19 April 2017

This joint event brought together Myriam Madden, Prof Paul Quattrone and Phil McNaull to discuss the theme of experts and professional bodies.

We live in a world where expertise and experts are more needed than ever. However, the authority of experts (including academics) and professional bodies is being challenged under what the Oxford Dictionary defined as the ‘post-truth world’ where “objective facts are less influential in shaping public opinion than appeals to emotion and personal belief”. In the annual Centre for Accounting and Society (CAS) and Chartered Institute for Management Accountants (CIMA) event, CIMA’s immediate past president, Myriam Madden joined CAS’ Prof Paolo Quattrone as keynote speaker to explore. Phil McNaull, Finance Director at the University of Edinburgh, also contributed to discussions as a panel member.

The main takeaways from the three contributors were as follows:

Myriam Madden began proceedings by highlighting the importance and history relating to the CIMA and University of Edinburgh Business School's annual debate. She mentioned the following points:

  • Context: She was the ‘rookie’ chairman of CIMA’s local branch almost 10 years ago and it is with a sense of personal and professional satisfaction and ‘old age!’ that she is delighted to have come full circle to be the keynote speaker this year.
  • Business School and CIMA partnership: Over the past 10 years, the partnership with the Business School has facilitated the hosting of an international conference on CIMA’s groundbreaking work on Business Models, and allowed for contributions to research and collaboration on business events.
  • Integrated reporting: She also noted Edinburgh University’s plans for its second integrated report. This underpins the university-wide integrated planning under Phil’s leadership, which influences the agenda across the British universities forum and beyond.

She concluded that it has been a valuable opportunity to work with the Business School over the last 10 years and looks forward to future collaborations.

Prof Paolo Quattrone put the crisis of expertise and trust in the profession in context. He highlighted the following points:

  • Historical context: Experts and expertise is part of a historical trend that relates to the increasing questioning of modern knowledge production institutions amongst which accounting and the accounting profession are key players.
  • Looking forward: ‘Is there hope?’ Prof Quattrone asked in closing his intervention. His answer was a resounding ‘yes’ but this requires professional bodies to operate in the public interest.
  • Big Data: One way in which this can happen, he commented, is to make people aware that ‘data’ and ‘figures’ are not given, as the big data frenzy may lead people to believe.

Accountancy experts are vital and going forward big data requires professionals and trusted experts to convey its analysis. It is not a selfish exercise and experts do it for the greater good of society.

Phil McNaull noted that accountants had an opportunity to tell a better and more integrated story. He touched on the following main points:

  • Defining integrated reporting: The IIRC definition of an integrated report is “a concise communication about how an organisation’s strategy, governance, performance and prospects, in the context of its external environment, lead to the creation of value over the short, medium and long term”. He feels that this reflected how an organisation should account for more than just financial capital.
  • A true reflection: We have to help leaders in organisations and political institutions to tell a balanced story of what their organisation is doing in using resources from defined capitals (financial, natural, human, intellectual, manufactured, social &relationship) in its value creation process; and the impact this has on those six capitals.
  • Storytelling: Phil (who is currently the Chair of the British Universities Finance Directors Group) observed that he had raised the priority of this topic by making ‘Storytelling’ the theme of the BUFDG Annual Conference this year.
  • Experts are vital: The assertion from Michael Gove was that “people have had enough of experts” but in fact we need to encourage people to develop better critical reasoning so as to better understand and challenge what they are hearing.

He concluded that people should not accept glib statements – such as the ‘fake news’ – which are designed to capture short-term headline attention.

The audience had the opportunity to delve deeper into conversation with the speakers during the question and answer session, and then enjoyed further networking at a drinks reception.