Disruptive technology and audit risks: Evidence from FTSE 100 companies

<p>We investigate the use of disruptive technology on the level of audit risk, within both companies and audit firms. A sample of FTSE 100 and their corresponding audit firms—specifically, the ‘Big 4’—are selected for the period 2015 to 2020. Our findings indicate that the utilisation of disru...

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Main Author: Marwa Elnahass (20074635) (author)
Other Authors: Xinrui Jia (9734161) (author), Louise Crawford (21393455) (author)
Published: 2024
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author Marwa Elnahass (20074635)
author2 Xinrui Jia (9734161)
Louise Crawford (21393455)
author2_role author
author
author_facet Marwa Elnahass (20074635)
Xinrui Jia (9734161)
Louise Crawford (21393455)
author_role author
dc.creator.none.fl_str_mv Marwa Elnahass (20074635)
Xinrui Jia (9734161)
Louise Crawford (21393455)
dc.date.none.fl_str_mv 2024-10-26T03:00:00Z
dc.identifier.none.fl_str_mv 10.1016/j.ememar.2024.101218
dc.relation.none.fl_str_mv https://figshare.com/articles/journal_contribution/Disruptive_technology_and_audit_risks_Evidence_from_FTSE_100_companies/29108912
dc.rights.none.fl_str_mv CC BY 4.0
info:eu-repo/semantics/openAccess
dc.subject.none.fl_str_mv Commerce, management, tourism and services
Accounting, auditing and accountability
Banking, finance and investment
Strategy, management and organisational behaviour
Economics
Applied economics
Information and computing sciences
Data management and data science
Information systems
Disruptive technology
Data analytics
Big data
Audit risk
Audit firms
JEL classification
M40
M41
M42
M49
C30
dc.title.none.fl_str_mv Disruptive technology and audit risks: Evidence from FTSE 100 companies
dc.type.none.fl_str_mv Text
Journal contribution
info:eu-repo/semantics/publishedVersion
text
contribution to journal
description <p>We investigate the use of disruptive technology on the level of audit risk, within both companies and audit firms. A sample of FTSE 100 and their corresponding audit firms—specifically, the ‘Big 4’—are selected for the period 2015 to 2020. Our findings indicate that the utilisation of disruptive technology results in a significant reduction in audit risk for both companies and audit firms. Disruptive technology seems to promote benefits to companies and audit firms by significantly mitigating the risk of material misstatements (i.e. inherent and control risk) and detection risk; these results are consistent across various industry classifications.</p><h2>Other Information</h2> <p> Published in: Emerging Markets Review<br> License: <a href="http://creativecommons.org/licenses/by/4.0/" target="_blank">http://creativecommons.org/licenses/by/4.0/</a><br>See article on publisher's website: <a href="https://dx.doi.org/10.1016/j.ememar.2024.101218" target="_blank">https://dx.doi.org/10.1016/j.ememar.2024.101218</a></p>
eu_rights_str_mv openAccess
id Manara2_98d2c460e167c42dbd2afbac3f7ed9bc
identifier_str_mv 10.1016/j.ememar.2024.101218
network_acronym_str Manara2
network_name_str Manara2
oai_identifier_str oai:figshare.com:article/29108912
publishDate 2024
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rights_invalid_str_mv CC BY 4.0
spelling Disruptive technology and audit risks: Evidence from FTSE 100 companiesMarwa Elnahass (20074635)Xinrui Jia (9734161)Louise Crawford (21393455)Commerce, management, tourism and servicesAccounting, auditing and accountabilityBanking, finance and investmentStrategy, management and organisational behaviourEconomicsApplied economicsInformation and computing sciencesData management and data scienceInformation systemsDisruptive technologyData analyticsBig dataAudit riskAudit firmsJEL classificationM40M41M42M49C30<p>We investigate the use of disruptive technology on the level of audit risk, within both companies and audit firms. A sample of FTSE 100 and their corresponding audit firms—specifically, the ‘Big 4’—are selected for the period 2015 to 2020. Our findings indicate that the utilisation of disruptive technology results in a significant reduction in audit risk for both companies and audit firms. Disruptive technology seems to promote benefits to companies and audit firms by significantly mitigating the risk of material misstatements (i.e. inherent and control risk) and detection risk; these results are consistent across various industry classifications.</p><h2>Other Information</h2> <p> Published in: Emerging Markets Review<br> License: <a href="http://creativecommons.org/licenses/by/4.0/" target="_blank">http://creativecommons.org/licenses/by/4.0/</a><br>See article on publisher's website: <a href="https://dx.doi.org/10.1016/j.ememar.2024.101218" target="_blank">https://dx.doi.org/10.1016/j.ememar.2024.101218</a></p>2024-10-26T03:00:00ZTextJournal contributioninfo:eu-repo/semantics/publishedVersiontextcontribution to journal10.1016/j.ememar.2024.101218https://figshare.com/articles/journal_contribution/Disruptive_technology_and_audit_risks_Evidence_from_FTSE_100_companies/29108912CC BY 4.0info:eu-repo/semantics/openAccessoai:figshare.com:article/291089122024-10-26T03:00:00Z
spellingShingle Disruptive technology and audit risks: Evidence from FTSE 100 companies
Marwa Elnahass (20074635)
Commerce, management, tourism and services
Accounting, auditing and accountability
Banking, finance and investment
Strategy, management and organisational behaviour
Economics
Applied economics
Information and computing sciences
Data management and data science
Information systems
Disruptive technology
Data analytics
Big data
Audit risk
Audit firms
JEL classification
M40
M41
M42
M49
C30
status_str publishedVersion
title Disruptive technology and audit risks: Evidence from FTSE 100 companies
title_full Disruptive technology and audit risks: Evidence from FTSE 100 companies
title_fullStr Disruptive technology and audit risks: Evidence from FTSE 100 companies
title_full_unstemmed Disruptive technology and audit risks: Evidence from FTSE 100 companies
title_short Disruptive technology and audit risks: Evidence from FTSE 100 companies
title_sort Disruptive technology and audit risks: Evidence from FTSE 100 companies
topic Commerce, management, tourism and services
Accounting, auditing and accountability
Banking, finance and investment
Strategy, management and organisational behaviour
Economics
Applied economics
Information and computing sciences
Data management and data science
Information systems
Disruptive technology
Data analytics
Big data
Audit risk
Audit firms
JEL classification
M40
M41
M42
M49
C30