The Effects of Globalization on Both Accounting Profession and Education

Innovations in technology has catapulted the financial district into a global market. Globalization has had a large influence on the way businesses conduct business. Firms are not only responsible for being privy to information involving consumers in their own backyard but also understanding consumer culture as well as economic, political, and legal structures that exist in other countries. Due to the influence globalization has had on businesses, it has changed the expectations that are required of incoming business students and their education. More specifically, accounting students are being impacted by the changes globalization has influenced the market with. These students are challenged more particularly throughout their undergraduate years to understand not only the rules and regulations of GAAP (General Accepted Accounting Principles) but also the standards set forth by the IFRS (International Financial Reporting Standards). Within the accounting sphere, the primary focus has been on external reporting which involve the preparation of financial statements and auditing. However, due to the ever changing world of the global market, future accountants are required to possess perspectives that influence both external and internal reporting. The market will continue to change due to the fast paced journey of information making globalization an important factor in accounting education.

Businesses in the United States have largely adopted GAAP which is a guide to how business are to construct financial information to produce statements. GAAP has been useful in the last couple of years because it facilitates the way businesses in the U.S. communicate with each other. However, in the global environment, GAAP proves to be burdensome for most companies. Overseas, they have adopted IFRS which is another guide to producing financial information which aids foreign companies with communicate amongst each other. Most countries use IFRS as a basis for the way business transactions are conducted. Since most of the world is using IFRS as the standard it leaves the U.S. with the tedious task of having to incorporate two different principles to conduct business. In the article, “How Globalization is Affecting U.S. Accountants” by Bruce Pounder, Pounder states that “U.S. accountants will find themselves at a severe disadvantage to the many foreign accounting professionals who have already mastered international accounting standards and who are therefore much better-positioned to take advantage of rapidly growing career opportunities in China, India, and other emerging economies” (Pounder, 2007, p. 3). He then goes on to predict that as GAAP becomes more overshadowed by IFRS, U.S. accountants will find their skills and knowledge becoming obsolete. Therefore, IFRS has become more integrated into the accounting curriculum for education. Students are required to understand not only GAAP but IFRS and the changes that occur when working with both. By involving IFRS into the learning process, students will be prepared to later take the CPA Exam which has recently been updated to include information about IFRS in the Financial Accounting and Reporting (FAR) section. Students are becoming better equipped with skills and information that will make them more marketable and efficient in the globalized business environment.

In the U.S. economy, a thriving financial sector is usually supported by a strong public accounting and auditing firms. Therefore, the focus over recent years has been to ensure that accountants excel at compiling information involving a company’s assets, liabilities, equity, investments, etc. However, due to globalization, external accounting practices aren’t as valued if internal practices are not also implicated. Internal practices are important because it shapes the way businesses reach their customers in the foreign market. Authors Paul Danos and Richard L. Measelle stated in their article, “Globalization of the Business Environment: Implications for Accounting Profession and Business Education”, that “In a competitive global market place, the internal accountant must be sensitive to what drives the costs of products and he/she must work with production and marketing people to rationalize all cost accounting procedures” (Danos, 1990, p. 79). The responsibilities of the internal accountant is becoming more critical to the success of businesses. For a business wanting to expand into foreign territory, cost accounting is used to accurately develop product price information, location of manufacturing facilities, picking suppliers, etc. Due to these factors, internal accountants have to be familiar with regulations across borders, tax treatments, and currency conversion costs. When it comes to public accounting, auditors must be heavily versed in global accounting standards because “the world’s economies are becoming increasingly interdependent… ” (Needles, 2010, p. 602) according to Belverd E. Needles Jr. author of the article “Accounting Education: The Impact of Globalization”. The author goes on to encourage global standards for auditors because it strengthens their practices by only having to be familiar with those regulations. In order to be well versed in the global market, accounting students are advised to take courses specifically designed to analyze different cultures, languages, and political factors that influence societies.

Globalization has influenced many changes that have taken place in both the accounting profession and education. Students are now exposed to problems that occur in the global market and how to go about solving them. Not only are these students expected to understand all the mathematics and jargon involved with the business world, but they are also expected to have a good sense of foreign consumer culture as well as the regulations bound to each country. Implemented with these skills, students will be able to excel in the new business world.

