UNIVERSITY OF ZIMBABWE

FACULTY OF COMMERCE

AN EVALUATION OF THE IMPACT OF INFORMATION

TECHNOLOGY
ON THE AUDIT PROCESS IN ZIMBABWE.

BY

GUMBO TAFADZWA.

R182938X

This dissertation has been submitted as a part fulfilment of the requirement of the Bachelor’s
Degree in Accountancy Honours Degree

Supervisor: Mr Kamunyaru

2021
DECLARATION

I, Gumbo Tafadzwa do hereby confirm and declare that the project report is the product of my
own effort through investigation and research, serve for the extent shown in the Dissertation
Acknowledgements, References as well as the comments which are part of the report body, and
that the report has not been placed/submitted for another degree program partly or wholly to
other universities in Zimbabwe or around the world.

T. Gumbo 05/01/2022

Student signature Date

Approved for submission

________________ ___________

Supervisor’s Signature Date

i
DEDICATION

This report is dedicated to my brothers Takudzwa Gumbo as well as Ropafadzo Gumbo, my

parents for their unwavering support, motivation including encouraging words to the researcher.

ii
ACKNOWLEDGEMENTS

The completion of this dissertation report successfully could not have been possible without the
help of several individuals who dedicated their time to mentor the writer and help me every step
of the way.

 Heartfelt thanks to my close friends (Lawrence and Patience who is my lover) and the
whole Gumbo family for their unfailing support, encouragement, constructive criticism
and help to make sure the writer was comfortable and prepared for anything that could
come my way as a hindrances.
 Above all the l would want to express utmost respect and gratitude to the All-powerful
God who keep watch over the young man as well as guiding him and protecting him
throughout the research period and every time.
 I would want to express my profound gratitude to Mr Kamunyaru had being my
supervisor for his patience and guide during the research period. Regardless of the
pressures of his work duties, he would spare time to assess the writer’s progress,
evaluations and areas that needs attention as well as improvement
 Lastly but not least, the researcher would want to also give credit to all the respondents
who belongs to different firms and organizations who dedicated their time to give me
valuable insight during the data gathering process (primary data)

iii
ABSTRACT

Information technology remains a dynamic and highly volatile sector of the society. Many
companies, worldwide, have most of their business operations computerised giving challenges to
audit firms that are inevitably forced to adopt IT during their accounting and auditing processes.
The impact of this change is that there is mechanisation of client’s systems and business
processes which means that there is no paper audit trail which brings IT into play for audit
procedures to be effective. The prevalent Corona virus (COVID 19) is pushing for evolution of
audit approaches adopted, that is, the use of IT Audit tools for connectivity since people are
working from home for their safety and consequently the use of IT in audits becomes
fundamental.

It is as a result this Information Technology foundation that this research is being conducted out
to evaluate the introduction, role of computers in the process of auditing in Zimbabwe.
Theoretical as well as empirical, review of literature have been debated bringing out the use and
adaptation of highly volatile computerized environment in the audit process so as to
acknowledge the studies conducted by many different authors on this area of study.

The research give an analysis on how Computer aided audit techniques (CAATs) have impacted
the whole audit process in Zimbabwe. The research methodology was designed to gather both
secondary and primary data that is a prerequisite for this research objective by using structured
questionnaires, telephone interviews, textbooks as well as internet sources as the quantitative
approach was adopted.

The presentation and analysis of research results to give an evaluation of the importance of
computers in auditing of financial statements. The results of the research obtained revealed that
computers are necessary instruments by which accounting firms can increase their quality as well

iv
as efficiency. IT also provides auditors with an advantage in the the provision of a quality audit
report. On the other hand, despite all the merits brought up by using computers during the
auditing process, firms always encounter drawbacks in the adoption of information technology.
Such setbacks have been analysed and examined in the fourth chapter of this study,
recommendations for their measures is also proposed in the final chapter. Analysis, comments
including conclusions is done on the research results with regards to research objectives.

TABLE OF CONTENTS

Contents Table
DECLARATION..............................................................................................................................i

DEDICATION.................................................................................................................................ii

ACKNOWLEDGEMENTS............................................................................................................iii

ABSTRACT...................................................................................................................................iv

TABLE OF CONTENTS.................................................................................................................v

LIST OF TABLES..........................................................................................................................ix

LIST OF FIGURES.........................................................................................................................x

CHAPTER 1....................................................................................................................................1

1.0 INTRODUCTION.....................................................................................................................1

1.1 BACKGROUND OF THE PROBLEM.....................................................................................1

1.2 PROBLEM STATEMENT........................................................................................................2

1.3 RESEARCH OBJECTIVES......................................................................................................3

1.4 RESEARCH QUESTIONS.......................................................................................................4

1.5 RESEARCH HYPOTHESIS.....................................................................................................4

1.6 SCOPE OR LIMITATIONS OF THE STUDY........................................................................5

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1.7 SIGNIFICANCE OF THE STUDY..........................................................................................6

1.7.1 To the student......................................................................................................................6

1.7.2 To the audit firms................................................................................................................6

1.7.3 To the University................................................................................................................6

1.8 RESEARCH GAP......................................................................................................................6

1.9 CONCLUSION..........................................................................................................................7

CHAPTER 2: LITERATURE REVIEW.........................................................................................8

2.1 INFORMATION TECHNOLOGY- BASIC INTRODUCTION..............................................8

2.1.1 COMPUTER AIDED AUDIT TECHNIQUES (CAATS).................................................9

2.1.2 ARTIFICIAL INTELLIGENCE (AI)...............................................................................10

2.2 AUDIT PROCESS...................................................................................................................12

2.3 ROLE OF COMPUTERS AS AN AUDIT INSTRUMENT...................................................14

2.4 RELATIONSHIP BETWEEN INFORMATION SYSTEM AND THE AUDIT PROCESS-

ITS IMPACT.................................................................................................................................15

2.5 TRADITIONAL AUDIT PROCEDURES VS CAATS..........................................................16

2.6 HOW AUDIT PROCEDURES CHANGED SINCE THE INTRODUCTION AND USE OF
INFORMATION TECHNOLOGY...............................................................................................17

2.7 ANALYSIS OF PREVIOUS STUDIES DONE VS THE CURRENT STUDY.....................18

2.8 CONCLUSION........................................................................................................................18

CHAPTER 3: RESEARCH METHODOLOGY...........................................................................19

3.1 RESEARCH DESIGN.............................................................................................................19

3.2 POPULATION AND SAMPLING.........................................................................................21

3.3 SOURCES OF DATA.............................................................................................................24

3.4 DATA COLLECTION TECHNICS........................................................................................25

3.5 DATA PRESENTATION AND ANALYSIS TECHNIQUES...............................................27

3.6 CHAPTER SUMMARY..........................................................................................................27

vi
CHAPTER 4: DATA PRESENATION AND ANALYSIS..........................................................29

INTRODUCTION.........................................................................................................................29

