Metrics

  • citations in SCIndeks: 0
  • citations in CrossRef:0
  • citations in Google Scholar:[]
  • visits in previous 30 days:87
  • full-text downloads in 30 days:44

Contents

article: 5 from 93  
Back back to result list
2022, vol. 19, iss. 1, pp. 30-41
Internal audit in the COVID-19 environment: Key aspects and perspectives of remote auditing
University Singidunum, Belgrade

emailmkljajic@singidunum.ac.rs
Keywords: remote auditing; pandemic; internal auditor; digital transformation; ICT
Abstract
It was very difficult to predict the global pandemic caused by the new coronavirus COVID-19 disease that spread around the world. There is no doubt that the pandemic will have a serious impact on worldwide economy because besides causing a health crisis, the pandemic threatens to generate an economic and financial crisis. Therefore, the management of service providing entities were faced with a challenge of finding a model to perform their business activities and take care of the employees' health at the same time. This paper discusses possible solutions related to internal audit as a service providing profession. The research findings in the field have led to the conclusion that auditors can take advantage of this business environment to undergo complete digital transformation and make extensive use of remote auditing, since the function of internal audit can be further improved by using new information and communication technologies. The results of the research, which was focused on the opinions of certified internal auditors from the Republic of Serbia, showed that the advantages of remote auditing in internal audit outweighed the disadvantages. During the pandemic, the quality level of performed audits either increased or stayed the same, as well as the level of trust of audit client management, whereas savings in time and a decrease of travel-related costs were substantial.
References
Newly uploaded article: references checking, normalizing and linking in progress.
Abu Saleem, K. (2021). The impact of the coronavirus pandemic on auditing quality in Jordan. International Journal of Innovation, Creativity and Change, 15(4), 31-40. Retrieved January 10, 2022, from https://www. ijicc.net/images/Vol_15/Iss_4/15403_Saleem_2021_E1_R.pdf
Adnan, A., & Hasan , M. (2021). The emergence od COVID-19 and capital market reaction: An emerging market scenario analysis. Asian Academy of Management Journal of Accounting and Finance. 17(1), 35-61. https:// doi.org/10.21315/aamjaf2021.17.1.2.
Agoglia, C., & Krishnan, J. (2022). Research forum on COVID-19: Implications for audits and the audit profession. AUDITING: A Journal of Practice & Theory. 41(1), 1. https://doi.org/10.2308/ajpt-10805.
Albitar, K., Gerged, A., Kikhia, H., & Hussainey, K. (2020). Auditing in times of social distancing: The effect of COVID-19 on auditing quality. International Journal of Accounting and Information Management. 1(1), 1-13. https://doi.org/10.1108/IJAIM-08-2020-0128.
Audit Board. (2020). Internal Audit -COVID-19 Response strategy: Evolving internal audit practices for success. Retrieved November 1, 2021, from https://www.auditboard.com/blog/covid-19-response-strategyinternal-audit-practices.
Audit executive center. (2020). COVID-19: Longer term impact on internal audit. Retrieved November 10, 2021, from https://dl.theiia.org/Documents/COVID-19-Longer-Term-Impact-on-Internal-Audit.pdf.
Bae, G., Choi, S., Lamoreuax, P., & Lee, J. (2020). Auditors' fee premiums and low-quality internal controls. Contemporary Accounting Research. 38(1), 586-620. https://doi.org/10.1111/1911-3846.12602.
Barac, K., Plant, K., Kunz, R., & Kirstein, M. (2021). Audit practice: A straightforward trade or a complex system? International Journal of Auditing. 25(3), 797-812. https://doi.org/10.1111/ijau.12249.
Bauer, T., Humphreys, K., & Trotman, K. (2022). Group judgment and decision making in auditing: Research in the time of COVID-19 and beyond. AUDITING: A Journal of Practice & Theory. 41(1), 3-23. https:// doi.org/10.2308/AJPT-2020-147.
Bennett, G., & Hatfield, R. (2018). Staff auditors' proclivity for computer-mediated communication with clients and its effect on skeptical behavior. Accounting, Organizations and Society. 68(1), 42-57. https://doi. org/10.1016/j.aos.2018.05.003.
Carlisle, M. (2018). Auditors' evaluation of evidence: The effect of communication channel and management competence information. Unpublished doctoral dissertation, Georgia Institute of Technology Western Reserve University.
Chan, D., Chiu, V., & Vasarhelyi, M. (2018). New Perspective: Data analytics as a precursor to audit automation. In Chan, D. Y., Chiu, V. and Vasarhelyi, M. A. (Ed.) Continuous Auditing-Rutgers Studies in Accounting Analytics, (pp. 315-322). Bingley: Emerald Publishing Limited. https://doi.org/10.1108/978-1-78743-413-420181016.
Christ, M., Eulerich, M., Krane, R., & Wood, D. (2021). New frontiers for internal audit research. Working Paper. University of Georgia & University of Duisburg-Essen. https://doi.org/10.1111/1911-3838.12272.
