International Education Studies November, 2009

Undergraduate Internship Attachment in Accounting:

The Interns Perspective
Rusnah Muhamad (Corresponding author)
Faculty of Business and Accounting, University of Malaya
50603 Kuala Lumpur, Malaysia
Tel: 60-3-7967-3934 E-mail: [email protected]

Yazkhiruni Yahya
Faculty of Business and Accounting, University of Malaya
50603 Kuala Lumpur, Malaysia
Tel: 60-3-7967-3905 E-mail: [email protected]

Suhaily Shahimi
Faculty of Business and Accounting, University of Malaya
50603 Kuala Lumpur, Malaysia
Tel: 60-3-7967-3905 E-mail:[email protected]

Nurmazilah Mahzan
Faculty of Business and Accounting, University of Malaya
50603 Kuala Lumpur, Malaysia
Tel: 60-3-7967-3962 E-mail: [email protected]
Abstract
Increasingly, internship has become an essential component of the undergraduate programme. It provides students with a
smooth transition from the on-campus environment to the working environment. It is often viewed as a ‘win-win’
situation for both the intern and the intern’s employers. Students are able to learn about the profession and gain practical
experience while simultaneously being able to reflect on what they have learned in the classroom. Employers benefit from
internships as interns are sources of future employees. This paper examines whether the expected benefits of internship, as
perceived by interns before going for their internship, are actually achieved.
Keywords: Internship, Interns, Intern’s employers, Gap, Accounting
1. Introduction
Most higher learning institutions in this country offer internships for their undergraduate students to provide a smooth
transition from the academic world to the working environment. Internships have taken on an increasingly important role
in business education over the past decade (Tackett et al., 2001). Internships provide many advantages to students ranging
from gaining experience and obtaining career-related direction to networking (Lubbers, 2007/8). Institutions offering
internship programmes benefit through increased cooperation and rapport with the industry (English and Koeppen, 1993).
Employers also benefit from these programmes, as internships can provide them with inexpensive help, new ideas and
potential future employees (Rothman, 2007; Cannon and Arnold, 1998). Therefore, internships benefit students,
institutions and employers (Cook et al., 2004; Lam and Ching, 2007).
This paper is organized as follows; the first section provides the review of relevant literature on internship, followed by a
discussion on the research methodology adopted in this study. The remaining sections report the findings and conclusion
of the study.
2. Literature Review
Furco (1996) defines internship as engaging students in service activities primarily for the purpose of providing them with
hands-on experience that enhances their learning or understanding of issues relevant to a particular area of study.
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According to Lam and Ching (2007) internship can assist students to bridge the gap between the academic learning
process and the practical reality. McMahon and Quinn (1995) note that internship is considered as ‘supervised work
experiences’ where students are closely supervised during their internship attachment.
Prior research highlights various issues on internship attachments, including the importance of relevant practical
experience for students (Mounce et al., 2004); effects of internship predictors on the successful field of experience (Beard
and Morton, 1999); the importance of practical experience towards recruiting decisions of accounting employers
(Pasewark et al., 2001); study on accounting internships and subsequent academic performance (English and Koeppen,
1993) and benefits and limitations of internships (Hymon-Parker, 1998).
The study aims to examine the perceptions of interns on various issues before and after their internship attachments to
identify whether any gap exists in their perception. Issues are focused on what interns have learnt; the process by which
they learnt; the effect of what has been learnt on their expectations of their future profession; and choices of their future
career.
The internship programme contributes significantly and positively towards enhancing the knowledge base and
motivational level of students (Beard, 1998). According to her, this experience can make subsequent study more
meaningful and is useful to develop students professionally before entering the workplace. In 2007, the International
Federation of Accountants (IFAC) issued the International Education Practice Statements (IEPS) 3: Practical Experience
Requirements – Initial Professional Development for Professional Accountants, which stresses the importance of
integrating formal education and practical experience in enabling graduates to develop their professional knowledge and
professional skills. According to Beard (1998) this integration process may be achieved through an internship attachment.
Burnett (2003) reports a finding of a study conducted to initiate changes in accounting education, which states that the
best outside classroom learning activities are through an internship attachment. Findings of various studies have provided
support for this suggestion (see for example: Mihail, 2006; Hall et al., 1995; Bernstein, 1976; Hursch and Borzak 1979;
Eyler 1992).
The rationale in offering the internship attachment as part of the academic programme is that students benefit from these
internship experiences and exposure. Benefits include improvements in career-related direction (Lubbers, 2001; Beard
and Morton, 1999), gaining practical experience (Lubbers, 2001), improved marketability of graduates (Swift and Kent,
1999; Hymon-Parker, 1998), job expectations (Knouse et al., 1999), interpersonal skills (Beard and Morton, 1999),
leadership (Cook et al., 2004) and understanding of the business applications of classroom learning (Cook et al., 2004;
Hymon-Parker, 1998).
Hite and Bellizi (1986) found that the most commonly agreed benefit of internship attachments for students is in
providing a valuable learning experience that complements their coursework. Students have described internship
attachment as a bridge between the theory of the classroom and the world of practice (Nevett, 1985). Internship
programmes are perceived as a valuable way to acquire broad competencies where the practical knowledge obtained
supports and complements the theoretical studies learned in the classrooms (Mihail, 2006). Empirical research in
cognitive psychology has established that prior experiences are able to enhance the performance in fairly complex
learning and problem solving tasks (Britton and Tesser, 1982). Ricks et al., (1989) argue that when individuals apply their
work experience to a subsequent learning environment they can better analyze and question the theory, thus, serving as a
learning condition that fosters and sustains the work and school environments. Both students and employers strongly
agree that experience and exposure to the real job setting obtained from the internship programme are more valuable than
additional coursework i.e. case studies and guest speakers in classes (Hall et al., 1995). Internship attachments are also
found to successfully enhance students’ performance in accounting and auditing courses as well as in their overall GPA
performance (English and Koeppen, 1993; Knechel and Snowball, 1987).
The internship experience is argued to be beneficial in socialising the student through training, teamwork assignments,
meetings with clients or employees, and various events hosted by the organization they are attached to during their
internship (Lubbers, 2007/8). It was found that graduates with practical experience report positive changes in feelings of
personal and social efficacy (Bernstein, 1976) and show a greater sense of responsibility and career development (Hursch
and Borzak 1979; Eyler 1992). Mihail (2006) noted that interns have successfully developed their personal skills,
particularly relating to information technology, time management, communication skills, teamwork, specialist knowledge
and ability to prioritize tasks.
Internship is perceived as the most effective strategy for the employment opportunity (Callanan and Benzing, 2004;
Brooks et al., 1995; Knouse et al., 1999; Taylor, 1998 and Scott, 1992). Practical experience and exposure gained during
the internship programme are found to be helpful in improving career decision making (Brooks et al., 1995; Taylor, 1998).
Internship is the best way for students to explore the suitability of a particular job (Scott, 1992). According to Cannon and
Arnold (1998), internship may pave the way for permanent employment upon graduation as well as providing an in-depth
understanding of actual business practice. It was found that business school graduates that have gone through an
internship attachment tend to secure their first jobs faster than graduates without internship experience (Knouse et al.,