OVERVIEW OF THE RESULTS.................................................................................................29

4.1 ANALYSIS OF QUESTIONNAIRE RESPONSES FROM AUDIT CLERKS(SENIORS

AND JUNIORS)............................................................................................................................32

4.1.1 Computerized auditing is going to gradually replace traditional manual auditing

methods......................................................................................................................................32

4.1.2 Computerized auditing enhances the efficiency, effectiveness and quality of an audit.
33

4.1.3 The use of manual auditing methods no longer provide reasonable audit assurance on the
fair presentation of client financial statements..........................................................................34

4.1.4 The implementation of computers in auditing increases the IT proficiency of auditors.. 35

4.1.5 The implementation of IT has transformed the purpose of auditing of client financial
statements..................................................................................................................................36

4.1.6 Do you make use of any audit software in your audits?...................................................36

4.1.7 Did you at anytime get involved in any training on the use and implementation of the
audit software?...........................................................................................................................37

4.1.8 Do you experience any problems with your computer and do these experience delay the
completion of the audit?............................................................................................................38

4.1.9 Is the firm’s investment in IT justified?............................................................................39

4.2 ANALYSIS OF RESPONSES FROM TELEPHONE INTERVIEWS WITH AUDIT

MANAGERS.................................................................................................................................39

4.2.1 How long have you been using computers in the performance of the audit work?..........40

4.2.2 In your opinion, does the use of information technology in auditing offer tangible
benefits to clients?.....................................................................................................................40

4.2.3 Do you think that the use of IT in auditing offers you a competitive advantage over
your competitors (other accounting firms)?..............................................................................40

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 4.2. 4 Do you think that you are exploiting full potential of the information technology at your
disposal?....................................................................................................................................41

COMMENT ON RESEARCH HYPOTHESIS.............................................................................42

4.3 CONCLUSION........................................................................................................................42

CHAPTER FIVE: CONCLUSIONS AND RECOMMENDATIONS..........................................43

INTRODUCTION.........................................................................................................................43

5.1 SUMMARY OF MAJOR FINDINGS....................................................................................43

5.2 RECOMMENDATIONS.........................................................................................................44

5.3 AREAS FOR FURTHER STUDY IN FUTURE....................................................................44

5.4 CONCLUSION........................................................................................................................45

REFERENCES..............................................................................................................................46

APPENDIX I: RESEARCH QUESTIONNAIRE.........................................................................49

APPENDIX II: INTERVIEW QUESTIONS................................................................................53

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 TABLES LIST

Table 1: Sample size.....................................................................................................................22

Table 2: Composition of respondents..........................................................................................31
Table 3: Computerised auditing substituting traditional techniques.........................................32
Table 4: Computerised auditing vs increase in efficiency and quality of audit.........................33
Table 5: Use of computers and IT proficiency of auditors.........................................................35
Table 6: Number of auditors using CAATs.................................................................................37
Table 7: Are firms exploiting the information systems at their disposal fully?.........................41

ix
LIST OF FIGURES

Figure 1: The audit cycle.............................................................................................................13

Figure 2: A framework in respect of the audit approach in a computerized environment.......18
Figure 3: Percentage response rate.............................................................................................30
Figure 4: Analysis of response rate per firm...............................................................................30
Figure 5: Response rate per audit level.......................................................................................31
Figure 6: Manual audit techniques vs audit opinion.................................................................34
Figure 7: Use of computers vs audit objective............................................................................36
Figure 8: Training for the use of audit software........................................................................37
Figure 9: Percentage of firms’ investment in IT........................................................................39
Figure 10: Does the use of IT provide competitive advantage...................................................40

x
CHAPTER 1

Over the long period of time, information technology has made a really vital impact, especially
in the economic environment globally (Cascio, W. F & Montealegre, R, 2016). The adoption and
subsequent advancement of information technology have resulted in an overall increase in the
efficient and effective execution of business activities and audit processes are not exempt from
this. There is, therefore, a need for organizations to stay up to speed with the highly volatile and
dynamic technological environment, that is, the world wide expansion in using information
technology. To survive the technological threat, businesses need have the proper Information
technology systems that suits their daily business needs as well as the relevant knowledge on
how to use them.

This report is meant to give a definition information technology as well as how it has affected the
auditing profession over the years. The research also seeks to provoke the minds of auditors and
audit firms at large while giving an encouragement to them to get ready for continuous
advancement and enhancement of the implementation of Computer Assisted Audit Technics by
recommending ways in which they can effectively use this technology to improve their auditing
operations.

The main aim of the chapter is to introduce the reader to the study including the basic
background, purpose, purpose and the role of this study.

1.1 BACKGROUND OF THE PROBLEM

The contemporary economic environment is characterized by the increasing volatility of

technological advancements to deliver more accurate information, and hence most organizations
are forced to adopt the use of information systems through computer-aided techniques in their
business procedures, for example, accounting and auditing packages. Included in the challenges
in adapting to information technology is the fact that Zimbabwe is a 3 rd world country lagging
behind the advent of technology therefore the audit cliental base is still using traditional
accounting systems that will not be compatible with our Computer Assisted Audit
Technics(CAATs).

1
Recently, the world have gone through a rampant worldwide breakthroughs concerning the
advancement as well as the enhancement of many business information technology over the
years. Information technology has advanced rampantly over the past 50 years, with a force
unprecedented in history, and as such, people and organization around the globe are affected
immeasurably, specifically looking at how they run their businesses In today’s economic world
every organization needs to introduce Information Technology into their business processes so
that they have a strong grip in the competitive through the utilization of cost-effective and
efficient information technology packages.

. These changes have pushed variety of companies globally to transform their systems transaction
from manual processing to computerized, automated processing with many organizations being
almost computerized wholly, and some only using the applications for bookkeeping as well as
financial statements (Elefterie, L. & Badea, G, 2016).

Organizations need to implement IT systems that are suitable for Their business activities or the
type of industry they are in and as such it is vital to carefully evaluate the risks and benefits
associated with using the different systems before adopting one that they can use which can help
improve efficiency. In the past, audit processes have been performed manually and all audit files
kept that as well. The major problem of using manual processes is that it is consumes a lot of
time, there is a risk of duplications as well as problems with effective storage for further future
reference. Information systems are of utmost importance to auditors in doing audit procedures
because it helps them determine the extent of substantive work to be carried on audit during the
planning stage which saves time. Auditors need to quickly adapt to these changes for them to
remain relevant to the industry. It is however of very vital to note that the adoption of IT to audit
processes does not take away the human input but it is merely for improving efficiency and thus
providing clients with the best and more accurate opinions on the status of their financial
statements.

