Does Identification with the Firm and Profession Mitigate Outcome Effect on Auditors’ Decisions?

The paper examines whether auditors’ identification with the organization or with the profession will influence the use of outcome knowledge when reviewing audits. In addition, the study examines whether the conflict between organizational identity and professional identity influences evaluators’ us...

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Bibliographic Details
Format: Article
Language:English
Published: Chamber of Financial Auditors of Romania 2020-07-01
Series:Audit Financiar
Subjects:
Online Access: http://revista.cafr.ro/temp/Article_9645.pdf
Description
Summary:The paper examines whether auditors’ identification with the organization or with the profession will influence the use of outcome knowledge when reviewing audits. In addition, the study examines whether the conflict between organizational identity and professional identity influences evaluators’ use of outcome knowledge. The study participants consisted of 63 auditing experts in managerial ranks. Auditors completed an instrument containing randomized audit review scenarios developed to evaluate the effects of identification and outcome knowledge on decisions. Results showed that organizational identification can minimize the effect of outcome knowledge on decisions while professional identification results in an increase in biases.
ISSN:1844-8801