Date posted: 18/02/2019 2 min read

Help on audit quality is at hand for the profession

Chartered Accountants Australia and New Zealand, CPAA and the APPC issue guides to improve audit quality across the profession.

In brief

  • Chartered Accountants Australia and New Zealand and CPA Australia have issued two guides to improve audit quality.
  • These guides have been developed on behalf of the Australian Auditing and Accounting Public Policy Committee (APPC).
  • These guides are useful tools for firms of any size.

Chartered Accountants ANZ and CPA Australia have jointly issued two guides:

  • An External Auditor’s Guide to Improving Audit Quality Using Root Cause Analysis; and
  • An External Auditor’s Guide to Improving Audit Quality Using an Individual Recognition and Accountability Framework.

These guides have been developed on behalf of the Australian Auditing and Accounting Public Policy Committee (APPC), in a joint effort to improve the quality of audits across the profession. These guides will be a useful tool for firms of any size, and displays our commitment to improving the quality of audits across the profession.

These guides will be a useful tool for firms of any size, and displays our commitment to improving the quality of audits across the profession.  

An External Auditor’s Guide to Improving Audit Quality Using Root Cause Analysis defines root cause analysis and explains how audit practitioners can use it to identify and address the root causes of review and inspection findings. It is an effective and efficient way to improve audit quality for any size of firm. 

The Root Cause Analysis Guide is intended as non-authoritative guidance to help external auditors improve audit quality. It does this by offering pointers on key things to consider, based on what other practitioners have found useful in practice.

The Root Cause Analysis Guide is intended as non-authoritative guidance to help external auditors improve audit quality.

An External Auditor’s Guide to Improving Audit Quality Using an Individual Recognition and Accountability Framework aims to cross-pollinate ideas and learning by outlining the ways firms can approach recognition and accountability frameworks. To inform the guide, interviews were conducted and many different key performance indicators and firms’ cultures were observed. 

Firms can use the Accountability Framework Guide as a catalyst for developing a recognition and accountability framework or reviewing their current framework and related processes. They can consider whether their processes may be enhanced by implementing or adapting some of the mechanisms suggested in this guide.

Root Cause Analysis Guide

An External Auditor’s Guide to Improving Audit Quality Using Root Cause Analysis

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Accountability Framework Guide

An External Auditor’s Guide to Improving Audit Quality Using an Individual Recognition and Accountability Framework

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