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

49 Pages Posted: 23 Sep 2018 Last revised: 6 Feb 2024

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: January 17, 2024

Abstract

Audit workpaper review is a quality control mechanism intended to detect preparer errors and professionally develop preparers. In this study, we experimentally investigate two factors that theory predicts affect the degree to which audit reviewers adopt a developmental approach: local versus international preparer office affiliation and likely versus unlikely preparer recurrence. We find that reviewers adopt a less developmental approach for international preparers but a more developmental approach for preparers likely to recur. The adoption of a more developmental approach not only results in more coaching via review comments but is associated with greater detection of seeded preparer errors. Taken together, our findings highlight the susceptibility of quality control efforts in the global audit environment and identify 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 (January 17, 2024). 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

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