Globalization and Education

In this paper I am going to look at the effect globalization has on education whether it is positive or negative. The paper will look at how globalization has given educators the ability to expand their teaching and the learning experience. One of the sources is a follow-up on a conference at Harvard held by many faculty experts in various fields. The article should provide some good insight as to whether or not globalization has proven to be beneficial toward educators and the education they are providing. Globalization is a process in which economies, cultures, and societies have combined through a global network of trade and communication. While the term is more often used in economic settings, globalization has aided in the advancement of society as a whole. Globalization is not a new idea, and when used in its economic connotation, it refers to the removal of trade barriers amongst nations to improve and increase the flow of goods across the world. But in this article, we are going to look at the implications of globalization on education and the educators themselves.

The way globalization has influenced trade barriers and communications among countries has in turn habituated the way educators educate. Corporations have targeted schools and colleges and have turned to them in order to help with expansion. Courses and programs were restructured in order to increase the marketing for programs such as MBAs and distance learning courses. A distance learning course is an online based course that has helped people who may already be working or those who need to stay at home achieve a degree. As a result the cost for students to attend universities has gone up as well, leading to a change in the way loans and grants are distributed and in what quantity. The perception people have on the current economy is playing a major impact in globalization effect on education. Regardless of the higher costs, students are still finding it necessary to stay in school and get as much accreditation as they can before entering the job market. It’s projected that in the next few years enrollment numbers will continue to rise significantly due to the belief that not having a degree in today’s economy is detrimental to success.

The restricted courses are allowing students to prepare for particular jobs as opposed to giving them a general education on a subject. This is described as being a “managerial-based” teaching strategy where students are not only taught the concepts needed for their degree, but in leadership as well. This is something to hardly be opposed too, but the increase in direct costs for students is cause for concern among some people. Some people are looking at this relationship between globalization and education and defining it as a technique the government is using to unitize education across the world. Some people feel the government is doing so because of pressure from “greater powers” to increase the educational well-being of students without receiving any opposition to the changes. The increasing understanding is that globalization is being reflected in an educational agenda that allows for various, and countless, improvements upon the education system that allows the educators themselves to expand on their teaching, and present students with real world situations that require them to “think outside the box”, or outside the realm of their particular field, if you will.

In conclusion, globalization seems to be, overall, a pretty beneficial movement in terms of education, although there are still several obstacles in its way. Harvard economist David Bloom has said that the world’s economies have thrived in globalization, as they all share a deep commitment to the education of young people. But he goes on to say that while these nations have gone on to use globalization to increase their educational prosperity, globalization has further distributed more “wealth to the wealthy” and fewer benefits to the poor. It was suggested at the same Harvard conference that education for pre-college students be more informing as well, and those students should know before going in that, for example, “the state of India’s economy, could very well affect their ability to receive and maintain a job once graduated”. The whole idea is very intriguing, and should continue to be monitored closely as globalization’s impact on education will likely be major, just as it has been for many other aspects of society.

John Dewey and Education

No discussion on educational reform will be complete without looking into the educational philosophy espoused by John Dewey. The progressive education movement was led by John Dewey. Progressive education sought to revolutionize the way students learn from a traditional test-driven, textbook and rote learning-oriented system to an experiential and project-based mode of learning.

His educational philosophy was well laid out in his book Experience and Education. He laid emphasis on a hands-on approach rooted in experience for nurturing and stimulating the curiosity of students. However, he was against a rigid or dogmatic adherence to one particular approach and felt an open approach incorporating the best practices of different approaches towards learning was the way forward. John Dewey voiced his concern that the extremes of progressive and child-centred education which focused on complete freedom could result in chaos and felt a flexible structured approach was important in experiential learning.

John Dewey put forward a theory of experience to be incorporated into the educational approach that he envisioned. In his theory of experience, John Dewey defined two aspects necessary for imparting education in an experiential mode, namely continuity and interaction.

Continuity takes into the account the importance of each prior experience affecting each new experience of a student or individual and shaping their perspectives and insights. John Dewey thus highlighted the importance of experiential learning building on a learner’s prior experience and knowledge and the importance of continuity in a learning experience.

Interaction refers to the level of involvement of the learner to a particular learning experience which directly correlates with the prior experience of the learner and the learner’s own inner motivation, perceptions and goals.

John Dewey’s philosophy on education also laid great emphasis on the psychological and social aspects of a student’s life that had a great impact on his/her experience. Traditional approaches on the other hand neglected this important factor that affected each experience of a student. He felt that the teacher needs to be a facilitator and guide who empathizes with the learner instead of an authoritarian figure who invokes fear in the minds of the learner. He felt that each new experience should arouse the curiosity of the student to develop new interests and broader perspectives and should enable the student to relate to his/her immediate surroundings.

