Declining audit quality has been getting a lot of attention lately, with the AICPA’s Enhancing Audit Quality initiative at the forefront. The AICPA’s 6-point plan includes a proposal to move to a continuous peer review process driven by technology. More than just more red tape for auditors, this movement represents an opportunity for firms to examine their current processes and proactively identify areas to improve.
A recent Wolters Kluwer whitepaper titled Is your audit process ready for the ACIPA’s audit quality initiatives? explores this new perspective and suggests some ways to move beyond the “checklist mentality” that has produced the audit quality problems the profession is currently struggling with. As accuracy and accountability are on everyone’s minds, the firms producing the highest-quality audits will win the lion’s share of business from clients facing increasing scrutiny. Auditors with proven successes will have an immediate advantage.