This study focusses on personality characteristics, first, as a driver of a student’s preference for a master in accountancy. Then, I examine whether the personality characteristics of accountancy students match the personality characteristics driving a person’s public service engagement or entrepreneurial aspirations. The paper provides insights about the motivations of accountancy students amongst whom some will be future statutory auditors. A personality driven motivation towards either public service or entrepreneurship might impact behavioural intentions and may have future audit quality implications. I show that especially a lack of the personality characteristic ‘openness to experience’ characterizes students with a preference for accountancy. The results provide evidence that the personality of accountancy students do not match those of students attracted to either public service or entrepreneurial activities.

Personality characteristics, accountancy students, public service motivation, entrepreneurship

This paper shows that those with a preference for a master degree in accountancy are by nature not the (self-perceived) entrepreneurially talented. Neither do they have a personality which drives willingness to fulfil a public task. These findings can have implications for the selection, education and permanent education of accountants and auditors. They can provide new insights on for example diversity and inclusion policies of firms. Further, it can have implications for the design of education and training programs.

The job of a statutory auditor and especially an audit partner in a commercial audit firm typically embodies two elements: (1) an entrepreneur in the audit market who needs commercial success to stay in business; and (2) a professional who performs an important public task to society. There is a large body of literature which describes the tension between commercialism and the public interest mission of the auditors (Barrett and Gendron 2006; Carnegie and Napier 2010; Dirsmith et al. 2015; Gendron 2002; Hanlon 1996; Malsch and Gendron 2013; Wyatt 2004). Furthermore audit research shows that individual auditor level characteristics can explain variations in audit quality (Contessotto et al. 2019; Zhou et al. 2016; Gul et al. 2013; He et al. 2018; Knechel et al. 2015; Lennox et al. 2014). The aim of this study is to get a better understanding of personality characteristics of aspiring auditors and their preferences towards commercial and/or professional behaviours.

Zhao et al. (2010) suggest that people seek occupations that match their personality. This raises the question which personality types are attracted to a career in accountancy? The first aim of this study is to examine whether personality characteristics drive a person’s study preference, more specifically in this study, a preference for a master’s in accountancy. The insights are relevant to get a better understanding of personality as a driver for a career in accountancy. The second aim of the study is to examine whether the personality characteristics of prospective accountancy students match the personality characteristics of persons attracted to either public service or commercial activities. A natural overrepresentation of preferences towards either commercialism or public interest motivations, may require actions to avoid potential audit quality implications. Therefore, the findings from this study may have practical relevance for the selection, education and permanent education policies of accountants and auditors.

This paper is structured as follows. The next section, section 2, presents the current accounting literature reflecting on personality characteristics and describes the hypotheses tested. Section 3 presents the survey used in this study, the way the data was collected, and the methods applied to test the hypotheses. Section 4 presents the results of the research model. Section 5 concludes this study with a discussion of the findings, implications, and suggestions for further research.

The first section of this section summarizes the insights from prior literature on the personality characteristics of accountants and statutory auditors, leading up to hypo­thesis 1. Section 2.2 introduces an important and specific dilemma of a statutory auditor working in a commercial audit firm, the fulfilment of an important public task in a commercial environment. Sections 2.3 and 2.4 describe the existing literature on the effect of personality on entrepreneurial behaviour and a public service motivation, respectively, leading up to hypotheses 2 and 3.

The results of this study indicate that business students with a preference for a master in accountancy, are not the ones with a personality type which attracts them to new experiences (openness to experience). As, Farag and Elias (2016) found evidence that openness to experience is positively associated with professional skepticism, the findings of this study would imply that future auditors lack the personality characteristics which drive desired professional skeptical behaviour. However, on positive note, the results show that the business students attracted to accountancy are more sincere and diligent compared to business students with other preferences. These findings are relevant for the audit practice as it emphasizes the importance of training by universities and audit firms to stimulate professional skeptical behaviour, to avoid potential audit quality problems.

The results of this study furthermore confirm the findings of earlier studies that personality is an important driver of a person’s entrepreneurial (self-perceived) talent and a person’s public service motivation. However, personality characteristics of accountancy students do not match with the characteristics of entrepreneurs or persons motivated to fulfil a public task. ‘Openness to experience’, a personality characteristic which the group of accountancy students clearly lack, is for example an important characteristic of entrepreneurs and persons motivated to work in de public domain.

