Please use this identifier to cite or link to this item:
https://www.um.edu.mt/library/oar/handle/123456789/109561
Title: | Communication barriers between external auditors and client/management : a local perspective |
Authors: | Vassallo, Jodie (2022) |
Keywords: | Auditor-client relationships -- Malta Communication in organizations -- Malta Chief financial officers -- Malta |
Issue Date: | 2022 |
Citation: | Vassallo, J. (2022). Communication barriers between external auditors and client/management: a local perspective (Master's dissertation). |
Abstract: | PURPOSE: This study aims to determine which barriers significantly hinder communication between the external auditor and management of locally equity listed entities, both from the auditors’ and management’s perspectives and to explore what both parties believe could be carried out to eliminate or mitigate these barriers. Moreover, this research seeks to compare and contrast the perceptions of both parties in relation to the communication barriers and mitigation techniques. It also attempts to investigate the potential impact the COVID-19 pandemic has had on auditor-management communication and any emerging barriers and mitigation techniques. DESIGN: To attain these objectives, the researcher adopted a qualitative research design. A total of twenty-three semi-structured interviews were carried out. These consisted of eleven auditors and twelve finance representatives of Maltese equity listed entities. FINDINGS: This research deduced that locally, the most frequent communication barriers encountered in the auditor-management relationship are the lack of accounting/auditing terminology, differences in perceptions, and the failure to adhere to deadlines/timelines. Consequently, to eliminate/reduce these barriers, the most effective mitigation techniques in the local scenario include the preliminary meeting and the possession of an enhanced level of listening and communication skills. Additionally, the COVID-19 pandemic did impact auditor-management communication. In fact, one of the most serious communication barriers that emerged was that face-to-face communication could no longer be conducted for several months. However, technology has played a crucial role in eliminating some of the communication barriers brought about by this pandemic. CONCLUSIONS: The study identified that although there seems to be effective communication between external auditors and the client’s management, certain communication barriers are still prevalent and need to be addressed. Even though no one single technique can tackle all the barriers, a combination of techniques over time may significantly reduce them. Moreover, although the pandemic was initially thought to have a detrimental impact on auditor-management communication, the repercussions were not as dire as the two parties assumed. VALUE: This study raises awareness regarding the communication barriers between external auditors and management in the local scenario and how to mitigate them. The proposed recommendations thus seek to help both parties improve their relationship and communication. |
Description: | M. Accty.(Melit.) |
URI: | https://www.um.edu.mt/library/oar/handle/123456789/109561 |
Appears in Collections: | Dissertations - FacEma - 2022 Dissertations - FacEMAAcc - 2022 |
Files in This Item:
File | Description | Size | Format | |
---|---|---|---|---|
2218EMAACC597100011727_2.PDF | 1.83 MB | Adobe PDF | View/Open |
Items in OAR@UM are protected by copyright, with all rights reserved, unless otherwise indicated.