Search results for "it firms"
showing 4 items of 4 documents
Building sustainable contextual ambidexterity through routines: a case study from information technology firms
2020
The purpose of this paper is to explain the role that routines play in achieving sustainable organisational ambidexterity in information technology (IT) firms. Our exploratory analysis of four case studies reveals the key importance of routines in setting the context for sustainable ambidexterity. Companies build up contextual ambidexterity through routines derived from normalization of processes, normalization of skills, and normalization of results. The findings of the study show that routines support IT professionals to decide whether to exploit or explore in each particular case. Firstly, the enabling character of explicit routines as a result of the normalisation of work processes and …
Constructing the Audit Risk Assessment by the Audit Team Leader When Planning: Using Fuzzy Theory
2021
The aim of this study is to construct the assessment of the expected audit risk by the audit team leader (ATL) during the planification phase of the audit. The ATL plays an important role within the audit, and even more so regarding small and medium-sized (SME) audit firms. The audit risk assessment is critical as relying more (less) on internal controls implemented by the client leads to performing less (more) substantive audit procedures. This is determined by the ATL based on their professional judgement and previous experience. The use of fuzzy theory has powerful potential into the audit arena, as the audit risk assessment (outcome) is critically related to the auditors’ judgement and …
PIE statutory audit market concentration: evidence from Latvia
2019
The reform of EU audit legislation was adopted by the Council of the EU in April 2014. The legislation consists of an audit Directive and an audit Regulation. The Directive applies to all statutory audits; the Regulation contains specific requirements for the statutory audits of public-interest entities (PIEs). The Regulation aims both at enhancing audit quality and at promoting competition in the audit market. Mandatory rotation, together with the incentives for joint audit and tendering, as well as the prohibition of certain non-audit services to audit clients - requiring de facto that another audit firm provides these services - are examples of measures that should make the market more d…
The origin of the auditor’s income and audit quality : the Spanish case
2022
Estudios previos señalan la existencia de una relación entre la especialización del auditor y la calidad de la auditoría. A partir de esta idea, cuanto más importante sea la actividad de auditoría en el total del negocio de la firma auditora y mayor especialización exista en dicha actividad, el auditor firmante adoptará una postura más conservadora en la emisión de su informe. Utilizando la materialidad cuantitativa como subrogado de la calidad, se examina el efecto que los honorarios por otros servicios distintos a los de auditoría y el peso de los socios firmantes en la firma tienen sobre la cifra de materialidad. Partiendo de la materialidad real utilizada en cada uno de los encargos com…