Account(share)ability through social media during the COVID-19 emergency: the case of universities

PurposeThis paper aims at exploring how and to what extent universities enlisted Facebook, a social media platform, in the discharging and shaping of their accountability during the COVID-19 emergency.Design/methodology/approachDrawing on the literature on accountability in the virtual world and crises, a netnographic analysis of the Facebook postings by a sample of Italian universities is performed to identify and interpret the accountability discharged via social media platforms by universities during the COVID-19 pandemic.FindingsUniversities used social media in a range of modes, from conveying simple instructions to rendering traditional accountability for their conduct during the crisis. However, in various Facebook postings, they give voice to various stakeholders' thoughts and experiences, thereby completely reversing the traditional accountability relationship and making the various stakeholders feel included in the university community.Practical implicationsSocial media can constitute a useful tool for organizations willing to deploy different modes of accountabilities, according to what is required by the specific situation. In the authors' case, social media provided a forum for account-sharing during a critical situation that was common to both the account giver and the recipient.Originality/valueTo the best of the authors' knowledge, this is the first study to investigate the use of social media by universities for accountability purposes and to reveal their possibilities in supporting more ethical forms of accountability.

Are sustainable firms more profitable during COVID-19? Recent global evidence of firms in developed and emerging economies

PurposeThis paper investigates whether sustainability performance (SP) protects financial performance (FP) for firms in both developed and emerging economies during the COVID-19-induced economic downturn.Design/methodology/approachUsing a recent sample of firms in 34 countries between 2003 and 2021, the authors employ ordinary least squares regressions, moderations and the Heckman two-step method to test the hypotheses.FindingsFirms with strong SP have higher FP in developed and emerging economies in the upcoming year. During the COVID-19 crisis in 2020–2021, the impact of sustainability on FP is pronounced in developed but not in emerging economies. Furthermore, cross-listings expose firms in emerging economies to high-standard institutional mechanisms in developed economies. Thus, sustainable firms in emerging economies cross-listed on European stock exchanges are more profitable.Practical implicationsFor regulators and standard setters, the global-level comparative analysis helps them find solutions that may assist firms in improving SP globally (e.g. mandatory reporting) and enduring crises resiliently. For institutional investors, the study reveals the relatively different impact of sustainability risk for firms in developed and emerging economies. For practitioners and private sector firms, this study contributes to the dialogue on what makes firms more resilient in COVID-19. Although COVID-19 might be temporary, the lessons learned could protect firms from future crises.Originality/valueThe authors contribute to the contingency perspective between sustainability and financial performance by providing recent empirical evidence in a global setting during the COVID-19 pandemic. The authors demonstrate how different external institutional mechanisms (rule-based governance and relation-based governance) and cross-listing affect the SP-FP relationship during a crisis. The authors extend the knowledge in crisis management literature with a comparative study and fill the research gap on how SP affects FP for firms in emerging economies compared to developed economies.

Global assessment of the COVID-19 impact on IFRS 9 loan loss provisions

PurposeThis article aims to analyze the impact of COVID-19 measures by governments and central banks on International Financial Reporting Standards (IFRS) 9 loan loss provisions (LLPs). Changes in the total amount of LLPs, distribution of outstanding loan balance among IFRS 9 stages and credit risk parameters used for calculation are investigated for each world region where banks report under IFRS.Design/methodology/approachData for a global selection of 105 banks reporting under IFRS were collected from 2019 to 2020 annual reports, financial statements, and Pillar III reports. These data provide the basis to empirically analyze the impact of COVID-19 on LLPs.FindingsIn most world regions Stage 2 balances increase while Stage 3 balances remain comparatively stable. The credit risk parameters used for computing LLPs remained stable in 2020. However, in China, the impact of COVID-19 on banks was not detected. Mean Stage 1 balances for Chinese banks increased slightly during the pandemic. Aside from the COVID-19 impact, we find that LLPs, credit risk parameters, and loss absorption capacities are significantly lower for banks in Canada, Oceania and Western Europe compared to those in the rest of the world.Originality/valueThere exists previous research examining the COVID-19 impact on financial stability, implementation of emergency rules and country-wide analyses to anticipate default rates depending on recovery scenarios. However, this is the first global study on the immediate impact of COVID-19 on LLPs. It reveals the significant differences between world regions and provides implications about their resilience against future credit shocks.