1.2 PROBLEM STATEMENT

The high volatility of the technological environment, that is, the fast increasing advancement of
the use of computers is one of the main challenges currently facing audit firms in Zimbabwe.

2
Most companies in Zimbabwe have now computerized their systems which means that manual
audit procedures have fallen out of context and are no longer adequate and relevant. An increase
in the volumes of business transactions has also been experienced over the years and has also
prompted the need to timely adopt the computer systems. Most companies are going paperless
and more digital and therefore auditors need to focus on the systems of the client to obtain a
more accurate audit trail.

Also, around the computer auditing does not provides a timely and more reasonable assurance
on the audited financial accounts because of its lack of efficiency. Most companies are going
paperless and more digital and therefore auditors need to focus on the systems of the client to
obtain a more accurate audit trail.

Like any other business process, the audit process can be enhanced by the adoption of
information systems since the auditor has to make an opinion financial statements of a company
after analysing large volumes of transactions making up the account balances and this requires
them to be diligent and ensure a high level of accuracy in their work.

Generally, an audit is not an easy process which need multidisciplinary knowledge as well as
crucial documentation as well as a high degree of accuracy since an opinion is to be given on a
company’s financial statements. As other business process, the process of auditing can be
enhanced through the adoption of information systems since the auditor has to make an opinion
of the financial statements of a company after analysing large volumes of transactions making up
the account balances and this requires them to be diligent and ensure a high level of accuracy in
their work.

Auditors need to quickly adapt to these changes in information technology so that it becomes
possible for them to work better by optimizing their time as they are easily able to use their
professional to analyse a many large data sets and documents.

3
1.3 RESEARCH PURPOSES/OBJECTIVES

Main objective:

 To evaluate the impact of information technology advances on the audit processes

in Zimbabwe.

Secondary objectives:

 To assess how computerization of many business organizations impact the audit

approach and process used by auditors and how they can effectively incorporate it
in their audit work
 To investigate the skills and technical knowledge that auditors are required to
have whilst auditing in highly computerized environments.
 To assess the problems that result from the use of computers to conduct auditing
function and provide measures to those challenges.

1.4 RESEARCH QUESTIONS

 What is the effect of IT advances on the audit processes in Zimbabwe?

 How the computerization by most business organizations impact the audit approach used
by auditors and how can they effectively incorporate it in their work?

 What are the skills and technical knowledge that the auditing employees required to have
whilst they are performing auditing in highly computerized business environments?

 What are the setbacks that result from the use of computers in performing the audit
function as well as providing measures to such challenges?

4
1.5 RESEARCH HYPOTHESIS

Null hypothesis:

Increased Information technology has merits and important effect on the audit processes in
Zimbabwe

Alternative hypothesis:

Increased Information technology has a negative impact and no significant influence on the audit
processes in Zimbabwe

1.6 SCOPE OR LIMITATIONS OF THE STUDY

SCOPE

The study will be mainly focussing on the population taken from the any two firms from the “big
four” audit firms as well as any other two smaller firms operating in Zimbabwe to assess their
adaptability to the advances in technology and how their audit processes have changed as a result
of CAATs. These selected firms are Deloitte, Ernest and Young, Baker Tilly and AMG global.

Sampling risk

This means that the sample selected will not be a true representative of the whole population,
(INTERNATIONAL STANDARD ON AUDITING 530: AUDIT SAMPLING, 2009).

Sampling risk affects the conclusion agreed basing on results of sample.

5
Accessibility of auditors

The research study may encounter a problem in reaching many auditors for the purposes of
interview because of their everyday work commitments. This was made worse because of the
national lockdown induced by the government due to the Coronavirus (COVID 19) pandemic
declared as an international crisis by the World Health Organisation (WHO). Data collection will
therefore be limited to online methods such as WhatsApp and emails. However things had been
loosening up of late.

Confidentiality

The content will be limited due fact of the confidentiality nature of some useful information that
might be required as per guidelines stipulated in the Code of Professional Conduct (CPC) as
most firms have a strong confidentiality policy (International Federation of Accountants, 2006).

1.7 IMPORTANCE OF THE STUDY

1.7.1 to the student

This research will be carried done out in partial fulfilment of the requirements of Bachelor of
Accounting Honours Degree at the University of Zimbabwe. The research will also help to
increasing broaden the knowledge base of the student.

6
1.7.3 to the University

The research is set to enlighten the university on the technological advancements as well as
developments that affect the audit profession and how the institution can include this into the
present curriculum so that students become competitive and competent professionals.

1.7.2 to the audit firms

The major key merits that come up from this research include the fact that audit firms can
explore the advantages brought with the use of computers in their audit processes and how to
effectively and efficiently manage these continuous advances in the technological environment to
remain competitive and relevant in the industry.

1.8 RESEARCH GAP

Studies had been done long-back but the information technology is ever changing and some of
the researches made are no longer relevant. Studies done over the years around this area have
focussed on the effects of information technology on auditing but mainly focussing on developed
countries which are believed to be more technologically advanced. This study, however, will
focus on the levels of adaptability in Zimbabwe, which is a developing country. Also, previous
literature available has emphasized empirical implications of information technology to
organisations instead of the holistic organizational perspective (Bierstaker, Burnaby, &
Thibodeau, 2001) and these limitations will be addressed in this research as well. Various
attempts have been made to address this problem in the past, however since the technological
environment is constantly changing.

7
2.1 INFORMATION TECHNOLOGY- BASIC INTRODUCTION

Information technology refers generally as the use of computers to store, process, transmit and
retrieve data and is used usually in the business context rather than for entertainment purposes
(Joshi, 2015). IT is also be defined as acquiring, storing, processing and dissemination of all
forms of information (Taylor, 2000). Munasinghe (1989) set out the implications of an
introduction of information technology accounting procedures to third world countries such as
Zimbabwe. He notes that information technology is a vital element to accelerate economic
development as well as changing the approach used by organizations in managing their business
operations. Accounting and audit packages adopted can be either specific purpose accounting
software (for specific companies and operations) or multi-purpose software (serves more than
one accounting purpose such as Flexi cube software, used by most banks.) The use of
Information Technology (IT) has grown rapidly over the past decades and how companies adopt
to these changes remains an empirical question. The need to adapt to these changes has been
driven by the fact that technology will not improve performance and overall efficiency if it is not
effectively used.

