Adoption Of Computer-Assisted Audit Tools And Techniques Among Internal Audit Units Of Ghanaian Firms

Abstract

ABSTRACT The study examines the extent of CAATT adoption and utilization among internal audit units of organisations and the factors that influence the adoption decision. Since the advent of automation and rise of “Big Data” in the corporate world, there have been calls for the auditing profession to automate the audit process in an attempt to conduct effective and reliable audits in big data environments. Despite these calls, extant literature indicate that the adoption and usage of technology-based audit tools has been low, particularly within internal audit units. Using the TOE framework as a theoretical lens, quantitative data was sought from a survey of internal audit units of 75 private firms and SOEs through self-administered questionnaires while PLS-SEM and descriptive analyses were employed for the purpose of data analyses. The findings of the study revealed that CAATT adoption rates among organisations in Ghana is fairly high however, the extent of usage low. Risk assessment and fraud detection are areas where CAATT are mostly used within the work of internal audit units. The findings also revealed that CAATT actual adoption and usage in internal audit units are significantly influenced by CAATT behavioural intentions. Moreover, adoption intentions are significantly affected positively by technological readiness (compatibility), organisational readiness (technological competence and management support) and environmental readiness (external pressure and audit standards). The findings offer valuable insights to management, policy makers and regulators on ways to improve the adoption and use of CAATT particularly within internal audit units. Attention should be given to the training of internal auditors as well as resourcing the unit and revising the standards. CAATT developers and vendors should collaborate with internal audit units to enhance the compatibility of CAATT applications to the work on internal audit