Philip H. Siegel

Multinational diversification and performance: a re-evaluation of the evidence

Expanding upon prior studies, firms with foreign operations are segmented by three different schemes: the percentage of foreign tax liability to total tax liability; the percentage of foreign sales to total sales; the percentage of foreign assets to total assets. We evaluate whether the degree of foreign participation affects the risk-return profile of the firms by categorising firms with foreign participation into quintiles. The research indicates significant differences exist between domestic firms and multinational firms. The study suggests that the extent of multinational diversification does not provide incremental economic benefit. The advantages enjoyed by multinational corporations appear to have disappeared over time owing to an increasing integration of the global economy.

A survival analysis of tax professionals’ performance and internship experience

Purpose - – The purpose of this study is to consider the effect of an internship experience on tax accountants’ professional performance. Design/methodology/approach - – It uses survival analysis, a dynamic methodology that allows for more precise modeling than static traditional methods used to study promotion and turnover rates in the past. The hypotheses were tested using a longitudinal database obtained from the human resource departments of regional Certified Public Accountant firms located in the southeastern and mid-south areas of the USA. Findings - – Results were mixed. As in previous studies on the effects of internships on subsequent professional performance, tax accounting professionals with a master’s degree and prior internship experience had significantly faster promotion rates than those professionals with a master’s degree and no internship experience. However, tax professionals with a master’s degree and prior internship experience did not demonstrate a significant difference in turnover rate when compared to the no-internship group. Practical implications - – This research provides evidence that students, employers and institutions of higher education can use to guide them in their decisions regarding the effects of structured internships on professional performance – in this case, the professional performance of tax accountants. Originality/value - – Previous research on tax professionals’ performance and internship experience made use of static research methodologies. This study uses the more dynamic methodology of survival analysis to see if different findings result.

A Study of Tax Professionals' Performance and Internship Experience: A Survival Analysis

The paper investigates the association between internship experience and performance of tax professionals as measured by promotion velocity and turnover rate. Participants are regional CPA firms located in the southeastern and mid-south regions of the United States. The research applies a survival analysis that employs a time-dependent analysis of the data allowing for the comparison of subjects entering and leaving the study window in a staggered fashion. Hypothesis testing results indicate that the advancement rate for tax professionals with prior internship experience is significantly faster than that of the non-internship group. Results for the comparison of turnover rates for the two groups (internship experience versus non-internship) are marginal, raising interesting questions about the turnover behavior of study participants.

A FIRO-B analysis of social skill preferences among auditors

This study investigates the relative significance of both the social interaction index (SII) and demographic variables by analysing their association to the likelihood in classifying an auditor as internal or external to the firm. This study uses the psychometric technique of the fundamental interpersonal relationship orientation-behavior (FIRO-B) to analyse and compare the social interaction preference of certified internal auditors (CIAs) working for US corporations and certified public accountants (CPAs) employed by public accounting firms. Surveys were developed using the FIRO-B instruments and sent to internal auditors from US corporations located in the western and southeastern sections of the USA. The results of the study show that the scores of the two groups are significantly different. Internal auditors reported lower social interaction preferences than the public accountants.