The ethics of professional accountants: an Aristotelian perspective

Abstract

Purpose The purpose of this paper is to examine how Aristotle’s ethics can be applied to the ethics of professional accountants (PAs), in relation to the approach adopted by the International Federation of Accountants (IFAC), and to consider the reasons that justify the Aristotelian approach. Design/methodology/approach The paper outlines IFAC’s approach and identifies several weaknesses. Three themes of Aristotle’s Nicomachean Ethics are applied to the work of PAs. Reasons why this perspective is more suitable for PAs are then articulated. Findings Several aspects of Aristotle’s ethics can be fruitfully applied to the ethics of PAs. These include the relationship between function, goals and the good, an awareness of the human goal to achieve eudaimonia, the development of both excellences of character and of intelligence, and the significance of non-rational aspects of morality, including emotions, will, responsibility and choice. Research limitations/implications This perspective provides an alternative conceptualisation of the ethics of PAs. Although it does not provide concrete guidance regarding what the ethical approach to specific situations may be, it presents a useful counterpoint to existing approaches that are largely deontological and utilitarian. Practical implications This paper provides accountants in practice with a more comprehensive and adequate perspective on what it means for a PA to be ethical, and raises several issues related to how ethics is included in the education and training of accountants. Originality/value Investigating the philosophical basis for professional ethics approaches professional codes of ethics in a way that it is not typically considered. The paper also provides a more comprehensive application of Aristotelian ethics than previous work.

Audit Committee Attributes and Internal Audit Function Effectiveness. Evidence from Zimbabwe Local Authorities

“…Internal audit plays a paramount role in organizational governance practices (IIA, 2016) and this is well documented in both professional and academic literature (IIA, 2016;West, 2017;Dal Mas & Barac, 2018). Literature also notes that a number of factors, however, influence the effectiveness of internal audit functions in fulfilling their mandates.…”

“…Literature also notes that a number of factors, however, influence the effectiveness of internal audit functions in fulfilling their mandates. These factors are the main dimensions driving the function's quality, and they include the practitioners' ethical decision making ability (Woodbine & Liu, 2010;West, 2017), which significantly determines the function's objectiveness (Jachi & Yona, 2019b), the function's competencies mix (Endaya & Hanefah, 2013;Lenz & Hahn, 2015;Abbott, et al, 2016;Jachi & Yona, 2019c) and the ability and capacity of the function to resist management influence (Kimotho, 2014;Roussy & Brivot, 2016;Al-Shabail & Turki, 2017;Jachi & Yona, 2019a). It can be noted from this handful of literature that one of the key factors in enhancing the quality and effectiveness of internal audit functions is the role played by audit committees.…”

Peran Akuntansi Dalam Pertanggungjawaban Sosio-Ekologi

“…Berdasar teori etika keutamaan Aris toteles yang dasar utamanya adalah konsep teleologi yang terungkap secara umum pada tujuan etika, yaitu tindakantindakan yang seharusnya dilakukan oleh manusia sehing ga hidup manusia menjadi baik, mulia, ber nilai, dan bermutu (Bredilett, 2014), serta teleologi Aristoteles yang menyatakan bah wa setiap tindakan manusia bertujuan pada sesuatu yang baik atau suatu nilai (value) (Kaptein, 2017 (DaVia, 2018;Kurzynski, 2012). De mikian pula bagi profesi akuntan dalam menjalankan praktik pelaporan keuangan, etika keutamaan Aristoteles sangat relevan untuk dipertimbangkan demi tercapainya tujuan pelaporan keuangan yang memba wa kebaikan dan kemuliaan bagi seluruh pemangku kepentingan (West, 2017). Ana lisis data dilakukan secara tematik (thematic analysis) dan disajikan sesuai tematema yang diklasifikasikan sesuai temuan peneli tian.…”

Accounting Ethics and the Professional Accountant: The Case of Ghana

“…It has been suggested that the continuous relevance of ethical standards to the practising accountant will help address /minimise the corporate scandals and improve the current public image of the accounting profession. This is because in all the cases it is not the technical competence/excellence of the professional accountants which was in question but their ethical judgement which involves character development through pre/post qualification (lifelong practical endeavour) (West, 2017). In order to address this shortfall, the current study seeks to examine the relevance of accounting ethics in modern times, factors that contribute to accounting fraud and the challenges faced by accountants as they strive to adhere to ethical standards.…”

“…Therefore, a professional accountant"s responsibility is not exclusively to satisfy the needs of an individual client or employer but the entire public (Lee, 1995;Brennan 2016). In acting in the public interest a professional accountant should observe and comply with the ethical principles of integrity, objectivity, professional competence and due care and confidentiality (Adams, 2004;West, 2017).…”