Ego Depletion and Its Effect on Auditors’ Judgment and Decision-Making Quality

Abstract

This study aimed to examine the determinants of ego depletion and its effect on judgment and decision-making (JDM) quality. Auditing is one of the professions vulnerable to ego depletion, which is a temporary state of lack of cognitive resources to self-control caused by physical or psychological fatigue. Data were collected via online survey on 121 auditors in Indonesia who were selected by convenience sampling. The results showed that interpersonal conflict positively affected ego depletion. In line with ego depletion theory, the results supported previous research that ego depletion negatively affected JDM quality. Interestingly, this research also found that the level of industry-specific experience reduced the effect of ego depletion on JDM quality. In conclusion, psychological problems had a more significant influence on auditor cognitive resources than physical problems, which could then have an impact on his/her performance in generating judgments and decisions.

Audit judgment through time budget pressure, quality of sleep, and ego depletion

“…From this, it can be concluded that the lower the quality of management decision making (JDM) of an auditor, the higher the level of ego depletion experienced, and vice versa. Previous studies by Hurley (2019), Mullis and Hatfield (2018) and Mursita et al (2019) have put forward similar predictions. H3: Ego depletion has a negative effect on audit judgment quality.…”

“…The quality of auditors' judgment decision making (JDM) decreases as their level of ego depletion increases, and vice versa. Similar opinions have been conveyed by Hurley (2019), Mullis andHatfield (2018), andMursita et al (2019). These five respondents mostly agreed that ego depletion can affect their audit judgment.…”

“…These findings emphasize the importance of self-control resources, which can be depleted if not restored through adequate sleep and relaxation. Furthermore, excessive workload can deplete self-control resources more than can be recovered through rest, causing a significant decrease in self-control resources the following day (Mursita et al, 2019). In this study, quality of sleep was used as an independent variable which was measured using a questionnaire based on the study of Buysse et al (1989).…”

The Influence of Tasks Complexity, Locus of Control and Emotional Stability on The Performance of The Audit Board of Indonesia Auditors Representing Lampung Province

“…The findings of the study conducted by Libby & Lipe in 1992) demonstrate that task complexity serves as a motivational mechanism to enhance the calibre of an auditor's performance. Auditors face challenging work conditions that require increased effort, but they also acquire valuable information and experience while carrying out their assigned audit tasks (Mursita et al, 2019). The performance exhibited by the auditor is inherently intertwined with the auditor's individuality.…”