Remote Audit Quality, Audit Efficiency, and Auditors’ Job Satisfaction: Implications for Audit Firms and External Auditors

Abstract

SUMMARY In the aftermath of the COVID-19 pandemic, remote and hybrid audits have become institutionalized in the external audit profession. However, the impact of remote/hybrid audits on audit success (i.e., audit quality, audit efficiency, and auditor job satisfaction) is not clearly understood. Recruiting external auditors (including audit associates, audit seniors, audit managers, and audit partners) with an average of three to five years of auditing experience, Li, Goel, and Williams (2023) found that working remotely is associated with high audit efficiency. They also found that in comparison to on-site audits, remote audits show increases in technology reliance, professional skepticism, workload, fatigue and frustration, risk-seeking attitudes, and team monitoring rigidity and decreases in auditor–client communication and cooperation efficiency. Furthermore, Li et al. (2023) identified situational and dispositional factors that become critical in remote/hybrid audits. We summarize the key findings of their paper and provide actionable suggestions for audit practitioners. Data Availability: Data are available upon request. JEL Classifications: M42.