Accounting, valuing and investing in health care: dealing with outdated accounting models

PurposeDespite major progress made in improving the health and well-being of millions of people, more efforts are needed for investment in 21st century health care. However, public hospital waiting lists continue to grow. At the same time, there has been increased investment in e-health and digital interventions to enhance population health and reduce hospital admissions. The purpose of this study is to highlight the accounting challenges associated with measuring, investing and accounting for value in this setting. The authors argue that this requires more nuanced performance metrics that effect a shift from a technical practice to one that embraces social and moral values.Design/methodology/approachThis research is based on field interviews held with clinicians, accountants and administrators in public hospitals throughout Australia and Europe. The field research and multidisciplinary narratives offer insights and issues relating to value and valuing and managing digital health investment decisions for the post-COVID-19 "value-based health-care” future of accounting in the hospital setting.FindingsThe authors find that the complex activity-based hospital funding models operate as a black box, with limited clinician understanding and hybridised accounting expertise for informed social, moral and ethical decision-making. While there is malleability of the health economics-derived activity-based hospital funding models, value contestation and conflict are evident in the operationalisation of these models in practice. Activity-based funding (ABF) mechanisms reward patient throughput volumes in hospitals but at the same time stymie investment in digital health. Although classified as strategic investments, there is a limit to strategic planning.Research limitations/implicationsAccounting in public hospitals has become increasingly visible and contested during the pandemic-driven health-care crisis. Further research is required to examine the hybridising accounting expertise as it is increasingly implicated in the incremental changes to ABF in the emergence of value-based health care and associated digital health investment strategies. Despite operationalising these health economic models in practice, accountants are currently being blamed for dysfunctional health-care decisions. Further education for practicing accountants is required to effect operational change. This includes education on the significant moral and ethical dilemmas that result from accounting for patient mix choices in public hospital service provision.Originality/valueThis research involved a multidisciplinary team from accounting, digital health, information systems, value-based health care and clinical expertise. Unique insights on the move to digital health care are provided. This study contributes to policy development and the limited value-based health-care literature in accounting.

Broadening the boundaries of accounting: a call for interdisciplinarity in the calculative era

PurposeThis paper aims to present a preliminary exploration of the intersections between the accounting and information systems (IS) disciplines. Using the illustrative example of the COVIDSafe app, released by the Australian federal government in response to the "wicked problem” of COVID-19, we demonstrate the value of interdisciplinarity to broaden the boundaries of accounting beyond a technical orientation to encompass social and moral considerations.Design/methodology/approachWe apply a high-level view of socio-technical theory derived from the IS discipline by using a close-reading method of publicly available media and federal government sources related to the COVIDSafe app collected between April 2020 and April 2021. This theoretical lens allows for an enhanced understanding of the technical, environmental/regulatory, and social subsystems relating to accounting and accountability while supporting interdisciplinary reflection.FindingsAddressing complex and wicked problems in accounting requires interdisciplinary approaches, whereby the accounting discipline must move beyond its technical origins. Dialogue between the accounting and IS disciplines is necessary to gain a deeper appreciation of the social, technical and moral implications of accounting in context.Research limitations/implicationsViewing accounting beyond a technical practice through collaboration between accounting and IS offers a theorisation to consider the multi-dimensional nature of complex societal challenges. This theorisation can support the advancement of our practice and research meaningfully toward a view of accounting that centres on ideas of the public interest and the betterment of society. There remains much scope for progressing this dialogue, and we commend other scholars to engage in interdisciplinary work on the boundaries of accounting.Originality/valueThis study illustrates opportunities for accounting and IS approaches to solving "grand challenges”. Further, the study answers multiple calls for interdisciplinary discourse in accounting scholarship by contributing a socio-technical framing toward addressing complex challenges in our calculative era by initiating a dialogue that moves beyond accounting's traditional technical practice or the "accounting information systems” context.

