Changes in Use of Data and Technology in the Conduct of Audits

(Updated Oct. 1, 2018)

Objective


Explore whether there is a need for guidance, changes to PCAOB standards, or other regulatory actions in light of increased use of new and emerging technology-based tools.

Background


Significant advances in technology have occurred in recent years, including increased use by issuers and auditors of data analysis tools and emerging technologies. An increased use of these new technology-based tools could have a fundamental impact on the audit process, including the nature and amount of information available to auditors, significant judgments made by auditors in critical areas of the audit, and staffing of audit engagements. Staff considerations include, among other things, the new technology-based tools being used in audits and the impact on the audit of new technologies used by issuers, changes to firms' methodologies, academic research, outreach, and the activities of others, including auditing standard setters (e.g., the IAASB Data Analytics Working Group). The Board also approved formation of a Data and Technology Task Force of the SAG to assist the staff in obtaining insights into the use of data analytics and certain emerging technologies.

Status


The staff is researching whether impediments exist in PCAOB audit standards.