In a Fortune article, Wirecard shows auditing is broken. Here’s why—and how to fix it, JEREMY KAHN holds that auditing is broken. He points out that a POGO study found that when the PCAOB inspected Big 4 audits it found:
- Deloitte botched 20%
- PWC botched 23.6%
- EY botched 27.3%
- KPMG botched 50%
Unbelievable.
The article proposes a fix. I would add to that proposal using more automation. Understanding Digital shows how aspects of accounting, reporting, auditing, and analysis can be automated. I know that this works. As this article points out, a philosopher said, “The difference between arrogance and confidence is performance.” I am not being arrogant...I am confident I can deliver. Just need to figure out a way to get people to admit that there is a problem.
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The Boogeyman Behind the Failure to Detect Fraud