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1999). Further, business graduates with internship experience are likely to get conspicuously higher starting pay and
report greater job satisfaction compared to their non-internship counterparts (Gault et al., 2000).
Various researches investigate the expectations of students and employers towards the internship programme. Tackett et
al. (2001) mention four specific areas, namely, ethics, oral and written communication skills, office conduct and technical
skills where interns and employers have conflicting perceptions. Students hope to receive monetary rewards and be
treated as regular employees. However, employers are not willing to treat interns as regular employees and, thus, normally
assign duties that are more appropriate for college students (Hall et al., 1995). Employers are warned not to treat interns as
part-time employees as this will result in an unsatisfactory internship and will most likely damage the relationship
between the employer and the universities (Tackett et al., 2001).
Universities should be responsible to ensure that internships are meaningful learning experiences for their students
(Tackett et al., 2001). According to them, this may be accomplished by careful examination of feedback from employers
and interns; and is followed by the modification of the internship programme accordingly.
3. Research Methodology
The current study has been undertaken to examine intern’s perceptions on the selected issues relating to the internship
attachment, before and after the internship attachment. For that purpose, seven page questionnaires were distributed to
accounting students who have completed their internship attachment at one of the public universities.
The questionnaire was designed based on the assessment prepared by the faculty and needs to be completed by each
supervisor at the attachment place. The assessment contains a list of questions that encompass all aspects of the
curriculum covered by the Bachelor of Accounting programme offered by the faculty. The questionnaire was piloted
among the accounting final year students in the faculty. Accordingly, ten sets of questionnaire were distributed. The
researcher received nine responses with comments on the wording, sequencing of questions, and whether the questions
made sense and were relevant to the research objective. After taking into consideration all the comments and notes given
by those who responded, the questionnaire was subsequently amended.
The modified version of the questionnaire is divided into four sections, namely, Section A: Demographic profile of
students; Section B: Students’ perception before going for the internship attachment; Section C: Students’ opinion after
the internship attachment; and Section D: Other related issues. Once gathered, the data was tested for normality and
reliability. The results of the normality test indicate that all items are reasonably normally distributed.
4. Results and Discussions
A total of 243 students were involved in the internship attachment for the academic session of 2007/2008. However, only
156 questionnaires were returned, representing a response rate of 64.20%. A demographic profile for the interns is
captured in Table 1. The majority of the interns are female and more than half are Chinese. The majority of the interns did
their internship attachment in accounting/auditing firms. In terms of location, 68.6 % of interns chose to do their
internship in Kuala Lumpur/Selangor.
The paired sample t-test is used to measure the gap in the interns’ perceptions of what can be achieved from the internship
attachment before they go for their attachment and what is actually achieved from their attachment after they have
completed the attachment. The results are presented in Table 2.
Generally, we may conclude that they have not achieved what they expect to benefit from their attachment. Comparing
the two mean values obtained for items under the two situations (i.e. before and after) it reveals that eighteen of the mean
values for items under the situation “before” are higher than those mean values for the same items under the situation
labelled as “after”. The result shows that there are gaps between what is expected to be achieved from the internship
attachment and what is actually achieved by the interns. This finding is similar with the finding in Lam and Ching’s (2007)
study, which indicated that student’s expectations before and after the internship were unmet. The two items that interns
perceived as being achieved were item 8 (i.e. enhancing knowledge in the public sector accounting) and item 20 (i.e.
providing the necessary information and experience in choosing the right career path upon graduation). For these two
items the mean values in the column “after” are higher, indicating that interns have achieved their expectation, however,
the t values for these two items are not significant. For item 8, this finding partly supports the result of English and
Koeppen (1993) and Knechel and Snowball (1987), which suggests that internship is able to improve the academic
performance of interns. While in the case of item 20, internship successfully improved the interns’ career direction, as
suggested by Beard and Morton (1999) and Gault et al. (2000). However, Cook et al. (2004) and Lam and Ching (2007)
found that interns do not perceive the internship experience as an important element regarding career choice for students.
The gaps are found to be significant for items 2; 5; 14 and 16. Students do not benefit from the internship attachment in
obtaining the relevant knowledge and practical experience to assist them to better adapt to their future working
environment. This might indicate that students are not being treated as regular employees and, thus, are not being given
appropriate or specific tasks to expose them to a proper job setting and experience. As highlighted by Lam and Ching

