Governance: Organisational Accountability and Transparency
The nature and role of audit committees
Team
Goals
This project examines how the roles, characteristics, expectations and evaluation practices of audit committees adapted to legislative change, and what practices are most conducive to effective audit committees. Although based on Australian cases, the study seeks to identify common elements of effective audit committees, with international implications.
Method
Semi-structured interviews with audit committee chairs and chief audit executives in ASX-300 organisations.
Not-for-profit governance and the limits of agency theory
Team
- Doctor Dale Tweedie
- Professor Nonna Martinov-Bennie
- Doctor Karina Luzia
Funding
Funded by MQ New Staff Grant
Goals
Analysis of how NFP's manage demands for accountability from different stakeholders. Focus in particular on capacity of NFP's to be accountable when increasingly delivering key social services once delivered by state.
Method
Interviews with a cross-section of participants in the NFP sector, including Directors,CEOs, managers, regulators and front-line staff; and, qualitative content analysis of public documents. The project will also benchmark NFP governance legislation against international alternatives.
Publication - Report
Corporate Governance
Team
- Professor Nonna Martinov-Bennie
- Doctor Karina Luzia
- Mr Patrick Gallagher
- Keith Reilly
Funding
CPA Australia
Collaboration
CPA Australia
Goals
This project is based on an international comparison of corporate governance codes and principles
Method
Analysis of international corporate governance codes
Non-financial / Integrated Reporting and Assurance
Internal Assurance and Consulting on Environmental, Social and Governance (ESG) Information
Team
Funding
Macquarie University (MQ)
Collaboration
Institute of Internal Auditors
Goals
This study investigates the nature and extent of internal audit's involvement in assurance and/or consulting engagements in environmental, social and governance (ESG) areas in the current Australian context. The study also examines the relationship between a number of key factors (e.g. size, industry, audit committee independence and expertise, etc.) and the likelihood of internal audit's involvement in ESG assurance and/or consulting.
Method
A sequential two-stage data collection method will be employed in this study. Data will be initially collected through a survey and supplemented /corroborated with interviews to provide in-depth insights into specific selected aspects of interest identified in the survey results.
Publication
Transitioning to Integrated Reporting (IR): Issues and strategies for combining sustainability reporting with (IR)
Team
Goals
Integrated Reporting (IR) is fast emerging as one of the most influential models of non-financial reporting, yet there has been little research into the underlying objectives and strategies of IR and how it interacts with other non-financial reporting frameworks. This project aims to clarify the function and strategies of IR relative to other frameworks for reporting non-financial information, and to provide guidance to professionals and organisations transitioning to from existing sustainability reporting approaches, such as the Global Reporting Initiative.
Method
Qualitative content analysis of reporting frameworks from the IIRC, GRI, A4S and King Committee on Corporate Governance.
Publication
Balancing Organisational and Professional Obligations in Management Accounting
Team
Funding
CIMA Centre of Excellence / Internal (MQ) Early Career Researcher Grant
Goals
Analysis of how Management Accountants balance their obligations to advance their organizations' goals with their ethical professional obligations to serve the public interest.
Method
In-depth interviews with management accountants and management accounting academics, and analysis using models of professional identity and ethics drawn from other professional fields.
Report
Lifting the Lid on Integrated Reporting (IR) in Australia
Team
Funding
Funded by ICAA / Chartered Accountants Australia and New Zealand (CAANZ)
Collaboration
Wendy Stubbs, (Monash University)
Colin Higgins, (Deakin University)
Goals
The project is developing the first longitudinal analysis of how IR has impacted organisations reporting and management practices over time.
Method
Interviews and case- studies with selected organisations that have most successfully used IR to change reporting and management practices
Craftsmanship and Cleaning Work
Team
Collaboration
MQ (Centre for Workforce Futures)
Goals
Study of the role of intrinsic motivational of cleaning workers relative to external controls.
Method
Analysis of in-depth interviews of workers, managers and clients in the contract cleaning industry in NSW.
Publication
Critical Discourse Analysis in social and environmental accounting (SEA) research
Team
Funding
Internally (MQ) funded by $5,000 research starter grant
Collaboration
Corrine Cortese (University of Wollongong)
Goals
Analysis of the role and function of the critical discourse analysis method in promoting the goals of social and environmental accounting
Method
Structured literature review and analysis of Critical Discourse methodology
Investigation of the Skills and Capabilities Required for Professional Accountants to Effectively Engage in Integrated Reporting
Team
Funding
CAANZ
Goals
This project aims to advance knowledge of the practical implications of Integrated Reporting (IR) through the construction of an exploratory framework explicating the professional skills and capabilities needed by current and future accounting and assurance professionals to deliver on the integrated nature of IR.
Method
Interviews with targeted members of the IR pilot organisations across Australia and New Zealand and thought leader representatives from the professional accounting bodies (ICAA and CPA), Governance Institute of Australia, the Society for Knowledge Economics (SKE) and the BRLF.
Report
Assurance of Natural Resource Management
Team
Funding
PhD HDR Macquarie University
Collaboration
The Natural Resources Commission (NRC).
Goals
The main aim of the research project is to explore various aspects of the development and implementation of audit and assurance processes and practices emerging within an Australian public sector organisation, the Natural Resources Commission (NRC).