2.1.1 COMPUTER AIDED AUDIT TECHNIQUES (CAATS)

The Institute of Chartered Accountants Publication of January 2004 defines Computer Assisted
Auditing Techniques (CAATs) as computer programs as well as data used by the auditor as
procedures to process client data, which is in the entity’s information systems. CAATs also refer
to the use of technology to assist auditors to evaluate the internal controls of a client by
extracting and critically examining the relevant and appropriate data (The Chartered Institute of
Internal Auditors, 2019). This is the instrument used by auditors to automate or simplify the
audit process, which enables them to easily search for irregularities in the data provided to them,
(Coderre, 2009). CAATs also improve general audit efficiency by allowing professionals to do
prior manual intensive tasks quickly (Zhao et al. 2004). Generally, CAATs help auditors in the

8
modern-day business society to execute much more comprehensive and insightful analytical
reviews for fraud detection.
CAATs con basic software (for example excel) as well as some software packages that are
advanced which use statistical analysis and other business intelligence tools. These are very
helpful tools as they automatically generate analytical data from the given data thus enabling
auditors to work more efficiently and productively. CAATs are subdivided into two, that is, test
data and Audit software. Test data means the submission of replica data into a client’s system to
confirm whether the system correctly processes the data and prevents, detects or corrects any
misstatements.

2.1.1.1 Categories of CAATS

a) Audit software
Audit software means to program computers that help auditors to process crucial client data, as
audit procedures, in-order to closely investigate the effectiveness of a client’s system. These
audit programs are used to analyse very huge volumes of data which is almost impossible to do
manually and can be used to check as well as verifying the reliability of a clients’ programs, such
that when the program in use by the client is operating very well and efficiently, the results of
processing data using client system must be the same as the results from software package that is
generalized. Audit software does a variety of audit can either be off-the-shelf software
(Generalized Audit Software ready for use at point of purchase) or customized packages
(developed for specific purpose).

b) Test data
This involves the auditor inserting fictitious and non-existent data in a client’s system to confirm
if it can process it accurately or detect and ultimately correct any misstatements. The main
purpose of performing this important test is to check and ensure whether the internal controls in
the system are operating effectively for controls for example input validation as well as data
access controls by entering both data without errors and with errors, for example, putting codes
and numbers that normally do not exist and invoices that have arithmetical errors.

9
Advantages of Computer Assisted Audit Technics.

 It does depend on the system being audited, the use a read-only files copies will mitigate
against damaging and loss of the company's data thus improving quality.

 Enables auditors the test large volumes of data by auditors thus reducing sampling error
thus enhancing the audit quality and audit time

Disadvantages
 Computer Assisted Audits are very expensive and the set up takes a lot of time since the
software should be bought or designed to suit the need of the organization.
 They require audit team knowledge which may lack amongst team members or training
need to effectively operate the Computer Assisted Audits.

2.1.2 (AI) ARTIFICIAL INTELLIGENCE

Artificial Intelligence (AI) means technology that makes machines “smarter” to automate or try
to replicate human intelligence (Institute of Internal Auditors, 2017). According to the Ernst and
Young (EY) report on artificial intelligence (2018), AI refers to computers that exhibit human
intelligence and it encompasses a lot of interlinked technologies such as data mining and
sentiment analysis. Firstly introduced around the 1950s, artificial intelligence has evolved and
advanced over the years owing to the increase in data volumes, advanced algorithms as well as
various improvements made to computing power and also storage (Krishnan. K, 2019).
Some surveys believe that over half of Chief Executive officers believe that their organizations
are likely to encounter many challenges in the next few years compared those of the preceding
50 because of AI (Holland, P. Rae, S & Taylor, P., 2018). The Information Technology (IT)
internal audit conferences done by KPMG recently revealed that 90% of the attendants consented
that the Artificial Intelligence should be in cooperated. Artificial Intelligence projects are

10
supposed be part of internal audits while about 70% weren’t clear honestly on the audit approach
to use (AI) .(Holland. P. et al, 2018).

2.1.2.1 Machine learning

The AI used by most companies is machine learning in which machines have built-in algorithms
that assist it understand basin on transactions it received periodically. This software implements
Artificial Intelligence including different control points to analyze the transactions in the books
and then place such transactions into brackets that is low risk, medium risk, and or high risk
(Bowling.S, 2019).

2.1.2.2 Data Mining

Data mining is defined as the examination and in-depth analysis of large volumes of data to
identify any meaningful patterns and rules in that data so as to detect fraud and identify risk. It
differs from predictive analytics as it focusses on describing historical data so as to try and
predict future outcomes.

Steps to data mining

 Understand the business and its environment

 Understand the data
 Preparation of data by ensuring that it is complete
 Data Modelling- use of mathematical models to identify any patterns
 Evaluate the findings

11
1.9 CONCLUSION

The chapter gave a short picture and the general overview of the research study under
consideration. The main important thing was on introducing and giving thorough information
about the problem, the background, problem statement, research hypothesis among other
sections. The other chapters to follow below are going to go in to details explaining the research
problem as well as the research findings gathered in trying to bring up the workable measures to
these problems.

12
CHAPTER 2: LITERATURE REVIEW

2.0 INTRODUCTION
The aim of this study is mainly to examine and thoroughly investigate the impact and effects of
information technology on the audit process focussing on Zimbabwe be it negative impact or
positive. Researches that have been conducted the over the years have made it clear that the
digital global economic environment is rapidly expanding, making most business organisations
to shift from manual processes and in-cooperating information systems to improve and ensure
the enhancements of their business operations. This chapter mainly emphasises on the theoretical
literature review and this has been put into various sections giving details an in-depth analysis of
information systems including their effects on auditing environment both the internal and
external audit.

2.1 INFORMATION TECHNOLOGY- BASIC INTRODUCTION

Information system technology generally refers to the utilisation of computers and other related
devises to process, store, transmit and retrieve data. It is used usually in the business context
rather than for entertainment purposes (Joshi, 2015). (Taylor, 2000), “Information technology
can also be defined as the acquiring, processing, storage and dissemination of pictorial, vocal,
numeric, and textual information by a microelectronics based combination of computing and
telecommunications”. (Munasinghe 1989) explicitly set out the implications and impact of an
adoption of information technology accounting and auditing procedures to the third world
countries such as Zimbabwe. He puts forward that information technology is a very crucial
element to increase economic development as well as transforming the approach used by
business organizations in managing their daily business operations. Accounting and audit
packages incorporated by businesses can be either specific use accounting software (for
identified companies and operations) or multi-purpose software (serves more than one
accounting purpose such as Flexi cube software which is used by most banks.) The use of
Information Technology (IT) has increased rampantly over the recent past decades and how
many companies adopt to these changes remains an empirical question. The drive to adapt to

13
these changes has been driven by the fact that technology will not improve performance and
overall efficiency if it is not effectively implemented.

