Coaching Today’s Auditors: What Causes Reviewers to Adopt a more Developmental Approach

53 Pages Posted: 23 Sep 2018 Last revised: 27 Dec 2021

See all articles by Lindsay M. Andiola

Lindsay M. Andiola

Virginia Commonwealth University (VCU) - Department of Accounting

Joseph F. Brazel

North Carolina State University - Poole College of Management - Department of Accounting

Denise Downey

Villanova University

Tammie Rech Schaefer

University of Missouri at Kansas City

Date Written: December 26, 2020

Abstract

Audit workpaper review is a quality control mechanism intended to detect preparer errors in the short-term and professionally develop preparers in the long-term. In this study, we investigate two contextual factors that may motivate the reviewer’s review approach: the preparer’s office affiliation (local versus international) and the likelihood of preparer recurrence. We find that reviewers adopt a less developmental approach when reviewing workpapers completed by international preparers. We also observe that, regardless of office affiliation, reviewers are apt to adopt a more developmental approach when preparers are likely to recur. Results indicate that reviewers who adopt a more developmental approach exhibit greater coaching in their review comments, and that such efforts complement error detection in that reviewers are more likely to detect preparers’ errors. Taken together, our findings highlight the susceptibility of quality control efforts in the global audit environment and identifies recurrence as a potential intervention.

Keywords: global audit teams, international office, professional development, recur, review quality, workpaper review

JEL Classification: M40, M42

Suggested Citation

Andiola, Lindsay M. and Brazel, Joseph F. and Downey, Denise and Schaefer, Tammie Rech, Coaching Today’s Auditors: What Causes Reviewers to Adopt a more Developmental Approach (December 26, 2020). Available at SSRN: https://ssrn.com/abstract=3244759 or http://dx.doi.org/10.2139/ssrn.3244759

Lindsay M. Andiola

Virginia Commonwealth University (VCU) - Department of Accounting ( email )

Richmond, VA 23284
United States

Joseph F. Brazel (Contact Author)

North Carolina State University - Poole College of Management - Department of Accounting ( email )

Campus Box 8113
Nelson Hall
Raleigh, NC 27695
United States
919-513-1772 (Phone)

Denise Downey

Villanova University ( email )

Villanova, PA 19085
United States

Tammie Rech Schaefer

University of Missouri at Kansas City ( email )

5100 Rockhill Road
Kansas City, MO 64110-2499
United States

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
144
Abstract Views
1,551
rank
272,726
PlumX Metrics