Eulerich, M., Wagener, M., & Wood, D. (2021). Evidence on internal audit effectiveness from transitioning to remote audits because of COVID-19. 1-24. Retrieved December 15, 2021, from https://ssrn.com/abstract=3774050.
Hao, R., Xue, J., Yau, L., & Zhang, C. (2022). Analyst forecasting during COVID-19 pandemic. Manageral Auditing Journal. 37(3), 380-405. https://doi.org/10.1108/MAJ-12-2021-3406.
Hawkins, E. (2017). When auditors' skeptical judgments do not lead to skeptical actions. Working paper. Clemson: Clemson University. Retrieved December 15, 2021. https://scholarcommons.sc.edu/cgi/viewcontent.cgi?article=5301&context=etd
IAASB. (2020). Staff audit practice alert. Highlighting areas of focus in an evolving audit environment due to the impact of COVID-19. Retrieved December 13, 2021, from https://www.iaasb.org/publications/highlighting-areas-focus-evolving-audit-environment-due-impact-covid-19-1.
KPMG. (2020). Coronavirus and the role of internal audit leaders. Retrieved December 15, 2021, from https:// home.kpmg/ch/en/blogs/home/posts/2020/03/coronavirus-role-of-internal-audit.html.
Mizdrakovic', V., Kljajic', M., Hadrovic'ZekicHadrovic'Zekic, B. (2021). Internal auditing in Covid-19 environment: Is remote auditing a solution?. In International Scientific Conference FINIZ (pp. 3-7). Belgrade, Serbia: Singidunum University. https://doi.org/10.15308/finiz-2021-3-7
Official Gazette of RS, 31/20. (2020). Legal information system of the Republic of Serbia. Decree on organizing the work of employers during a state of emergency 31/2020-3. Retrieved November 10, 2021. from https://pravno-informacioni-sistem.rs/SlGlasnikPortal/eli/rep/sgrs/vlada/uredba/ 2020/31/2/reg.
Pempal IACOP. (2020). The impact of COVID-19 on the role and activities of internal audit. Retrieved November 12, 2021, from https://www.pempal.org/sites/pempal/files/IACOP/covid publication_ pages.pdf.
Roska, V. (2021). Economic and fiscal support during the COVID-19 pandemic in Croatia. Interdisciplinary Management Research XVII, 59-79. https://doi.org/10.31784/zvr.9.1.4.
Saiewitz, A. (2018). Email versus in-person audit inquiry: Recent research and additional survey data. Current Issues in Auditing, 12(2), A36-A44. http://dx.doi.org/10.2308/ciia-52267.
Saiewitz, A., & Kida, T. (2018). The effects of an auditor's communication mode and professional tone on client responses to audit inquiries. Accounting, Organizations and Society. 65(1), 33-43. http://dx.doi.org/10.2139/ ssrn.2449795.
Serag, A., & Daoud, M. (2021). Remote Auditing: An alternative approach to face the internal audit challenges during the COVID-19 pandemic. Atasu Journals. 25(5), 228-259. http://dx.doi.org/10.21608/ ATASU.2021.181073.
Sheldon, M. (2019). A Primer for Information Technology General Control Considerations on a Private and Permissioned Blockchain Audit. Current Issues in Auditing, 13(1), 15-29. https://doi.org/10.2308/ ciia-52356.
Stanišic', M., Spahic', N., & Tomin, M. (2018). Revizija aplikativnih kontrola. In SINTEZA -International Scientific Conference on Information Technology and Data Related Research (pp. 343). Belgrade, Serbia: Singidunum University.
Tadesse, A., & Murthy, U. (2021). Does the format of internal control disclosures matter? An experimental investigation of nonprofessional investor behavior. AUDITING: A Journal of Practice & Theory. 40(1), 91-106. https://doi.org/10.2308/AJPT-17-171.
Tang, Y. (2022). COVID-19 and personal finance. Accounting, Auditing & Accountability Journal, 35(2), 576. https://doi.org/10.1108/AAAJ-02-2022-146.
Teeter, R., Alles, M., & Vasarhelyi, M. (2010). The remote audit. Journal of Emerging Technologies in Accounting. 7(1), 73-88. https://doi.org/10.2308/jeta.2010.7.1.73.
The Serbian Business Registers Agency. (2020). Publications -Macroeconomic analysis. Retrieved November 10, 2021, from https://www.apr.gov.rs/registers/financial-statements/publications/%D0%BCacroecon omic-analysis.1805.html.
Tiberius, V., & Hirth, S. (2019). Impacts of digitization on auditing: A Delphi study for Germany. Journal of International Accounting, Auditing and Taxation. 1(1), 1-35. https://doi.org/10.1016/j.intaccaudtax.2019.100288.
Tusek, B., Jezovita, A., & Halar, P. (2020). Izazovi djelovanja interne i eksterne revizije u eri pandemije COVID-19. Journal of Economy and Business. 26(1), 111-130. https://doi.org/10.46458/27121097.2020.26.111.
Tusek, B. (2019). Utjecaj digitalizacije na internu reviziju. Računovodstvo, revizija i porezi ususret digitalizaciji i eurozoni, June 2019 (pp.73-92). Zagreb, Croatia: Hrvatska zajednica računovođa i financijskih djelatnika.
Vitezic, N., & Pertlic, A. (2021). Controllers' responsibility in the post COVID business environment. Journal of Accounting and Management, 11(2), 93-104. Retrieved February 15, 2022, from https://hrcak.srce.hr/271680.
 

About

article language: English
document type: Original Paper
DOI: 10.5937/EJAE19-35881
received: 01/01/2022
revised: 24/02/2022
accepted: 10/03/2022
published in SCIndeks: 06/05/2022
peer review method: double-blind
Creative Commons License 4.0

Related records

No related records