Where have all the accounting students gone?

California CPA, June, 2001 by DEANNA McCRARY

"In essence, we are broadening the pool of applicants that come to the firm," says McVey. "It is unique because they get work experience and school experience at the same time."

For most firms, an expensive education program is not an option, which makes a scene that is being acted out in Sacramento quite intriguing. Pending legislation would alter California licensing requirements such that candidates could continue to sit for the Uniform CPA Exam after completion of 120 units and become licensed with a bachelor's degree and two years of general experience or they could choose an alternative track guided by the Uniform Accountancy Act which requires 150 semester hours and one year of general experience.

"I believe that the reduction in experience will definitely result in an increase in applicants to become CPAs, especially those working in the tax departments or consulting groups," says Chrislynn Freed, director, masters programs and associate professor, clinical, USC Leventhal School of Accounting.

But also at issue is the relevancy of today's traditional accounting curriculum. "We're still teaching the same stuff to a great extent, that we were teaching 30-40 years ago," says Holder. "And it's not that it's without value, it's just that its value relative to other endeavors seems to have diminished in the marketplace," says Holder. "We could benefit very much from giving our students a broader education. I think they need lots more finance, for example. They need to become steeped in option-pricing models and derivative and matrix-pricing models. Our guys need to know a lot more about that to be world-class."

At Cal State Hayward a committee was developed to examine the current curriculum and see what changes need to be made to keep up with marketplace realities. "We're expecting the committee to look at everything--every jot and tittle, no stone will remain unturned, including titles of courses, to see whether or not what we teach is really relevant," says Storrer. He is most concerned about revising the curriculum to reflect current advances in technology and the multinational nature of business today.

"In light of that we hope to spruce it up and meet the needs of our clientele--the firms that hire our students," Storrer says. To that end, Cal State Hayward also is interviewing employers, all the Big Five and some smaller and medium-sized firms who hire their students, to learn how they can better meet their needs.

"The issue is that they need students, graduates, who can think critically--that's the key that we're getting--rather than those who have a command of information about accounting," he says.

Storrer says that one of the firms indicated that they would prefer an anthropology major who can think critically to an accounting major who can't. "They're not interested in accounting majors--even master's students--who are not fast on their feet intellectually. I think that the education part of it is lagging. I've been in this business for 30 years and it seems that with this one we're behind the curve. We are reacting rather than innovating. I think all of the universities across the country are going to have to deal with this issue of what is relevant in their accounting curriculum."