flux. The Australian accounting profession has undergone major changes and is contemplating more transformation. The sole accounting body in New Zealand has made a major shift from monopoly over accounting practice to free competition for all. Examining the recent developments in Australia and New Zealand, the paper shows that the objectives behind the current changes in the two countries are identical. They are primarily no longer seeking closure and are moving towards achieving market differentiation. The paper then demonstrates that this strategy shift can be seen as an outcome of the new market orientated socio-economic environment of these countries. The outcome of the change is a profession that is trying to be consumer focused with a corporatist structure, within the shade of professional identity.     

An institutional analysis of accounting growth and regulation in the United States

The accounting profession in the United States has experienced rapid growth in the past two decades, and growth is likely to continue in the foreseeable future. Although the U.S. Securities and Exchange Commission possesses explicit statutory authority to regulate accounting and financial reporting, the profession is largely self-regulated, an arrangement widely supported by the corporate business community. Yet no single current accounting theory provides a full understanding of these two very basic phenomena. This paper examines organizational models based on contractualism (agency theory and transaction cost analysis), hierarchy (radical) and Fligstein's “organizational fields” conception, and evaluates their application to the accounting process. It is proposed that institutions are central to an understanding of accounting growth and regulation. The essay then offers a theoretical critique based on the internal and external aspects of economic organizations.