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(2007) intern students are normally treated as floating members to make up for those employees who are on leave.
Auditing is always perceived to be a “dry” subject. This perception may possibly lead the interns to put the high
expectation on the internship attachment in enhancing their knowledge in external auditing in particular. This finding
contrasts with the results obtained by Knechel and Snowball (1987) who found that the internship has successfully
enhanced the interns’ understanding in auditing. In general, it may be concluded that the internship experience does not
help the interns to improve their technical skills, except in public sector accounting. It is also found that the attachment
failed to improve interns’ interpersonal skills as reflected in the higher mean values in the column ‘before’ for item 14.
This finding contrasts with Beard and Morton (1999) and Lam and Ching’s (2007) studies that found the internship
programme successfully improved the soft skills of interns. The interns also felt that they are not getting appropriate
exposure to the latest technology used in the workplace they are attached to. Again, this finding contrasts with the results
found by Gault et al. (2000) where interns responded that they have experienced greater exposure to a variety of new
business specific software applications. The majority of the interns were attached to relatively small audit firms that still
maintain manual recording and auditing processes. Most of these firms are only exposed to the usage of automated
working papers instead of automated audit software. Thus, possibly giving rise to such a result.
Students have been asked who they think should be responsible to arrange their internship placement. The majority felt
that the faculty should work together with them for the placement, thus supporting the finding of previous studies, which
concluded that a successful internship programme requires the faculty’s involvement (Tackett et al., 2001; Maskooki et
al., 1998). The majority of interns think that the most appropriate internship period should be six months. Mihail (2006)
also found in his study that most of the interns preferred to have internship periods ranging from six to nine months
instead of three months. This indicated that interns are willing to have a longer internship period and believe that they can
learn more within a six month period.
5. Conclusion
In general, we may conclude that the interns perceive the internship attachment as not able to give them the expected
benefits. However, the internship is regarded as successfully providing guidance to them in choosing their career path as
well as in enhancing their knowledge of public sector accounting. The interns generally felt that the present internship
period of ten to twelve weeks is not sufficient for them to learn and gain the expected knowledge from the attachment.
This factor may possibly contribute towards the gaps in their perception as described in the preceding section. The same
feedback is noted from employers when members of the faculty visited the interns at their place of attachment. Further
study needs to be conducted to find out the reasons for these gaps.
References
Beard, D.F., (1998). The status of internship / cooperative education experiences in accounting education. Journal of
Accounting Education, 16, 507-516.
Beard, F., & Morton, L. (1999). Effects of internship predictors on successful field experience. Journalism & Mass
Communication Educator, 53, 42-53.
Bernstein, J. (1976). Urban field education: An opportunity structure for enhancing students' personal and social efficacy.
Human Relations, 29, 677-85.
Britton, B.K., & Tesser, A. (1982). Effects of prior knowledge on use of cognitive capacity in three complex cognitive
tasks. Journal of Verbal Learning and Verbal Behaviour, 421-436.
Brooks, L., Cornelius, A., Greenfield, E., & Joseph, R. (1995). The relation of career related work or internship
experiences to the career development of college seniors. Journal of Vocational Behaviour, 46, 332-349.
Burnett, S. (2003). The future of accounting education: A regional perspective. Journal of Education for Business, 78, p.
129
Callanan, G., & Benzing, C (2004). Assessing the role of internship in career-oriented employment of graduating college
students. Education + Training, 46, 82-89.
Cannon, J.A., & Arnold, M.J. (1998). Student expectations of collegiate internship programs in business: A 10-year
update. Journal of Education for Business, 73, 202-205.
Cook, Sherry J., Stephen R. Parker, & Charles E. Pettijohn (2004). The perceptions of interns: A longitudinal case study.
Journal of Education for Business, 79, 179-185.
English, D.M. & Koeppen, D.R. (1993). The relationship of accounting internship and subsequent academic performance.
Issues in Accounting Education, Fall, 292-299.
Eyler, J. T. (1992). Comparing the impact of two internship experiences on student learning. Journal of Cooperative
Education, 29, 41-52.
Furco, A. (1996). Service Learning and School-to-Work. Journal of Cooperative Education, 1, 7-14.