Future research could lead to a better understanding of the effects of these findings on the (intended) behaviour of auditors. For example, will sincere accountants behave more ethically when it comes to professional judgement areas in their work? Furthermore, it is interesting to see if public service motivation and/or entrepreneurial self-efficacy have an impact on (ethical) behaviour. If so, these factors could have implications for the HR policies of audit firms. An adequate and diverse mix of personalities is important to find a balance between entrepreneurial behaviour (to be successful in business or to engage in creative activities which drive innovation in the business) and a commitment to the important public task of the accountant.

The findings can also have practical implications for the design of (university) education and training of accountants and auditors. First, awareness of the personality characteristics of students helps to understand how to communicate with these students. The introvert accountancy students for example, might not express themselves in groups as clearly as more extravert students in group discussions. Second, it is important to understand which type of persons are attracted to the master (in accountancy) and to understand if the mix of personality still matches the needs of future employers. The findings of this study show that (the personality characteristics of) the group of students with a preference for accountancy, by nature, differs from the ones with a preference towards entrepreneurial behaviour or a public service motivation. This implies that education and training aimed to stimulate or nurture entrepreneurial capabilities could be beneficial for accountants.

This study has some limitations. First, the survey conducted in this study involves a group of students and not a group of statutory auditors. These students were asked about their study preference for a master in accountancy, because decisions on future occupations were still too far ahead of them. Not all these students will eventually start a career in an audit firm. It would be interesting to perform this study among a group of statutory auditors to find if results are any different. Furthermore, it would be interesting to see if personality characteristics, entrepreneurial talent, and public service motivation (PSM) differ amongst the different ranks in the audit firms (for example, audit partners versus audit staff). This would be interesting to understand which personality characteristics drive career success within the audit firm and if the mix of personality characteristics within the firm become more or less diverse.

HEXACO-model, personality domains, and facets

Honesty-Humility: Persons with very high scores on the honesty-humility scale avoid manipulating others for personal gain, feel little temptation to break rules, are uninterested in lavish wealth and luxuries, and feel no special entitlement to elevated social status. Conversely, persons with very low scores on this scale will flatter others to get what they want, are inclined to break rules for personal profit, are motivated by material gain, and feel a strong sense of self-importance. The honesty-humility scale consists of four domains: sincerity, fairness, greed avoidance, and modesty.

Emotionality: Persons with very high scores on the emotionality scale experience fear of physical dangers, experience anxiety in response to life’s stresses, feel a need for emotional support from others, and feel empathy and sentimental attachments with others. Conversely, persons with very low scores on this scale are not deterred by the prospect of physical harm, feel little worry even in stressful situations, have little need to share their concerns with others, and feel emotionally detached from others. The personality domain emotionality consists of the personality facets: fearfulness, anxiety, dependence, and sentimentality.

Extraversion: Persons with very high scores on the extraversion scale feel positively about themselves, feel confident when leading or addressing groups of people, enjoy social gatherings and interactions, and experience positive feelings of enthusiasm and energy. Conversely, persons with very low scores on this scale consider themselves unpopular, feel awkward when they are the center of social attention, are indifferent to social activities, and feel less lively and optimistic than others do. The personality domain extraversion consists of the personality facets: social self-esteem, social boldness, sociability, and liveliness.

Agreeableness (versus anger): Persons with very high scores on the agreeableness scale forgive the wrongs that they suffered, are lenient in judging others, are willing to compromise and cooperate with others, and can easily control their temper. Conversely, persons with very low scores on this scale hold grudges against those who have harmed them, are rather critical of others’ shortcomings, are stubborn in defending their point of view, and feel anger readily in response to mistreatment. The personality domain agreeableness consists of the personality facets: forgivingness, gentleness, flexibility, and patience.

Conscientiousness: Persons with very high scores on the conscientiousness scale organize their time and their physical surroundings, work in a disciplined way toward their goals, strive for accuracy and perfection in their tasks, and deliberate carefully when making decisions. Conversely, persons with very low scores on this scale tend to be unconcerned with orderly surroundings or schedules, avoid difficult tasks or challenging goals, are satisfied with work that contains some errors, and make decisions on impulse or with little reflection. The personality domain conscientiousness consists of the personality facets: organization, diligence, perfectionism, and prudence.

