Women in the smart machine age: Addressing emerging risks of an increased gender gap in the accounting profession
Introduction
The Smart Machine Age (SMA) is coming. Many argue that it is already here, ushering in a new era of rapid technological advancement that could displace millions of workers across the globe. Who will be most impacted by this change? How do we prepare for what is to come? Will women be left behind?
Several recent studies predict that the SMA will result in the elimination of as many as 14–16% of all jobs worldwide by 2030 (McKinsey & Company, 2017, Le Clair, 2019). Some have speculated that the COVID-19 pandemic will accelerate these changes, as technology is increasingly embraced to facilitate socially distanced workplaces (Corkery & Gelles, 2020). Accounting positions are consistently listed near the top of all jobs most likely to be replaced by automation and Artificial Intelligence (AI). The positions most likely to be replaced by AI involve tasks that are vulnerable to technological automation due to their routine nature.
This dire situation should be of particular concern for women, who currently hold a large majority of positions such as bookkeeping, data entry, individual tax preparation, and staff-level accounting work (Rocheleau, 2017). A similar risk is observed for other jobs involving routine tasks, such as clerical, service, and sales positions (Dabla-Norris & Kochhar, 2018). As a result, women are facing disproportionate risks of job displacement in the SMA, threatening to widen the existing gender gap in the profession. Although the primary purpose of this article is to generate awareness and evidence of this emerging issue in various job roles in the accounting profession, suggestions are made for educators and leaders in the profession to overcome the challenges heading our way.
Section snippets
Predictions: Radical changes to the profession
Recent surveys estimate that over half of all accountants plan to utilize some form of AI over the next three years (Warawa, 2018). This signals the imminent impact of the SMA on the accounting profession. As basic accounting functions become more automated, accountants will arguably need to interact more with technology to make quick decisions on a real-time basis. They will need to be able to process the vast amounts of data, and communicate information to others to assist with
Risks: The disproportionate displacement of women in accounting
There are several valid, encouraging arguments for the positive impact of the SMA on the accounting profession as a whole. Many have framed this as a welcome change, as positions that will become near obsolete are typically lower paying, entry-level jobs. However, it is important to acknowledge that not all accountants are treated equally when it comes to advancement into roles beyond entry-levels. In fact, persuasive evidence of gender imbalances in the profession suggests that female
Opportunities: Valued skills and unique strengths of women in the SMA
Without a doubt, technological literacy is a valuable skill for accountants in the SMA. However, reinforcing that which makes us unique as humans will also be an important aspect of adapting to our future with AI (Chamorro-Premuzic, Jordan, & Wade, 2018). A recent Harvard Business Review study examined 1500 companies already using AI, concluding that the role of AI is as a complement to our human strengths, not a replacement (Wilson & Daugherty, 2018). This means that humans will need to learn
Strategies: Adapting to the Smart Machine Age
This section provides suggestions for educators and leaders in the profession to promote and encourage women to overcome disproportionate risks of displacement and embrace their strengths in the face of rapid change in the industry. Recommendations are provided that apply to both current accountants facing job displacement risks, and to accounting students entering the workforce in the near future. Specific suggestions are provided for education and skills development for both CPA and non-CPA
Concluding remarks
Perhaps the most important takeaway from this article is strong encouragement for educators and leaders in the accounting profession to support women as they adapt to the changes needed to stay relevant in the business world. Women in the accounting profession have the ability to add value through emotional intelligence and skills that machines are less likely to replace, such as empathy and human collaboration. This is truly an exciting time of innovation, but we must work together as a
Acknowledgements
I would like to thank the guest editors and reviewers of the special issue on gender issues and work-life balance in accounting education for their valuable contributions to this article. I would also like to express gratitude to Dr. Bernice Ledbetter for her input and advice in developing the article. This research was supported by the Julian Virtue Professorship Endowment at the Pepperdine Graziadio Business School.
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The incorporation of soft skills into accounting curricula: Preparing accounting graduates for their unpredictable futures
Meditari Accountancy Research
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