Accounting Horizons publishes reviews of textbooks and other books of interest to accounting scholars and practitioners. All book reviews are solicited by the Senior Editors. However, if you know of a book that you would like reviewed or if you are interested in reviewing a book, please contact the Associate Editor.
The Associate Editor is:
Stephen R. Moehrle
College of Business Administration
Department of Accounting
University of Missouri–St. Louis
1 University Blvd., 202 Anheuser-Busch Hall
St. Louis, MO 63121-4400
Phone: (314) 516-6142
Email: [email protected]
The book, Why Diversity, Equity, and Inclusion Matter: Challenges and Solutions, is a timely and varied addition to the diversity, equity, and inclusion (DEI) literature. The editor and his colleagues present a compilation of articles that address the antecedents and consequences of DEI in organizations, health care, educational systems, and the wider society. In the early 2000s, the editor and several of the contributors to this book published multiple papers that analyzed the impact of gender diversity in a variety of situations. Despite studies that have shown that gender diversity on global corporate boards has improved and despite the increase in research in the field of gender diversity, the editor and his colleagues noted that gender diversity on boards continues to be low. Hence, the value of compiling a collection of articles. This book goes beyond board diversity and presents research and discussion on issues ranging from pay gap, allyship, concealable disabilities, gender diversity impact on conservative financial statements and market reactions, local culture and its impact on corporate DEI programs implementation, and inequities in educational systems and health care.
Researchers interested in the field of DEI will find a collection of 19 studies that cover a wide range of topics. It is a quick resource for those interested in learning more about the positive impacts of strong DEI programs and the pervasive, negative impact of the lack of DEI programs. Although the book is perhaps most relevant to academic researchers, there are a variety of articles that would be insightful for professionals in health care, multinational firms (specifically accounting firms), and executives who want empirical evidence that support the need for board diversity. The mix of authors includes those in academia located in the U.S. and globally, health care professionals, accounting professionals, and diversity and communication consultants. Additionally, the studies were conducted both in the U.S. and in other cultures and countries. This mix of authors and geographic locales provides diversity in voices contributing to the topics. The range of topics also leads to a range of article types and research methods, which appears to be intentional by the editor and should appeal to a broad readership.
The collection begins with a selection of studies that address practices that are not conducive to promoting DEI, such as pay gaps, implicit biases, ineffective communications, and meritocracy. The next section looks at DEI programs in organizations outside of the West and how local culture can affect the implementation of such programs. The Association of International Certified Professional Accountants has long recognized the lack of diversity in positions of leadership in public accounting firms. Accounting professionals interested in understanding how inclusive environments in accounting firms can help foster culturally diverse leadership should read the article by Karen Loon (Loon 2023, Chapter 5, 93). Loon discusses challenges faced by diverse employees in reaching partnership, specifically in the Asia Pacific region, and provides a list of actions that can be taken to encourage and engender a more culturally diverse leadership. The collection of articles then moves to a series of studies that look at how the lack of diversity impacts a variety of situations. This section is dedicated to gender diversity on corporate boards, including the need for thoughtfully designed board composition, good interboard communication, the differences in male and female directors’ connections and how that impacts CEO performance-related turnover and compensation, increase in accounting conservatism when a gender-diverse board is present, and the impact of gender diversity on management forecasts and market reactions to women leaders in IPOs. Yumin Zhang Perry (Perry 2023, Chapter 15, 343) reviews the research on gender diversity within the context of audit firms and evaluates why diversity is important to an auditor’s professional skepticism and audit firms. The collection concludes with two unique perspectives: an in-depth case study on reducing health disparities and a personal life story from Judy Tsui (Tsui 2023, Chapter 19, 449) about growing up in Hong Kong, the social and cultural biases she faced, and how her personal experience of inequity affects our society and economy.
In conclusion, the editor of Why Diversity, Equity, and Inclusion Matter: Challenges and Solutions provides academics and practitioners a diverse group of articles that will inform diverse audiences. This varied, diverse collection illustrates the need for DEI across all areas of our society.
