Auditors' Perceptions toward Challenges and Attitudes of Adopting International Financial Reporting Standards

Abstract

The objective of this study is to examine auditors' perceptions on the challenges and attitudes toward the implementation of the International Financial Reporting Standards (IFRS). In this study, questionnaires are collected from auditors. The questionnaire is composed of 13 items that are measured using Likert scale. The responses were used to measure participants' perceived challenges and attitudes towards IFRS adoption. The survey ends with two open-ended questions to supplement the quantitative component of the study in providing insights, via participants' voices, into the challenges of IFRS adoption. For the quantitative component, the Statistical Package for Social Sciences (SPSS) has been utilized and a qualitative data analysis software package (NVivo) is used to analyze qualitative data collected from the open-ended questions. Analysis of both quantitative and qualitative data indicates that auditors support the adoption of IFRS. The qualitative component highlighted the importance of training auditors on the implementation of IFRS to ensure effective integration of the accounting standards. Training, knowledge sharing and professional practice are identified as key factors in facilitating effective adoption of IFRS. The findings suggest that adopting IFRS necessitates the development of well-thought-out training programs that consider the implementation process with a local insight.