Determinants of Auditor Expertise

The Relationship between Audit Experience and Internal Audit Effectiveness in the Public Sector Organizations

“…In line with the above statement, Kaplan, Donnell and Arel (2008) noted that experience suppose to influence auditors' judgments about information provided by management when it is in consistent with management's self-interest, in the other hand if such information from management is not consistent with management's self-interest then will view that information with less suspicion. Though Russo (2002) argued that the effect of experience on performing a task can then be assessed by measuring the resulting change in the task automatically, despite that experience auditor may have the ability of identifying the right information that will aid his judgment (Bonner, 1990) because they gain the experience as a result of training and field experience acquired earlier in their careers (Arel, Kaplan & Donnell 2005). Therefore, experience auditors should make sure that their judgment in whatever issues is always accurate in order to go along with the standard.…”

“…Base on the comparison given above (between experience and inexperience auditors), it's believe that the judgments given by experienced auditors can also been used as a yardstick for other performance measures especially in determining firm policies and auditing standards (Bonner, 1990) this is because, the effects of audit experience continue to be significant as the complexity of the audit decision grows (Ahdolmohammadi &Wright, 1987). In addition, management gives more concern on a judgment of the high experience group than the judgments of the low-experience group (Kaplan et al (2008) and at the same time, the auditors that has adequate experience are usually assigned to control and evaluate different tasks within audit firms (Arel et al, 2005).…”

“…Moereover, as auditors gain experience, their knowledge structures become well developed (Arel et al, 2005;Bonner, 1990;Libby & Frederick, 1990). Identification of differences in knowledge between experienced and inexperienced auditors was as a result of practical benefit for the training of the auditors, even though the identification of the knowledge can also lead to more effective assignment to the auditors, in order to perform tasks which they have the right level of knowledge (Libby & Frederick, 1990;Tubbs, 1993).…”

“…Identification of differences in knowledge between experienced and inexperienced auditors was as a result of practical benefit for the training of the auditors, even though the identification of the knowledge can also lead to more effective assignment to the auditors, in order to perform tasks which they have the right level of knowledge (Libby & Frederick, 1990;Tubbs, 1993). But Bonner and Lewis (1990) argued that different audit tasks require different types of knowledge and researchers should specify the knowledge needed to complete tasks and not to assume that all individuals at a given level of experience equally possess task-specific knowledge, though such knowledge also give them the capability to identify any obstacles that will jeopardize clients' probability to continue as a going-concern ( Such knowledge could enable experienced decision makers to focus on relevant information (Shelton, 1999) this is because auditors with different levels of training and experience engage in different audit decision tasks (Libby & Frederick, 1990). This means experience auditors usually consider relevant information in their decisions.…”

“…In addition, Bonner (1990) show that auditors with more experience generally perform more effectively than auditors with less experience, this is because experience improve auditor's abilities to process information, make mental comparisons of alternative solutions and initiate subsequent action than inexperience (Chung & Monroe, 2000). Audit experience is one of the main topics in auditing research (Sudsomboon & Ussahawanitchakit, 2009).…”