Although studies have shown that building diversity in the workplace is not only the right thing to do but is also highly profitable, many fields still have extremely homogenous workforces. In the United States, accounting has a major lack of diversity problem—in 2019, nearly 80% of accountants were white.
Although women make up a large portion of the accounting professions (60.9%), they are still less likely than men to hold higher management and decision-making roles. Additionally, women of color make up a very small portion of the accounting workforce, with under 5% of accounting master’s and bachelor’s degrees earned by Black or Asian women. Latina women fared only slightly better.
Benefits and Challenges of Diversity Efforts
There are many benefits to increasing diversity in the workplace and the field of accounting can and must do better. However, companies will inevitably encounter challenges as they work to build a more diverse and welcoming workplace.
Benefits include increased interest in open roles and better employee retention, especially among younger workers. Additionally, companies with diversity in leadership do much better financially, and diverse teams make better decisions overall. Innovation is also improved with greater diversity since a range of perspectives will be considered.
Challenges to diversity initiatives typically include some amount of resistance to change. People may be unwilling to examine their implicit bias to improve diversity or maybe worried about interpersonal conflicts in a more diverse workforce. Other roadblocks include cultural differences, poor communication, and the cost of investing in diversity initiatives.
Diversity: A Smart Investment for Accounting Firms
Despite the inherent challenges, accounting firms must invest in diversity. By assessing weaknesses and creating clear goals, firms can begin the process of building a better work culture. That will include adjustments to policies, branding, organizational culture, and hiring.
To learn more about this multi-step process, take a look at this infographic from the University of North Dakota.
