The transformation to data analytics in Big-Four financial audit: what, why and how?

IF 2.1 Q2 BUSINESS, FINANCE Pacific Accounting Review Pub Date : 2022-05-03 DOI:10.1108/par-06-2021-0105
Angela Liew, P. Boxall, Denny Setiawan
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引用次数: 1

Abstract

Purpose This study aims to explore the implementation of data analytics in the Big-Four accounting firms, including the extent to which a digital transformation is changing the work of financial auditors, why it is doing so and how these firms are managing the transformation process. Design/methodology/approach The authors conducted 23 interviews with 20 participants across four hierarchical levels from three of the Big-Four accounting firms in New Zealand. Findings The firms have entered the era of “smart audit systems”, in which auditors provide deep business insights that are communicated more effectively through data visualisation. The full potential, however, of data analytics depends not only on the transformation process within accounting firms but also on improvement in the quality of IT systems in client companies. The appointment of transformation managers, the recruitment of technology-savvy graduates and the provision of extensive training are helping to embed data analytics in the Big-Four firms. Accounting graduates in financial audit now need to show that they have the aptitude to become “citizen data scientists”. Practical implications The findings explain how data analytics is being embraced in the Big-Four auditing firms and underline the implications for those who work in them. Originality/value The findings challenge the “technological reluctance” thesis. In contrast, the authors observe a climate of positive attitudes towards new technology and accompanying actions in the Big-Four firms. The authors show how branches of the Big-Four firms operating distantly from their global headquarters, and with smaller economies of scale, are implementing the new technologies that characterise their global firms.
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四大财务审计向数据分析的转变:什么、为什么以及如何?
目的本研究旨在探索四大会计师事务所数据分析的实施情况,包括数字化转型在多大程度上改变了财务审计师的工作,为什么要这样做,以及这些公司如何管理转型过程。设计/方法论/方法作者对来自新西兰四大会计师事务所中三家的四个层次的20名参与者进行了23次采访。发现这些事务所已经进入了“智能审计系统”时代,在这个时代,审计师提供了深入的商业见解,并通过数据可视化进行了更有效的沟通。然而,数据分析的全部潜力不仅取决于会计师事务所内部的转型过程,还取决于客户公司IT系统质量的提高。任命转型经理、招聘精通技术的毕业生以及提供广泛的培训,都有助于将数据分析嵌入四大公司。财务审计专业的会计毕业生现在需要证明他们有能力成为“公民数据科学家”。实际意义这些发现解释了四大审计公司如何接受数据分析,并强调了对其工作人员的影响。原创性/价值这些发现挑战了“技术不情愿”的论点。相比之下,作者观察到四大公司对新技术持积极态度并采取相应行动。作者展示了四大公司的分支机构是如何在远离全球总部、规模经济较小的地方实施其全球公司特有的新技术的。
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来源期刊
Pacific Accounting Review
Pacific Accounting Review BUSINESS, FINANCE-
CiteScore
3.80
自引率
9.50%
发文量
36
期刊介绍: Pacific Accounting Review is a quarterly journal publishing original research papers and book reviews. The journal is supported by all New Zealand Universities and has the backing of academics from many universities in the Pacific region. The journal publishes papers from both empirical and theoretical forms of research into current developments in accounting and finance and provides insight into how present practice is shaped and formed. Specific areas include but are not limited to: - Emerging Markets and Economies - Political/Social contexts - Financial Reporting - Auditing and Governance - Management Accounting.
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