Women and accountancy: still a way to go

In 1919, Mary Harris Smith (1847-1934) became the first woman chartered accountant in the world at the age of 72. Although she had studied from the age of 16, worked as an accountant and established her own practice in 1888, her applications to join the Society of Accountants and Auditors were repeatedly turned down. However, after much campaigning, and once the Sex Discrimination (Removal) Act was passed, she finally won her battle.
 
In 2010, women make up an increasing proportion of new entrants to the accountancy profession. Almost 50% of the accountancy trainee intake is female and over half of ACCA members and students are women. So have all the problems been solved?

In 2009, ACCA in Singapore conducted the Women in Accounting and Finance Survey 2009 jointly with Robert Half to ascertain whether the proverbial 'glass ceiling' is finally cracking.

One of the most worrying statistics to come out of the survey was that 45% of those asked do not think they will reach a senior management position, such as a directorship, within finance and accounting. This is a feeling that is reflected around the world.

This view exists partly because the upper echelons of the profession are often still dominated by men - in the UK and the US, two of the most advanced countries, only 20% of senior jobs are held by women. It also relates to work-life balance issues. Evidence shows that female accountants have similar careers to those of men until they have a child, after which their career is typified by a break in employment and part-time work. This is also often the point at which disparities in pay begin. Others still may leave to go into a smaller practice where they can work on a more flexible basis.
 
This is something that should be addressed as a priority. Evidence proves that companies need gender-balanced senior management teams to participate in the global market strategically and wisely. For example, many studies confirm that men and women bring different and complementary sensibilities and leadership styles to the table.

Taking just two examples, Columbia University's 2008 report Girl Power: Female Participation in Top Management and Firm Performance provides data suggesting that firms that promote women to senior management positions have superior economic performance due to the different skills women bring to the table. And a 2005 study from the Center for Financial Research at the University of Cologne entitled Sex Matters: Gender and Mutual Funds documented differences between male and female fund managers: women managers tended to take less extreme risk and to adopt more measured investment styles (that perform well over time).

Encouraging women into senior management positions is a crucial part of the global drive to improve equality between men and women. Chartered accountancy is a diverse and rewarding career. We need to change these often negative perceptions of the accounting profession to ensure that there is a fair representation of women at all levels.

ACCA has made a number of recommendations to address these issues in its paper Equality: Women in Financial Services - we would be interested in your views.

Comments

[Elaine Kappel Ovre]

The old boy network is still alive and well. It is difficult to break in because of this, despite our best efforts as women.

Particularly in small states like Trinidad and Tobago, with elite all male schools which often serve as feeders into the profession, the network is entrenched. In addition, the long working hours and unwillingness of employers to embrace the new technologies makes it very difficult , as mentioned in the article.

Thanks for highlighting an important aspect which is often overlooked.

[Arslan]

As an business entreprenuer i am least concerned whether my key personnals are men or women.

Nobody in the business sector is concerned really. As long as the key employee is working effectively and efficiently. All that matters is the end result my business profitability and survival.

[Ali Nooradheen]

i think in degree level both women and men are equal percentages should be getting, fifty fifty. but the master level and careers, the women opportunity should have less. in fact of many reasons. the women will have higher responsibility for husband and their child. i think this is the main reason for the women into senior management positions is to be less.

[ali baig]

It is ironic that these studies point out that 'differences' in men and women's leadership styles, creativitites and skills have helped companies achieve superior performance, because modern day feminists consider it no less than blasphemy to point towards any differences between men and women apart from the anatomy.

[ali baig]

If only 20% of senior jobs are held by women, it may also point to the fact that significantly lesser number of women take up careers in engineering and finance; the paths which ultimately lead to high ranking positions.

This is likely because even though women make up the majority of the university students in the US, a large number of them choose 'soft sciences' rather than hard sciences or finance and accounting.

However we are constantly fed the idea that any difference between the collective achievements of men and women (when considered as separate groups) must be due to discrimination alone and not because of the difference choices that men and women may make.

We need to understand that equal opportunity may not always result in equal outcome...unless of course one may want to 'enforce' an equal outcome.

[queenta Ntsinda Nsufor]

It has generally been noticed that the few women in top positions perform well, so any employer who is part of this gender balance will be missing out on a vital set of individuals who can bring a change and turn the company around.

[queenta Ntsinda Nsufor]

I think many women in this very noble profession need to be encouraged and employers equally need to be made aware of this gender imbalance in strategic positions in other to fight this out.