The Changing Face of Accounting Education

The Changing Face of Accounting Education

Previous chapter president Thomas Boyd sits down with chapter President-Elect and Chair of the Department of Accounting and Taxation of St. John’s University Dr. Adrian Fitzsimons, to gain perspective into the development of education in the accounting community.

Thomas Boyd: How has accounting curriculum evolved since you have been involved with accounting education?
Adrian Fitzsimons: In addition to becoming technically competent, students must be able to use computers and accounting software. Students must also develop the skill to be able to audit clients with complex information and communication systems.

Another difference results from the increased complexity of the U.S. tax systems. Today, many students pursue graduate degrees in taxation to develop a comprehensive and in-depth knowledge of the Internal Revenue Code, tax regulations, judicial decisions and Treasury rulings.

Q: There is much controversy over the 150 hours required for CPA licensing. What effect do you believe this has had on the profession?
A: Students are using the 150-hour requirement to continue their education to gain more technical knowledge in specific fields within the profession. Many students are pursuing the Master of Science degree program, which enables them to specialize in such areas as controllership, information technology or taxation. Alternatively, some students have obtained a Master of Business Administration to broaden their business skill set.

The principal disadvantage of the 150-hour requirement has been the additional tuition costs incurred by the students. This cost is exacerbated by the loss of federal and state tuition assistance.

The profession, in general, and the public accounting firms, in particular, need to recognize this cost burden placed on students. The Big Four have recognized this cost and now provide scholarships to students. Other firms need to do likewise.

Q: What do you believe are the major factors affecting students’ decisions to enter the profession?
A: The primary determinant of a student’s decision to select accounting as a major is the career opportunities available. Currently, because of the profession’s need for more staff, many students are choosing to major in accounting.

A second determinant, which is of equal importance, is compensation. When one considers the added 150-hour requirement and the difficulty and rigor of the accounting curriculum, one can easily understand why students may choose not to major in accounting if compensation is lower.

As accounting educators, we stress the rewarding and fulfilling work that accounting graduates find in the profession. The important role played by auditors in the U.S. capital markets has become clear to many students today, unfortunately as a result of the well-reported accounting failures. Their desire to assist in the rebuilding of the public trust in the profession and their understanding of the relevance and importance of the profession have increased enrollment in accounting programs.

Q: What has the accounting program at St. John’s done to bridge the gap between the classroom and the profession?
A: Several curriculum changes have been recommended and implemented with the assistance of the accounting program’s very active Advisory Board.

In addition, the department has recognized that students were not aware of the many opportunities and rewards that mid-sized firms provide. We developed the Accounting Circle, which consists of over 50 regional and local accounting firms and holds a Meet the Mid-Sized Firms night where regional and local firms explain their many benefits and employment opportunities to our students.

This initiative has led many of the student organizations to invite accounting professionals from these firms to discuss opportunities with their members. Firms that actively participated in these events have achieved greater success in their recruiting efforts and have expressed their appreciation for the program.

Q: What do you see as the looming challenges for accounting education and the profession?
A: Accounting education and the enrollment of accounting majors are very dependent on the needs of the marketplace. Specifically, when public accounting firms cut back on their recruitment, the lack of employment opportunities quickly translates into a decline in accounting enrollment. For example, if firms decide to transfer professional work overseas, the number of accounting majors will again decline and the pool of accounting professionals will shrink.