Accounting Employers' Expectations--The Ideal Accounting Graduates.

Abstract This research examined what accounting employers are seeking in their 'ideal' accounting graduate and sought to provide clarification on the 'expectation gap' between what accounting employers require in their graduates, and the skills these graduates are exhibiting. Adopting a qualitative research method, this research paper draws on semi-structured interviews conducted face-to-face with participants from key accounting employers. This research found that, in terms of technical skills, employers require at least a sound understanding of the fundamental technical accounting skills. However, beyond this, little more is expected technically of graduates as the requisite technical skills are learned 'on the job'. Findings also suggest that the touted 'expectation gap' is not as pervasive as prior literature has suggested. Over half of employers also believed universities are preparing students adequately for the workplace, although this seemed to be moderated by an opinion among employers that this is "as well as an academic institution can do. " Based on the findings, some key recommendations were made. These include a greater inclusion of non-technical skills in accounting education through the incorporation of practical case study problems into accounting curricula, involving group discussion and the production of written reports and business presentations for their 'client' as well as the continued encouragement of internship opportunities within university degrees. Keywords: Accounting employers; accounting graduate; expectation gap. Introduction There is a perception that an 'expectation gap' exists. The perceived gap is between the skills and attributes accounting graduates gain from university and those expected and/or required by employers of these graduates (Botes, 2009; Garner & Smith, 2010; Low, Samkin & Liu 2013; Marshall, Dombroski, Jackling & De Lange, 2009). A number of researchers (Bui & Porter, 2010; Botes, 2009; De Lange, Jackling & Gut, 2006; Kavanagh & Drennan, 2008) also indicate that employers continue to find accounting graduates not "work ready. " Low et al (2013) found that accounting graduates believed that soft skills acquired at tertiary institutions were mostly as a result of non-accounting courses. Botes (2009) interviewed 200 accounting practitioners in South Africa and found that nearly three quarters (69%) of the practitioners, held the opinion that "graduate employees were not "immediately suited to the world of work" (p.207) because they lacked the required skills and attributes. Albrecht and Sack, (2000) and Bowden and Masters (1993) not only hold the opinion that there is a gap, but an increase in the gap between education and practice which necessitates alteration of the curriculum. Studies conducted by Botes (2009); Jackling and de Lange (2009); and Kavanagh and Drennan (2008) have been important in drawing attention to the fact that there is a gap. In order to maintain the momentum of these significant findings, the issues highlighted in these studies should be pursued further and within different contexts if accounting graduates are to remain relevant to practice. The research objective of this paper is therefore to investigate the extent to which the employer 'expectation gap' exists within the New Zealand (NZ) context. This has been explored by asking accounting employers in NZ, which specific skills/attributes/competencies they require accounting graduates to have? Further attention has been paid as to whether the desired skills, attributes, and competencies differ based on the industry sector and size of the accounting employer. This research provides clarification on the 'expectation gap' between accounting employers and graduating students in NZ and establishes which qualities accounting employers are looking for in the 'ideal' accounting graduate. This study contributes to the current literature by providing recent results about the significance of the employer expectation gap within the NZ context and extends extant literature by providing further clarification from employers on the qualities required from graduating accountants. …