Crisis accountability and aged "care” during COVID-19

PurposeThis study aims to fill the gaps in mandated reports with social accounts to provide more inclusive accountability during a crisis using the illustrative example of Anglicare's Newmarch House during a deadly COVID-19 outbreak.Design/methodology/approachThis study uses a close-reading method to analyse Anglicare's annual review, reports, board meeting minutes and Royal Commission into Aged Care submissions. Informed by Foucault's concept of biopolitics, the study collocates alternate "social accounts” in the form of investigative journalism, newspaper articles and media commentary on the events that transpired at Newmarch House to unveil a more nuanced and human-centric rendering of the ramifications of a public health/aged care crisis.FindingsCOVID-19 exacerbated pre-existing issues within the aged care sector, exemplified by Newmarch House. The privileging of financial concerns and lack of care, leadership and accountability contributed to residents' physical, emotional and psychological distress. The biopolitical policy pursued by powerful actors let die vulnerable individuals while simultaneously making live more productive citizens and "the economy”.Research limitations/implicationsOrganisations express their accountability by using financial information provided by accounting, even during circumstances with more prevailing humanistic concerns. A transformational shift in how we define, view and teach accounting is required to recognise accounting as a social and moral practice that should instead prioritise human dignity and care for the betterment of our world.Originality/valueThis paper contributes to the limited literature on aged care, extending particularly into the impact of COVID-19 while contributing to the literature concerned with crisis accountability. To the best of the author's knowledge, this paper is also the first to examine a form of biopolitics centred on making live something other than persons – the economy.

Teaching the concept of decision-usefulness, and accounting as a technical, social and moral practice: the case of COVID-19 "case number” reporting

PurposeThe purpose of this paper is to demonstrate how teaching broader accounting concepts through real life non-financial case study information (such as COVID-19 case reporting) can assist students understanding accounting's technical, social and moral perspectives. Accounting education and practice has traditionally focussed on the technical aspects of accounting and has situated accounting within a financial context.Design/methodology/approachThis exploratory study uses content analysis of COVID-19 case and death numbers reported by several international health reporting agencies. This study does not set out to provide a detailed technical or comparative jurisdictional analysis of the decision-usefulness of COVID-19 information. Rather, this study looks at the "decision-usefulness” of the COVID-19 case and death number information, and provides examples that educators can draw upon for inspiration when showing how the qualitative characteristics of decision-useful information can be applied to non-financial information. This study also highlights, by use of a "novel data set”, the technical, social and moral aspects of accounting.FindingsThis study finds that the COVID-19 pandemic provides an opportunity for accounting education by positioning the qualitative characteristics of decision-useful information beyond a financial context. The exploration of accounting within this setting effectively demonstrates that accounting has "technical”, "social” and "moral” dimensions.Originality/valueThis paper fulfils an identified need to include teaching of decision-usefulness of non-financial information in the accounting curriculum to ensure that future professional accountants possess technical and professional competency skills.

Auditors' response to regulators during COVID-19: disclosures of key audit matters

PurposeNew Zealand regulatory bodies guided preparers and auditors of financial statements to deal with potential COVID-19 impacts on the financial statements and audit procedures. This study provides evidence of auditors' response to the impact of COVID-19 on the reporting of key audit matters (KAMs) in audit reports of listed companies in New Zealand. The purpose of this paper is to address this issue.Design/methodology/approachA sample of 50 New Zealand listed companies was selected to compare the KAMs in 2019 (pre-COVID-19) and 2020 (during COVID-19). The study uses content analysis to evaluate the KAMs' disclosures and descriptive analysis to examine the differences between 2019 and 2020 in terms of the auditor type, industry sector and accounting standards.FindingsAuditors responded positively to the request from regulators to communicate the impacts of COVID-19. The findings show an increase in the amount and length of KAMs in 2020 compared to 2019, with 82% of companies and 61% of KAMs reporting the impact of COVID-19. The real estate and information technology sectors disclosed more on the impact than other sectors. In analysing the KAMs, accounting standards for inventories, property plant and equipment, impairment of assets, investment property, revenue from contracts with customers and leases were highly affected by COVID-19.Practical implicationsThe findings support regulators to evaluate how well auditors communicated matters relating to COVID-19 in the audit report. Also, the findings will help standard setters to identify key accounting standards affected by COVID-19 of KAMs and provide insights to users on how the KAM reporting enhances communicative value during the pandemic.Originality/valueThe current study captures the impact of COVID-19 on the reporting of KAMs by comparing changes before and during the pandemic.