2.1.1 COMPUTER AIDED AUDIT TECHNIQUES (CAATS)

The January 2004 Institute of Chartered Accountants Publication gives a definition of Computer
Assisted Auditing Techniques (CAATs) as computerized programs including data by that helps
auditors as part of procedures to process client data, which is in the entity’s information systems.
“Computer Assisted Audit Technics also refer to the use of technology to help auditors and
accountants to evaluate the internal controls of a client by extracting and critically examining
the relevant and appropriate data” (The Chartered Institute of Internal Auditors, 2019). This is
an instrument used by auditors to automate their auditing processes, which gives them the ability
to easily navigate for anomalies in the data provided to them by the client, (Coderre, 2009).
Computer Assisted Audit Technics also enhances the general audit efficiency through enabling
auditors to conduct prior manual or traditional intensive work swiftly, (Zhao et al. 2004).
Generally, Computer Assisted Audit Technics help auditors in the nowadays business society to
perform much more understandable and insightful analytical reviews for fraud and error
detection.
Computer Assisted Audit Technic contains basic software (for example excel and word
programs) as well as some software packages that are more advanced that implements statistical
analysis and other business intelligence tools. These are very vital tools as they automatically
produce analytical data and information from the given data thus enabling auditors to work more
efficiently and productively. Computer Assisted Audit Technics are subdivided into Audit
software and test data. Test data is when replica data is submitted into a client’s system to check
whether the system correctly and accurately processes the data and prevents, detects or corrects
any errors.

2.1.1.1 Categories of CAATS

14
 c) Audit software
Audit software are computer programs that are used by auditors to disseminate very crucial client
data and information, as procedures in audit, in-order to thoroughly investigate and examine the
effectiveness of a client’s system that produces the data. These audit programs are also used to
analyse large volumes of data and information which is very hard to do manually and can be
used to verify the reliability of a clients’ programs so as to assess their ability to rely on what is
produced by the systems, such that when the program in use by the client is operating very well
and efficiently, the results of processing data using client system must be the same as the results
from software package that is generalized. Audit software that do different audit tasks can either
be off-the-shelf software (Generalized Audit Software ready for use at point of purchase) or
customized packages (developed for specific purpose).

d) Test data
This involves entering fictitious and non-existent data in a client’s system by the auditor to check
if the system can process it accurately or detect and ultimately correct any errors and
misstatements. The main reason of doing this test is to check whether the system’s internal
controls are operating effectively for controls for example input validation as well as data access
controls by entering both data with errors and without, for example, putting codes that normally
do not exist, invoices that have arithmetical errors.

Advantages of Computer Assisted Audit Technics

 It does not dependent on the system been audited, the use a read-only copied files
mitigate corruption of the organisation's data thus improving quality
 Enables auditors to do tests on large volumes of data thus minimising
Sampling error thus improving the audit quality and audit time

Disadvantages

15
  Computer Assisted Audit Technics are very costly and setting up the system takes time
since the software must be bought or made to suit the purpose of the organization.
 The audit team sometimes lack the relevant knowledge or training need to effectively
operate the Computer Assisted Audits.

2.1.2 ARTIFICIAL INTELLIGENCE (AI)

Artificial Intelligence (AI) is the technology that has the ability to make machines “smarter” to
try to replicate human intelligence (Institute of Internal Auditors, 2017). According to the Ernst
and Young report of (2008), on artificial intelligence, AI refers to computers that exhibit human
beings intelligence and it is inclusive of a lot of interlinked technologies inclusive of data
mining, and machine learning. Firstly Artificial Intelligence was introduced around the 1950s,
Artificial Intelligence has evolved and advanced over the past decades due to the increase in data
volumes, advanced algorithms as well as numerous improvements made to computing power and
storage (Krishnan. K, 2019).
Some of the surveys hold to the fact that most of Chief Executive officers agree that
organizations will encounter many challenges and hindrances in the next few years compared
those of the preceding 50 because of AI (Holland, P. Rae, S & Taylor, P., 2018). The
Information Technology (IT) internal audit conferences done by KPMG recently revealed that
90% of the attendants consented that the Artificial Intelligence should be in cooperated.
Artificial Intelligence projects are supposed be part of internal audits while about 70% weren’t
clear honestly on the audit approach to use (AI) .(Holland. P. et al, 2018).
.

2.1.2.1 Machine learning

The AI used by most companies is machine learning in which machines have built-in algorithms
that assist it understand basin on transactions it received periodically. This software implements
Artificial Intelligence including different control points to analyze the transactions in the books

16
and then place such transactions into brackets that is low risk, medium risk, and or high risk
(Bowling.S, 2019).
.

2.1.2.2 Data Mining

Data mining is the examination and in-depth view and analysis of large volumes of data to
identify any meaningful rules in that data so as to detect fraud and identify risk. It differs from
predictive analytics as it focusses on describing historical data so as to try and predict future
outcomes.

Steps to data mining

 Obtain a thorough comprehension of the business and the internal and external
environment
 Comprehension of the data that is going to be used
 Use of mathematical models to discover any patterns
 Evaluation of the findings
 Sharing of the findings to different business operations.
 Preparation by ensuring that it of data is complete

Advantages of AI
 It is able to give an analysis of data more and deeper in a short time via the use of neural
networks thus ensuring accuracy
 Artificial intelligence is also capable of reviewing and assessing any historical data as
well as predicting for any possible future risks based on the data, which ensures that any
issues in the current dataset are resolved quickly.

Disadvantages of AI
 Increased costs on software installation initially as well as software development

17
  Machines are short of the ‘out of the box thinking’ as they only perform what they are
programmed to perform and anything out of that scope will make the system crash

2.2 AUDIT PROCESS

International Standard on Auditing (ISA) 200, auditing is the auditor’s expression of an

independent opinion on the financial statements of a company as a way to come up with a
professional obligation. Auditors are controlled by and are supposed be registered under the
Public Auditors and Accountants Act (PAA Act). Assurance engagements is defined as the one
in which the auditor concludes to increase the confidence of the all users of financial statements
about anything that the auditor would have identified that makes him to give a conclusion
assuring that financial statements have been done, in all material respects ,and also following
the identified financial reporting framework (ISA 700). The audit process is regulated by
applicable frameworks and therefore should be made under the professional framework such as
the ISAs and those standards must be followed be it in a computerized environment or not. With
auditing, an auditor ensures the importance and the relevancy of the financial statements done by
the management of an organization, and they also makes valid and credible the other non-audited
information released by management, (Hayes.R, Dassen. R., Schilder, A. & Wallage, P, 2005)

The audit process consists of various stages, which are:

 Appointment at Annual General Meeting sometimes re-election

 Drafting and signing the engagement letter
 Audit planning
 Ascertainment of systems
 Test of controls and transactions
 Verifying assets and liabilities
 Review of financial statements

18
  Signing audit report

Re-ellection or
Signing of Appointment at
audit letter Annual General
Meeting

Review of
Engagement
financial
letter
statements

Audit
Verify
planning and
Assets and
risk
liabilities
assessment

Test of
Ascertaining
internal
systems
controls

Figure 1: The audit cycle

Various researches had been done in the past that proved that the best method that firms can
implement when providing assurance in highly computerized environments is by audit “through
the computer”. This is defined as detailed test of all the procedures put in place when an
organization is processing transactions by using computerised information systems. Researchers
have put forward that through thoroughly comprehending the environment the auditor is able to
ascertain if any reliance can be put on the entity’s control environment when coming up with the
general approach to auditing.

