TITLE:
Challenges Facing External Auditor While Auditing Banking Accounting Systems in the Light of the Use of Digital Technologies of Fourth Industrial Revolution in Jordan
AUTHORS:
Reem Oqab Al-Khasawneh
KEYWORDS:
External Audit, Digital Audit Technologies, Banking Accounting Technologies, Fourth Industrial Revolution
JOURNAL NAME:
American Journal of Industrial and Business Management,
Vol.12 No.4,
April
29,
2022
ABSTRACT: The study aimed to clarify the challenges facing the
external auditor in light of the fourth industrial revolution using digital
technologies in the provision of banking services, as it was divided into two
parts. Digital Accounting and it includes challenges related to the nature of
accounting systems (disclosure and treatment), internal control systems,
evidence (electronic), and audit risks. The second section is challenges
related to the element of digital technologies as a tool for implementing the
audit process, which includes the use of digital technologies in the
implementation of audits and the information technology infrastructure in the
audit office and the clients of the audit office (the level of information
technology, fees, lack of clarity of the purpose of the audit services, the multiplicity of services
(financial audit). Evaluation of electronic systems and challenges
related to scientific and practical qualification in digital technologies. The
researcher used the inductive-analytical approach through studies referring to
previous and theoretical studies in an attempt to formulate these challenges
and then the analysis approach by formulating a questionnaire to extrapolate
the opinions of the external auditor of the 13 Jordanian banks, where all banks
were distributed at 3 for each bank and 36 questionnaires were retrieved. The
study has concluded that external auditors working in Jordanian banks face
highly a set of challenges related to digital technologies as an element of
audit work environment and legislations and laws professional and legislative
structure of digital accounting environment) as well as accounting systems (i.e. disclosure and processing), internal control
systems, electronic evidence and audit risks in addition to the challenges
relating to element of digital technologies as an implementation tool of audit
process and the use of digital technologies in implementing audit processes as
well as infrastructure of information technology of audit office and clients
(i.e. a level of information technology, fees, a lack of
clarity of audit services’ goals) and a multiplicity of services (auditing,
electronic system evaluation); furthermore, external auditors face the
challenges which relate to scientific and practical qualifications of digital
technologies.