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Gault, J., Redington, J., & Schlager, T. (2000). Undergraduate business internships and career success: Are they related?
Journal of Marketing Education, 22, 45-53.
Hall, M., Stiles, G., Kuzma, J. & Elliot, K. (1995). A comparison of student and employer expectation with regards to
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Hite, R., & Bellizzi, J. (1986). Student expectations regarding collegiate internship programs in marketing. Journal of
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Hursch, B. and Borzak, L. (1979). Toward cognitive development through field studies. Journal of Higher Education, 50,
63-77.
Hymon-Parker, S. (1998). Benefits and limitations of internships as viewed by educators and retailers/commentary.
Journal of Family and Consumer Sciences, 90, 76-81.
Knechel, W.R., & Snowball, D. (1987). Accounting internship and subsequent academic performance: An empirical
study. The Accounting Review, October, 799-807.
Knouse, S.N., Tanner, J.T., & Harris, E.W. (1999). The relation of college internship, college performance, and
subsequent job opportunity. Journal of Employment Counseling, 36, 35-43.
Lam, T., Ching, L. (2006). An exploratory study of an internship program: The case of Hong Kong students. Hospitality
Management, 26, 336-351.
Maskooki, K., Rama, D.V., & Raghunanandan, K. (1998). Internships in undergraduate finance programs. Financial
Practice & Education, 20, 94-102.
McMahon, U., & Quinn, U. (1995). Maximizing the hospitality management student work placement experience: A case
study. Education and Training, 37, 13–17.
Mihail, D.M., (2006). Internship at Greek Universities: An exploratory study. Journal of Workplace Learning, 18, 28-41.
Mounce, P. H, Mauldin, D.S., & Braun, R. L. (2004). The importance of relevant practical experience among accounting
faculty: An empirical analysis of student’ perceptions. Issues in Accounting Education, 4.
Nevett, T. (1985). Work experience: The essential ingredient in British programs. Journal of Marketing Education, 7,
13-18.
Pasewark,W.R., Strawser, J. & Wilkerson, J. Jr. (1989). An empirical examination of the effects of previous internship on
interviewing success. Journal of Accounting Education, Spring, 25-40.
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literature. Review of Educational Research.
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Scott, M.E. (1992). Internships add value to college recruitments. Personnel Journal, 71, 59-62.
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23-26.
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Table 1. Demographic Profiles for BACC Students