Responding to crises: rewilding accounting education for the Anthropocene

PurposeResponding to COVID-19, this conceptual paper uses rewilding to interrupt anthropocentric and human/nature dualist properties of accounting education. Through rewilding accounting education, informed by posthumanist and ecofeminist thought, this paper aims to develop an accounting pedagogy that shapes greater ecocentric narratives. Accounting educators can contribute to addressing crises by evolving new pedagogies that radically transform the education of future accounting professionals.Design/methodology/approachThe authors take a critical stance in analysing the human-centred accounting education model. They explore how this model can be reimagined through rewilding accounting education, resulting in learning interventions that foster an understanding of intrinsic value, complexity of systems and collective disposition with all species and the natural world.FindingsRewilding learning interventions embed an ecocentric approach in accounting curricula design to extend beyond a human focus. Rewilding learning interventions practically explored with application to accounting include learning with and from nature, Indigenous knowledge perspectives, play as a common language and empathy as a dialogical bridge.Social implicationsThe authors present an accounting pedagogy that fosters among accounting students and educators a relational orientation and ecological consciousness that encompasses compassion and openness to others, including non-human species and nature. This will ensure that accounting graduates are better prepared for addressing future crises that stem from our disconnect with nature.Originality/valueThis paper adds to limited research investigating accounting and the Anthropocene. Investigations into the Anthropocene's human-centred discourse in accounting education are vital to respond adequately to crises. This paper extends social and environmental accounting education literature to encompass less anthropocentric discourse and greater relational learning.

Readdressing accountability for occupational health and safety in a pandemic era

PurposeIn the Covid-19 pandemic era, corporate responsibility and accountability for maintaining employee health and safety, particularly from this pernicious virus, have become a matter of major social and economic importance. From an accountability through action perspective, this study aims to set out to evaluate the potential occupational health and safety accountability consequences of the Covid-19 pandemic.Design/methodology/approachThis paper is based upon purposive sampling of several sets of publicly available data including published research literature addressing corporate social responsibility and accountability, and the literature more specifically addressing occupational health and safety (OHS) and its reporting. Also included are recent Web-based reports and articles concerning Covid-19-related OHS government and industry sponsored guidelines for employers and their workplaces across the UK and Australia.FindingsThe findings of this research highlight that firstly, the extant literature on OHS has been predominantly functionalist in its approach and that accountability through action provides an opportunity to make employers more visibly accountable for their response to Covid-19. Secondly, the paper highlights that despite recent progress on OHS issues significant concerns remained in the pre-Covid-19 era and that emerging regulations and legal obligations on employees have the potential to make OHS issues a prominent part of corporate social responsibility research.Originality/valueDisease and mental health statistics reveal the potential significance of their expansion in the Covid-19 environment, and regulatory and legal liability concerns emerge as potential drivers of renewed corporate as well as researcher attention to OHS issues. Implications for the emergence of a broader range of accountability forms and visibilities are also canvassed.

Revitalising the enterprise university post-COVID 19: a focus on business schools

PurposeThe purpose of this study is to provide a polemic on the evolution of universities and business schools over the past two decades. During this period, universities have increasingly adopted a self-interested stance using business-like practices and behaviours to justify their transformation. The authors provide recommendations aimed at enhancing universities' contributions and relevance to society, increasing their sustainability broadly defined and better positioning them to help solve wicked problems in a post-COVID-19 world.Design/methodology/approachThis polemic analyses prior literature relating to the evolution of universities and uses this to generate a framework for ways forward for their improvement.FindingsThe authors argue that the evolution of universities into entities with missions and operations designed to mimic business and commercial imperatives has yielded undesirable outcomes including the muddling of the core mission of universities, alienation of key stakeholders and an excessive focus on income growth. Business schools face a tension between forging their own, unique identities and simultaneously striving to meet university university objectives. We term this "the Business School identity paradox”. The authors contend that the way forward requires senior management to re-discover the essence of what it means to be a university, re-establish collegial decision-making within universities that includes built-in feedback loops and a fundamental emphasis on developing graduates with an enlightened perspective that goes beyond technical skills.Originality/valueThis paper is novel in that it analyses the evolution of the "Enterprise University” some 20 years after this term was first coined and in a radically changed environment following the COVID-19 pandemic. This analysis is also forward-looking as the authors re-imagine universities and business schools by identifying opportunities for renewal and improvement in their focus and societal impact. The authors also develop a schema that identifies major influences on universities and business schools, the impact of COVID-19 and strategies for them post-COVID-19.