2.2.1 Auditor Competencies

International Standards on Auditing (ISAs) as well as the IFAC’s Code of Professional Conduct
(CPC) makes clear the fundamental principles and competencies that are supposed to be
possessed by the auditor. At the apex of the list is professional competence and due care
meaning that auditors are mandated to have the necessary skills, usually via training, so as to

19
enable them to excise professional judgement in giving audit opinion. Auditors must possess the
expertise gained through training, learning and experience in the field of auditing. Auditors
should have the understanding of basic computer functions and systems such as Microsoft Soft
Word, Excel and other functions. They are also mandated to be dynamic, broad and have
professional scepticism in all their work. Being dynamic and flexible will makes them to easily
copy to the changes in the dynamic business environment, inclusive of changes in professional
reporting standards as well technological changes so as to increase the quality of the work
performed. Auditors are also mandated be ethical in their dealings and should not behave in a
manner that brings disrepute to the accounting and auditing profession (Flint, 1998).

2.3 USES OF COMPUTERS AUDIT

2.3.1 Performance of the audit

Computers are mostly used in making more accurate audit budgets with regards to monetary
value, keeping audit file for long permanently, and also emailing.

2.3.2 Planning
Planning is done as below:
 Materiality levels are done through computerized programs.
 Audit software used for evaluating the entity’s internal controls including preparing flow
charts.

2.3.3 Performance of audit tests

 Weaknesses in internal controls can be kept as management letters. These will be
updated for transformations in the internal controls or if the already identified weakness
had been solved
Sample selections using functions such as Random Sampling
 International Auditing Standards (ISA) 500 collecting audit evidence obtained through:
analytical procedures using spreadsheets and statistical computations

2.3.4 Completion of the audit

20
After the signing off the working papers on which audit work was done, these can be stored on a
computer e.g. via the computerization of lead sheets. Financial statements will have to be done
on audit software and an annual review can be pone

2.4 LINK BETWEEN INFORMATION TECHNOLOGY AND THE AUDIT PROCESS-

ITS IMPACT

Computer Assisted Audit Technics have come in to play as tools used to help auditors search for
misstatements within a client’s data files including checking for compliance with relevant
standards and legislation. While information technology has changed over the past decade, there
is still not much guidance available to guide audit practitioners in selecting how it can used
effectively (Germanovich, 2014). There is need to know the extent to which auditors implement
and assess the perceived vitality of information technology in their audits. Since its adoption and
implementation decisions differ by the size of the firm, there is need to do an examination
whether information technology has affected the communication modes used by different
auditors when preparing and reviewing work papers as well as brainstorming on possible fraud
indicators. Researches carried out in recently show that auditors in various firms have increased
the implementation of all the IT applications to improve their audits. The Chartered Accountant
publication (January 2004), states that the whole purpose of auditing do not become different
when an audit is done in a computer information systems (CIS) environment. Researches have
established that many companies have implemented IT techniques and computer software
packages in their day to day business operations, which means that auditors are now required to
have special skills in understanding the systems and adopting the “audit through the computer”
approach. To notice any weaknesses in the client’s systems including identifying the audit trail,
auditors are of late forced to do away with the manual audit approaches (Traditional) and have
since adopted Computer Aided Audit Techniques (CAATS).
In many organisation, technology has completely changed the accounting cycles as well as the
controls that regulates financial reporting hence affecting the processes of auditing and

21
techniques put in place to collect evidence for audit. IT has modified the process and techniques
of many accounting firms.

2.5 TRADITIONAL AUDIT PROCEDURES VS COMPUTER ASSISTED AUDIT

TECHNICS

In the past, audits were known by manual processes and as well more paper evidence. It also had
the use of basic Microsoft Office packages (Excel, Word, etc.). The major problem of this
method was the increasing risk of errors since it was not compatible to use in bigger clients with
more data streams thus forcing auditors to base their opinions on limited samples. The major
challenge brought about by auditing on traditional methods for bigger companies with millions
of transactions a year, is that the management of that company being audited may question the
validity of the audit opinions reached by the auditors.

2.6 HOW AUDIT PROCEDURES CHANGED SINCE THE INTRODUCTION AND USE
OF INFORMATION TECHNOLOGY

Generally, the implementation of information technology influenced transaction processing,

storage of data, effective communication of the information and also the monitoring internal
controls for an organisation (Marx, 2004).Auditing with Artificial intelligence(AI) affects four
basic stages, which are, the whole audit process, risk assessment procedures ( risk identification
using the given data), meeting deadline (identifying patterns that were previously not seen) as
well as the continuous monitoring on the effectiveness of systems and controls (Holland. P. et al,
2018). The auditor’s main goal is to assess the overall risk brought with audit of a particular
client which is then implemented in developing an audit plan to adopt as well as effectively
budgeting the time and amount of work needed in that engagement. Manual risk assessment
procedures have a high probability of not effectively working because there is a high chance of
errors and omissions. Information technology has assisted to reduce this.
Since the adoption of information technology, audit planning has intensified and is accurate since
this stage is the foundation of the whole audit. Also, the approach of the audit has to modify as

22
the auditors have to engage other experts to test the client’s systems and programs as well as
internal controls to decide whether to place reliance on it or not. A test of controls has to be done
to find out whether the controls are properly made and are effectively put in place.

The impact of computerized systems on the audit process

Audit planning and test of controls

Perform design and implementation test

on the client’s controls

Are the internal controls effective?

Yes- Rely on controls No- Do not rely on controls

Lower risk and perform fewer Higher risk and perform more
substantive procedures substantive procedures

Figure 2: A framework in respect of the audit approach in a computerized environment

Source: Marx B, Van Der Watt A, Bourne P, Hamel A. (2004) Dynamic Auditing, 7th Edition
Lexis Nexus. Butterworths

2.7 ANALYSIS OF PREVIOUS STUDIES DONE VS THE CURRENT STUDY

Per analysis of previous literature and research studies conducted over the years around this area,
the writer noted that much attention has been done on the effects of information technology on
auditing in developed countries such as UK and the United States. This study, however, will
focus on the levels of adaptability in developing countries looking at Zimbabwe particularly.
Previous literature in place has put forward the empirical implications of information technology
to organizations instead of the holistic organizational perspective (Bierstaker, Burnaby, &
Thibodeau, 2001) and these limitations will be solved in this research as well.