Frequency %
Gender
Male 32 20.5
Female 124 79.5
Ethnicity
Malay 37 23.7
Chinese 112 71.8
Indian 6 3.8
Others 1 0.6
Academic Qualifications
STPM 41 26.3
Diploma 103 66.0
Matriculation 12 7.7
Institutions of Placement
Accounting/Auditing Firm 127 81.4
Trading Companies 4 2.6
Financial Companies 3 1.9
Others 22 14.1
Location
Kuala Lumpur/Selangor 107 68.6
Others 49 31.4
Years of study
Third year 9 5.8
Final year 146 93.6
Duration of Internship
10 Weeks 151 96.8
12 Weeks 5 3.2
Total Interns: 156

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Table 2. Perception of Interns Before and After the Internship Attachment

t value
Mean Mean Std.
No (sig.
(Before) (After) Dev
p<0.05)
1 The internship experience is able/had prepared me to be a better
5.72 5.58 0.902 0.064
employee in the future.
2 The internship experience provides/has provided me with the
relevant knowledge and practical experience to assist me in adapting 5.83 5.63 0.757 0.001
myself to my future working environment.
3 The internship experience will help/helped me to relate the theories
5.21 5.19 0.926 0.796
learned in the classroom to the work environment.
4 The internship experience will help/helped me to enhance knowledge
4.51 4.36 1.433 0.182
in internal auditing.
5 The internship experience will help/helped me to enhance
5.29 5.12 1.050 0.048
knowledge in external auditing.
6 The internship experiences will help/helped me to enhance knowledge
5.17 5.14 1.044 0.702
in financial accounting and reporting.
7 The internship experiences will help/helped me to enhance knowledge
4.31 4.19 1.308 0.269
in management accounting.
8 The internship experiences will help/helped me to enhance knowledge
3.49 3.58 1.285 0.419
in public sector accounting.
9 The internship experiences will help/helped me to enhance knowledge
4.82 4.76 1.307 0.538
in tax accounting.
10 The internship experiences will help/helped me to enhance my ability
5.09 5.03 0.961 0.403
to prepare financial statements.
11 The internship experiences will help/helped me to have better
5.29 5.23 0.840 0.342
understanding in interpreting and evaluating financial statements.
12 The internship experiences will help/helped me to develop my
5.31 5.27 0.849 0.572
problem solving skill.
13 The internship experiences will help/helped me to develop my
5.57 5.54 0.860 0.709
communication skill.
14 The internship experiences will help/helped me to develop my
5.80 5.52 0.849 0.000
interpersonal skill.
15 The internship experiences will help/helped me to improve my
5.49 5.38 0.950 0.131
personal confidence and self-esteem.
16 The internship experience is able/had given me the exposure to the
5.15 4.88 1.252 0.007
latest technology adopted in the work place.
17 The internship attachment is able to/had given me the opportunity to
build up rapport and networking with people in the industry and
5.09 5.07 0.926 0.796
business arena.

18 The internship attachment is able to/had given me the opportunity to

4.90 4.74 1.100 0.060
earn some money.
19 The internship attachment will provide/had provided me with the
necessary job experience that can improve my chances to get a good 5.55 5.52 0.953 0.675
job upon graduation.
20 The internship attachment will provide/had provided me with the
necessary information and experiences to choose the right career path 5.50 5.61 0.926 0.120
upon graduation.

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