Openness to Experience: Persons with very high scores on the openness to experience scale become absorbed in the beauty of art and nature, are inquisitive about various domains of knowledge, use their imagination freely in everyday life, and take an interest in unusual ideas or people. Conversely, persons with very low scores on this scale are rather unimpressed by most works of art, feel little intellectual curiosity, avoid creative pursuits, and feel little attraction toward ideas that may seem radical or unconventional. The personality domain openness to experience consists of the personality facets: aesthetic appreciation, inquisitiveness, creativity, and unconventionality.

The 60-item HEXACO personality inventory

Measurement of the HEXACO construct (on a Likert scale, ranging from 1 to 5, 1 being “I strongly disagree” and 5 “I strongly agree”):

Honesty-Humility

6. I wouldn’t use flattery to get a raise or promotion at work, even if I thought it would succeed.

30(R). If I want something from someone, I will laugh at that person’s worst jokes.

54. I wouldn’t pretend to like someone just to get that person to do favors for me.

12(R). If I knew that I could never get caught, I would be willing to steal a million dollars.

36. I would never accept a bribe, even if it were very large.

60(R). I’d be tempted to use counterfeit money, if I were sure I could get away with it.

18. Having a lot of money is not especially important to me.

42(R). I would get a lot of pleasure from owning expensive luxury goods.

24(R). I think that I am entitled to more respect than the average person is.

48(R). I want people to know that I am an important person of high status.

Emotionality

5. I would feel afraid if I had to travel in bad weather conditions.

29. When it comes to physical danger, I am very fearful.

53(R). Even in an emergency I wouldn’t feel like panicking.

11. I sometimes can’t help worrying about little things.

35(R). I worry a lot less than most people do.

17. When I suffer from a painful experience, I need someone to make me feel comfortable.

41(R). I can handle difficult situations without needing emotional support from anyone else.

23. I feel like crying when I see other people crying.

47. I feel strong emotions when someone close to me is going away for a long time.

59(R). I remain unemotional even in situations where most people get very sentimental.

Extraversion

4. I feel reasonably satisfied with myself overall.

28(R). I feel that I am an unpopular person.

52(R). I sometimes feel that I am a worthless person.

10(R). I rarely express my opinions in group meetings.

34. In social situations, I’m usually the one who makes the first move.

58. When I’m in a group of people, I’m often the one who speaks on behalf of the group.

16. I prefer jobs that involve active social interaction to those that involve working alone.

40. The first thing that I always do in a new place is to make friends.

22. On most days, I feel cheerful and optimistic.

46(R). Most people are more upbeat and dynamic than I generally am.

Agreeableness

3. I rarely hold a grudge, even against people who have badly wronged me.

27. My attitude toward people who have treated me badly is “forgive and forget.”

9(R). People sometimes tell me that I am too critical of others.

33. I tend to be lenient in judging other people.

51. Even when people make a lot of mistakes, I rarely say anything negative.

15(R). People sometimes tell me that I’m too stubborn.

39. I am usually quite flexible in my opinions when people disagree with me.

57(R). When people tell me that I’m wrong, my first reaction is to argue with them.

21(R). People think of me as someone who has a quick temper.

45. Most people tend to get angry more quickly than I do.

Conscientiousness

2. I plan ahead and organize things, to avoid scrambling at the last minute.

26(R). When working, I sometimes have difficulties due to being disorganized.

8. I often push myself very hard when trying to achieve a goal.

32(R). I do only the minimum amount of work needed to get by.

14(R). When working on something, I don’t pay much attention to small details.

38. I always try to be accurate in my work, even at the expense of time.

50. People often call me a perfectionist.

20(R). I make decisions based on the feeling of the moment rather than on careful thought.

44(R). I make a lot of mistakes because I don’t think before I act.

56(R). I prefer to do whatever comes to mind, rather than stick to a plan

Openness to Experience

1(R). I would be quite bored by a visit to an art gallery.

25. If I had the opportunity, I would like to attend a classical music concert.

7. I’m interested in learning about the history and politics of other countries.

31(R). I’ve never really enjoyed looking through an encyclopedia.

13. I would enjoy creating a work of art, such as a novel, a song, or a painting.

37. People have often told me that I have a good imagination.

49(R). I don’t think of myself as the artistic or creative type.

19(R). I think that paying attention to radical ideas is a waste of time.

43. I like people who have unconventional views.

55(R). I find it boring to discuss philosophy.