Method
The NRC was established under the Natural Resources Commission Act 2003 (the NRC Act) to provide the NSW Government with independent advice on natural resource management. The NRC comprises the Commissioner and an Assistant Commissioner where the Commissioner is responsible for ensuring compliance with the NRC Act and the Assistant Commissioner and Executive Director support the Commissioner in formulating the NRC's advice to government. The Executive Director leads a small team of staff, namely analysts that are responsible for implementing the Commission's programs, administrative and financial affairs in accordance with the Act.
This project is a longitudinal (three year) case study of the NRC. Data is being collected from multiple sources such as: minutes of critical meetings, management letters, audit working papers, publicly available reports, observation of critical executive meetings, audit fieldwork and interviews with key internal and external stakeholders in addition to informal discussions with key NRC staff.
Publication
Business models in Integrated Reporting
Team
- Prof. Nonna Martinov-Bennie
- Prof. Christian Nielson
- Dr Dale Tweedie
Funding
Macquarie University
Collaboration
Prof. Neilsen leads the Business Model Design Center (BMDC) at Aalborg University, Denmark.
Goals
To clarify the function and structure of the business model in Integrated Reporting in light of the development of alternative business models over the past 20 years.
Method
Structured comparative analysis of shifts in key business model elements in influential business models, with a particular focus on positioning the IIRC's new model within this development.
Publication
Financial Reporting and Assurance
The Drivers of Audit Quality
Team
Funding
Macquarie University Enterprise Partnership Scheme and the Association of Chartered Certified Accountants (ACCA UK)
Collaboration
Professional accounting bodies
Goals
Prior research has identified a number of audit firm and audit team attributes that are considered to be important in assessments of audit quality. However, little is known about which audit firm and the audit team attributes are relatively more important in perceptions of audit quality. This study investigates the relative importance of audit firm and audit team attributes to the perceptions of audit quality utilising key participant groups in the market of audit services as the primary data source.
Method
A customised online survey questionnaire constructed using Adaptive Conjoint Analysis administered to volunteer participants from three key groups of audit market participants: auditors, CFOs and directors.
4 x Reports (Publication/Report)
The Critical Role of Effective Audit Teams on Audit Quality at an Engagement Level
Team
Funding
CAANZ (previously ICAA)
Collaboration
CAANZ (previously ICAA)
Goals
The aim of this project is to examine the critical characteristics of effective audit teams, their processes, and how they influence audit quality at an engagement level. It specifically looks at critical audit team characteristics (structure and composition), the nature of the teams' task, audit team processes and the identification of teamwork skills for team effectiveness, and the influence of these on audit quality.
Method
Initial interviews followed by a survey with audit team members across different levels of seniority ranging from the analyst to a manager from a selected number of Big 4 and medium firms in Brisbane, Melbourne and Sydney.
Familiarity and Efficiency in Different Audit regimes: A Comparison between Tax Auditors and Financial Statement Auditors
Team
Funding
Vienna University of Economics and Business is funding all data collection
Collaboration
Professor Ewald Aschauer Vienna University of Economics and Business
Goals
In the financial audit setting it is assumed that the current regulation leads to increased familiarity between the auditor and the auditee but also to higher efficiency of the audit process. However, little is known about how different environmental settings impact on the auditor selection, the audit process and audit quality. This study investigates the effects of different institutional settings and audit input factors (auditors' professional trait scepticism, auditors' professional identification, the auditor client relationship) on audit quality.
Method
Surveying financial auditors and tax auditors in Germany and Austria
The nature and role of audit committees
Team
Goals
This project examines how the roles, characteristics, expectations and evaluation practices of audit committees adapted to legislative change, and what practices are most conducive to effective audit committees. Although based on Australian cases, the study seeks to identify common elements of effective audit committees, with international implications.
Method
Semi-structured interviews with audit committee chairs and chief audit executives in ASX-300 organisations.
Publication
How professional audit scepticism is conceptualised
Team
Funding
CAANZ
Goals
In light of the significance of professional scepticism in audit quality, this project clarifies what professional scepticism is and how firms and professional organisations can cultivate the trait of professional scepticism over time.
Method
Semi-structured interviews with senior audit practitioners, analysed within a neo-Aristotelian framework of the conditions of character development.
Professional audit scepticism in audit engagements
Team
Funding
CAANZ
Collaboration
CAANZ
Goals
This study has two main aims:
- To examine how and to what extent engagement partners and individual auditors apply sceptical judgment and sceptical action at audit engagement level, and,
- To identify the extent to which specific factors in the application of sceptical judgment and sceptical action in audit engagements are attributable to:
- Auditors,
- Evidence,
- Clients and
- The external environment.
Method
Survey of auditors ranging from analysts to partners in Big 4 and medium audit firms.
Continuous Assurance and Data Analytics
Team
Collaboration
Professor Miklos Vasarhelyi (Rutgers Accounting Research Centre (RARC) and Continuous Auditing and Reporting Lab (CAR Lab)
Goals
TBA
Method
The project is based on semi-structured interviews with senior audit practitioners, analysed within a neo-Aristotelian framework of the conditions of character development.