The Importance Of Reference and Education In Your Getting the Right Job

Most of you job hunters out there might want to polish your reference and education in your resumes or curriculum vitae so you can up the chances of getting the attention of human resource officers. This is especially true to people who have been unemployed from their jobs due to their companies cutting downsizing.

The number of people who have been re-trenched due to global recession has been rising in an alarming rate. Most of these out of employment people are suddenly put into a situation wherein their source of living is taken away so abruptly that they end up relying on the government monthly checks to survive. Many stories have been heard of these professionals still out of job because some job centers just cannot seem to find the right job for them that can match their skills, experience, and other attributes.

You must know that competition out there is tougher with fresh graduates, young professionals looking for greener pastures, or the laid off middle age worker, and other job seekers flooding the job market. You may be one of the types of job hunters circling the job centers in town, surfing online job databases, and or looking at your community bulletin board or local newspaper. And so you know how it is to keep on searching without having any positive feedback from the companies you have sent your resumes or CV’s. What seems to be the problem?

Well, there are two emerging important factors called reference and education that should be carefully mentioned in your profile or portfolio. Many human resource officers have been keen on these two factors because of the scarcity of the jobs that they can offer. Any of the companies wanting to hire a personnel would want someone who have been working credibly as stated in his references and also has the knowledge to fill in the job position that can be mirrored by his educational attainments. The higher the education, the higher is the expectation for you to get the job well done.

So how do you get a good reference? This depends if you have any prior job experiences and the type of job seeker that you are. For fresh graduates, enlist all your summer jobs and part-time jobs and then pick out something that relates to the position you are currently applying for. For young professionals or laid off worker, consider your most recent company if they have good commendations regarding your work. Some of the companies that laid off workers readily hand out references or recommendations to laid off workers to help them find a new job right away. Send a reference request letter to your direct supervisor of your best work experience and then wait for their letter of recommendation. This factor can be readily checked by the human resource personnel by contacting your stated references so do not attempt to falsify any documents.

For educational factor, this can be a limiting to those who do not have a degree, certifications, or other documented expertise. Universities, community and technical training schools can readily provide you with your scholastic records for your supporting documents. The government is also willing to shoulder your schooling expenses so that you can further your skills or education and therefore get a better job. Just look around for open programs or scholarships that you can use to make yourself more valuable with additional technical skills or higher education.

Reference and Education – A Way For Better Future

Reference and education is one of the most important things to consider in every person. This will take effect whether you will apply for a job or entering school or university. In order for you to be accepted, they will be referring on your reference and education. One of the most challenging part in a man’s life is when they reach their education. It really means a lot for every person because this is the start of their success in the near future. Parents need to tell their children every essential characteristics of education. Without the level of education, children will most probably be unaware of the changes that life brings.

The basic education that was given by the government have its own rules and regulations that needs to be follow. Parents should hold on to which they will provide their children the basic education needed. They need to encourage their children on the basic aspect of education. This will pursue children to continue their future.

You can have your education in a private or public school or university depending on your choice. This will not matter as long as you have the capacity to withstand all the challenges of being a student. The most important thing is that you have the determination for your success.

Upon entering school for high school or college, they will need to know your reference and education. In that way, screening of every student is evident. There are also tests that will measure your intellectual capacity. You will then have SSAT for secondary schools or sat for colleges. For having better results for this, you will most likely be having SSAT tutoring or sat tutoring.

Sat also known as the scholastic assessment test is globally recognized as an admission test for every student taking college degree. This will evaluate their knowledge about basic subjects like math and English. This is basically used in college admissions and this is considered as the first step to get the right college for you.

To prepare for a sat, you will probably go through a sat tutoring. This will assist you to do better for sat. Your college application will be exceptional upon passing the test. Sat tutoring will cater your needs for every subject involve in the test. In this activity, you will find different techniques on how you will make the test easy.

The same thing for SSAT or (secondary school admission test) is a standard aptitude test intended for secondary students. This will also test their comprehension and mathematical skills. Sat tutoring will provide you a step by step process to solve your stressful math problems and will not give you more time in memorizing tons of vocabularies.

Remember that the most important thing in pursuing your education is that, you have the best and quality reference and education. Whether it is sat or SSAT, the means of tutoring is still the same when it comes to aiming for a better result. Always remember that when you have all the knowledge, don’t forget to apply your skills accompanied by your good attitude so that you can have a good outcome of your plan.