Postgraduate research opportunities Impact of Individual Auditors and Their Beliefs on Auditor-Client Relationships and Audit Quality

Following the collapse of Arthur Andersen, a 'Big 5' accounting firm implicated in Enron's significant audit failure and the largest bankruptcy reorganization in U.S. history until the early 2000s, there has been a structural change in the audit market. Over the past two decades, there has been an increasing focus on the auditor’s independence in the financial reporting process and monitoring. “The Big Four accounting firms have admitted hundreds of violations of regulations designed to protect the independence of their audit work, following the introduction of new disclosure rules in the US.” However, the audit process remains obscure beyond the audit opinion, necessitating further academic research for a more comprehensive understanding of the process (e.g., Maksymov et al., 2023).

Mounting empirical evidence suggests that individual auditors can significantly impact audit outcomes (e.g., Gul, Wu, and Yang, 2013). However, the systematic, incremental effects of individual auditors need further investigation. For example, while beliefs have been demonstrated to play a crucial role for other participants in the capital market, it remains unclear whether auditors' beliefs, when interacting with other stakeholders, facilitate or impede the audit process. This project aims to address these gaps in the existing literature.

Further information

Both supervisors will provide guidance on methodological and empirical aspects. The Department of Accounting and Finance, as well as the faculty, organizes various workshops and seminars. Furthermore, the department's strong connections with accounting firms and its extensive alumni network ensure that the student will have access to practical experience and industry insights. Additionally, the student will benefit from the opportunity to attend advanced methodological training sessions. Support will be provided for the student to attend conferences, particularly in the second and third years of their PhD studies.