23
The present literature also showed that these researches done before are dated. Many attempts
have been done to solve this problem in the past, however since the technological environment is
constantly dynamic, new methods and remedies for adaption must continuously be drawn and
thus the need for an analysis in the current period which is up to date.

2.8 CONCLUSION

This chapter explained an analysis of historic literature present for this topic under study. It put
emphasizes on the adoption of information technology and audit process including impact the IT
has put to the whole audit process. Computer Assisted Audit Technics tools makes auditors to
enhance audit ground, enables managing as well as planning procedures to be used in audit and
increase quality. As time goes on, it is predicted that the knowledge system basing on AI
concepts will increase the audit process even more.

CHAPTER 3: RESEARCH METHODOLOGY

INTRODUCTION

Research methodology is defined as all the stages that are used by researchers in securing useful
information to solve the problem under investigation. Shajahann, (2005) gives the definition of
methodology as the analysis and rationale of making use of a certain method for a study.
Research methodology mainly focuses on the different techniques put in to effect by a researcher
in bringing up possible measures for a problem under study, the reasons behind the methods
chose as well as justifications for each of the selected methods. The credibility as well as the
reliability of research findings mainly depend on the appropriateness of the data gathering
techniques and data analysis technics used in the study. Under this section, the writer is going to
outline all the methods to be used in this study and this has been divided into the research
instruments, research philosophy, and sources of data, research approaches, and data collection
procedures inclusive of the targeted population.

24
3.1 RESEARCH DESIGN

This is as a detailed report giving details of the step by step procedure to be taken during the
research process to make sure that the evidence gathered allows me to give an answer to the
initial research question as explicitly as probable. Saunders, M., Lewis, P. & Thornhill, A.
(2009), put forward that research design is a skeletal plan of action designed and put forward to
make a general study as a scope of action that has been assumed to be in existence. However,
this, therefore, means that research design is a plan for the conducted research that controls and
directs the collection of data that is valid and reliable including the presentation and analysis of
such data. This encompasses processes from sample design, observation and interpretation and
analysis of results based on the sample taken, bringing out reasonable results that can be verified.
This research is going to be the combination of different research methodologies so as to make
research results valid.

The research design will be broken down into research philosophy, research approach and
research method.

3.1.1 Research philosophy

Saunders et al (2009) it is a system and a pool of beliefs and assumptions taken in research about
the advancement of knowledge. Research philosophy solves the belief connecting to the manner
in which data of a certain research subject in place can be gathered, analysed and eventually
interpreted by a researcher. This part is generally based on two major beliefs, that is, what is
assumed to be true by many different parties called epistemology as well as what is true. There
are many research philosophies that includes pragmatism, positivism that is scientific approach,
realism and interpretivism.

The research is going to be much based on the positivism philosophy as it assumes that objective
facts provide the best scientific evidence and the subsequent research findings are probably to be
considered objective and can be extrapolated. The philosophy mainly emphasises on the
observable social reality, the research is also done in a value-free way. The research proposal
also asserts that the chosen elements in the targeted population for the purposes of the research

25
are supposed be treated distinctively and that all pertinent observations can be systematically
repeated as per requirement.

Data collection methods adopted in this research proposal are mostly structured, objective,
inclusive of relatively huge samples of data and are usually quantitative in nature.

3.1.2 Research approach

Two distinct research methods can be taken by a researcher on this research study, that is to say,
the deductive as well as the inductive approach. The deductive approach, entails a researcher
forms a theory and the hypothesis including design a master plan to examine the already made
hypothesis (Saunders et al, 2009).

The dissertation is going be based on the deductive proposal also known as the testing theory.
Ketokivi and Mantere (2010), put forward that deductive reasoning happens when research
conclusions are taken logically from a pool of premises, being right when all the premises are
right as well as subjected to conscientious tests. The main attribute of the deductive point of
view is that the framework should be able to be examined quantitatively.

Successive stages for the deductive approach, Saunders et al, 2000

1. Forming a hypothesis, meaning to say, an assertion that is examinable on the relationship

between two or more variables
2. Expressing the formed hypothesis in operational terms
3. Examination of the hypothesis
4. Testing of the specific result of the inquiry, that is, to either confirm the initial theory or
show any need for change.
5. Change the theory based on findings collected from the data collection methods used.

Reasons for using the deductive approach by the researcher

 This method is very short and it will thus help in saving time since the researcher is going
to be taking into consideration all existing theories from other previous researchers in the
related subject.

26
Moreover, this method requires researchers to have a strong mathematical background otherwise
it becomes hard to understand the information.

3.1.3 Research method

The method that will be used in this research is going to be quantitative approach. This means
data obtaining method such as a questionnaire as well as data analysis procedure which includes
as graphs.

3.2 POPULATION AND SAMPLING

3.2.1 Target population

Best & Khan (1993) gives a definition of a population in research as any group of people that do
have one or more traits in common and those traits are of interest to the researcher. The
population of this survey in particular was mainly collected from any two firms from the “big
four” audit firms and other two smaller and growing audit firms doing business in Zimbabwe to
discover their ability to cope with the developments and advances in technology and how their
audit processes have transformed as a result of Computer Assisted Audits Technics. These
selected firms are Deloitte, PWC, GrandThorton and Baker Tilly

3.2.2 Sampling

Sampling is a technique of taking a representative part of a population target to establish the

boundaries or attributes of the entire population. Sampling has been considered as it saves cost
and data can be selected and an analysis be quickly made. A sample is a small part of the
population which stands for the entire population.

3.2.2.1 Sample size

The sample size will consist of 40 respondents from the various audit firms with a target
averaging of 10 respondents per firm. These will include of at least 2 individuals from

27
management as well the rest are audit assistants on the field, who are involved actively with the
clients on daily basis. Per the audit hierarchy for most firms, the managers are mainly focused
with reviewing the work performed by audit assistants. The quantitative approach adopted
mainly emphasises on the sampling methods which are not based on theories of probabilities,
which is known as non-probability sampling, inclusive of, quota sampling, convenience
sampling and judgmental sampling.

The sample taken will be based on convenience as well as researcher’s judgment and its
structure will be as follows:

Population group Sample size Sampling Technic Research Tool

Audit Managers from the 8 Snowballing Sampling Telephone Interviews/

chosen firms Questionnaires

Audit Clerks from 32 Convenience Sampling Questionnaires/

representative firms Telephone Interviews
(Seniors and assistants)

Table 1: Sample size

Reasons of Sample size

The sample for the data selection under this study has been shared equally across all the chosen
audit firms so as to mitigate possible bias by ensuring that there is equal and enough
representation from the target population. The respondents from different firms will be selected
based on referrals (snowballing sampling) and application of researcher judgement from the
available audit managers and assistant auditors.

