Perspective Chapter: Audit Digitalization – Key Impacts on the Audit Profession

Abstract

The rate of technological advancement has influenced existing digitalization programmes of audit processes. The adoption and use of emerging technologies in audit digitalization programmes present numerous opportunities for innovation and improvement. These opportunities come with many threats to the current ways of working, which impacts the audit profession, audit process, and auditor. This study is based on two qualitative data sets to identify the impact of digitalization on the audit industry and audit profession, specifically big data analytics, blockchain technology and artificial intelligence. Existing literature was used to identify areas where the biggest impacts were experienced. Based on the themes identified, semi-structured interviews were conducted in the financial services sector in South Africa to gain insights from industry lived experiences. The interviews focused on the impacts experienced and the realized and potential benefits. Data collected was synthesized to address the research questions of how the adoption of emerging technology will impact the audit industry and shape the audit process, audit profession, the role of an auditor, and aims to define the auditor of the future.