Does human resource investment in internal controls and information technology improve audit efficiency?
- 주제(키워드) audit efficiency , fieldwork , human resource investment , information technology , internal control personnel
- 등재 SSCI, SCOPUS
- 발행기관 John Wiley and Sons Inc
- 발행년도 2022
- 총서유형 Journal
- URI http://www.dcollection.net/handler/ewha/000000194436
- 본문언어 영어
- Published As https://doi.org/10.1111/ijau.12293
초록/요약
This study examines the effect of client human resource investment in internal controls (ICs) and information technology (IT) on audit efficiency. Accordingly, we propose a novel approach to modify the measurement of audit efficiency by directly measuring the length of time from the fiscal year end to the last day of fieldwork of an audit firm—fieldwork lags (FWLs)—rather than audit report lags (ARLs). We investigate the relationship between FWLs and the number of IC personnel and their average work experience at the department level: accounting and finance, IT and others. We find that FWLs are negatively related to the number of IC personnel in the accounting and finance departments and other related areas. Furthermore, FWLs decrease when IC personnel in the IT department have more average work experience. This finding indicates that experienced IC personnel in the IT department are critical to reducing the fieldwork time taken by auditors. Overall results suggest that a client's investment in IC personnel in accounting/finance and IT departments enhances audit efficiency. © 2022 John Wiley & Sons Ltd.
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