Analyzing the role of digitalization and its impact on auditing

• Published in: Multimedia tools and applications Vol. 84; no. 19; pp. 21203 - 21225
• Main Authors: Hanfy, Fathimunisa, Alakkas, Abdullah A., Alhumoudi, Hamad
• Format: Journal Article
• Language: English
• Published: New York Springer US 01.06.2025; Springer Nature B.V
• Subjects: Artificial intelligence; Audit quality; Auditing; Automation; Big Data; Computer Communication Networks; Computer Science; Confidentiality; Data analysis; Data integrity; Data Structures and Information Theory; Data transfer (computers); Digital technology; Digitization; Efficiency; Influence; Internal auditors; Multimedia Information Systems; Privacy; Productivity; Risk management; Robotics; Software; Special Purpose and Application-Based Systems; Thailand; Digitalization; Auditing process; Big data analytics; Artificial intelligence; Auditing
• ISSN: 1573-7721; 1380-7501; 1573-7721
• DOI: 10.1007/s11042-024-19729-0

As businesses transition to digital business models, increasing amounts of data are being exchanged between organizations, partners, and customers. Companies are realizing an increasing value in the digital information that powers today's interconnected ecosystems. Improvements in the professions of accounting and auditing will be carried out through advancements in digitalization and information technologies. To improve the accuracy and thoroughness of independent auditors, big data analytics, robot-assisted process automation, and intelligent systems all present excellent potential. Internal and external audits are the two primary types of auditing. Authorities inside the organization evaluate internal auditing. The external audit is done by an independent body that is not a part of the organization. Every aspect of this emphasizes the need for and possibilities for in-depth research on auditing in the domain of digitalization. The impact of digitization on auditing is the subject of this study contribution. The objective of the current study is to investigate and assess the impact of digitalization on auditing and the role of digitalization with the assistance of tax auditors in Thailand. The effect of digitization on auditing was evaluated using analytical techniques including structural equation modeling. Big data analytics and artificial intelligence are two of the primary aspects of digitalization that are discussed in the study.Big data analytics affect auditing, financial, and risk management productivity. Artificial intelligence is beneficial for risk management and important decision-making in auditing. The results of this work show that the auditing process is affected by digitalization as well since it enhances audit quality, protects data transfer, and improves audit productivity.