Big Data and Audit – The Future for Auditors
“The discussion of “big data” has generated tremendous insight into business management and led companies to rethink their strategies, implementing intuitive and meaningful methods of utilizing the wealth of information available in the 21st century.” (The CPA Journal)
The audit profession has been largely affected by the phenomenon of big data. To highlight the impact, the article, Big Data in Business Analytics: Implications for the Audit Profession, discusses how traditional data, coupled with structured and unstructured big data, might change the way auditors approach their work. Here are a couple of examples:
- Instead of sampling, auditors can examine all accounts receivables data to reveal more meaningful patterns or anomalies
- The opportunity to create custom audit programs for those who have strong technical data analytics skills and an analytical mentality
In addition to these examples, big data generates many other opportunities such as:
- Higher quality audit evidence
- More relevant business insights
- Stronger ability to identify fraud and operational business risks
To continue learning about big data and the audit, read the full blog.
Interested in how technology continues to shape the roles of accountants and auditors? Register for our free webinar on March 27!