The sample size chosen should be huge enough to represent the entire population correctly. Since
100% of the population is not tested, there is always room for sampling error that is, the results
will not be as correct as the researcher intended. To try to avoid this problem, a huge sample has
to be made to reduce the risk of sampling error.

28
Based on before enquiry on the general average number of professionals per each audit firm, the
sample selected of a total of 40 respondents has been taken to be adequate. It is opposing this
background that the sample size has been taken adequately representing the entire population of
audit firms.

3.2.2.2 Sampling method

The research approach will be taken on non-probability sampling methods. These systems
involves the researcher selecting samples based on personal judgment of the researcher as
compared to the actual random sampling methods. This method leaves the elements under study
not having an equal probability of being chosen. To get mostly relevant information, a
snowballing strategy and the convenience sampling had been implemented, meaning that data is
taken by way of referrals to those individuals that are thought to have greater knowledge
concerning the topic under study in the organization.

Convenience sampling

This is defined as a method in which the researcher will select those respondents that are easily
and quickly accessible when the research is carried out and it is mainly implemented when there
is a little difference in the population.

Advantages

 It consumes less time as data is readily available through convenient selections made
 It is cost saving since data is taken within the reach of the researcher.

Disadvantages

 There might be a possible bias in data collection as respondents are not selected at
random but rather upon the choice of the researcher.
 There might be a possibility of sampling error since the population is already biased.

29
Snowballing sampling

It is a method in which the researcher chooses a small pool of initial respondents from their
social networks to provide responses on a given research problem. The pool of respondents will
then refer the researcher to other participants who are assumed eligible and could give positively
to the study.

Advantages

 The researcher might get the information they exactly need as best candidates are
selected

Disadvantages

 The sample might not be a true representation of the population.

3.3 SOURCES OF DATA

The research is both primary and secondary data based but mainly primary sources of data for
data collection purposes. Primary data is obtained directly from the source for example through
observations, interview and questionnaires. Primary data is obtained for the first time and is
specifically for the research problem under study.

Secondary data, however, refers to data that is collected through the evaluation and
dissemination of already available literature that has been brought by past researchers on the
research problem understudy, such as, textbooks, internet and journals. This data is mainly be
utilized to identify any research gap or analysis performed by other researchers so as to provide
with a new and up to date analysis of the research problem.

Merits of primary sources of data

 The data collected resolves specific research matters of the researcher, that is, it is
relevant and fits the needs of the researcher.

30
  Data collected is more accurate, relevant and valid to the researcher

Demerits

 It is very expensive and takes a lot of time

Merits of secondary sources

 It is e not time-consuming and also effective since data is readily available

 It is easily accessible and cheap since there are no costs associated with primary data
such as transport

Demerits

 Data available may be outdated as well as not be relevant to the topic under study at that
particular time.

3.4 DATA COLLECTION TECHNICS

3.4.1 Interviews

These are face to face verbal exchanges where one person called the interviewer tries to gather
information from and have an understanding of the other person called the interviewee, Rowley
(2012). These can also be done through the telephone in which two people talk without face to
face interactions to probe questions and gather the required information. The researcher is going
mainly use telephone interviews in the research because of the difficulty in collecting a face to
face interview process, owing to the near setbacks by some of the interviewees as well as the
present COVID 19 pandemic.

Advantages of interviews

 The research can get feedback promptly

 Any misunderstanding that arise can be corrected quickly

Disadvantages

31
  Bias might be present as the interviewer can affect the outcome of the interview

3.4.2 Questionnaires

(Kothari, C. R, 2004), defined questionnaires as a written list of well-structured questions

focused at collecting people’s perceptions about a research topic understudy. A questionnaire is
also defined as a document that have a series of open and closed-ended set questions where the
respondent is asked to provide answers. It is used when one needs to gather information from
many people concurrently and they are also used to collect both qualitative and quantitative
information.

Questionnaires can be structured or unstructured and the researcher will implements the
structured method that is closed questions, as the research is implementing a quantitative
approach. The structured questions are going to include closed questions in which the
respondents are given constant responses from which to select from. The respondents can show
the most relevant answer by marking the relevant box.

Advantages of questionnaires

 They lower bias as there might be uniformity in way questions are presented.
 The researcher’s opinion of his own won’t affect those who respond to give response to
questions in a manner that presents bias, that is, no verbal clues to affect the respondent’s
decisions to answers

Disadvantages

 It has no or it has low flexibility in terms of responses

 It makes it difficult to deduce some forms of information that is body language and
emotions

3.5 DATA PRESENTATION AND ANALYSIS TECHNIQUES

The importance of this section is to give and analysis as well as to conclude the methods that will
be implemented in this research to organize and analyse the results from the research. Data is

32
going to be mainly captured by manual means through taking note of responses from chosen
participants and quantitative technics of data collection will be implemented. To provide for
simple interpretation and simple identification of variables, research results are going to be
shown via graphs, pie charts and tables. Graphs and charts are going to be implemented in the
analysing the results so as to find important variables, their importance and also providing for
easy interpretation.

3.5.1 Tables

Most of the quantitative data will be gathered and shown in tabular forms. These tables will
allow a simple reference to data and will make it collected and also easy to understand. Tables
will be used because they have the ability to classify different forms data.

3.5.2 Graphs

Graphs are pie charts as well as bar graphs. Their resolution is dependent on their visibility as
well as their ability to depict trends in a variable in a more clear way. They also provide a visual
analysis and presentation of information thus making it simple to follow through the flow of the
data from the various audit firms.

3.5.3 Other Statistical Tools

Data collected will also be analysed through percentages .This gives proportion a category have
occupied in the population sample.

3.6.0 CHAPTER SUMMARY

The whole chapter included the research design, population as well as the composition of the
sample, sources of data and presentation of data including the analysis of methods as well as the
reason behind the research tools that the researcher will implement. All sources of data were
highlighted that is primary and secondary, inclusive of the m merits and setbacks of interviews
and questionnaires and their appropriateness to this research.

33
The research technics selected by the researcher are believed to be able to provide adequate
information to solve research problem adequately.

The next chapter will take a closer look at the analysis as well as the interpretation of research
findings.

CHAPTER FOUR: DATA ANALYSIS AND PRESENATION

INTRODUCTION

The role of this chapter is to present and analyse the research results collected on the basis of the
research technique outlined in the preceding chapter. The findings documented in this chapter
have been collected from telephone interviews and questionnaire responses, these were matched

34
to different secondary sources gathered as outlined in chapter 2. Statistical outlines have been
effected in this chapter, including tables making, drawing pie charts, as well as bar charts as a
way of demonstrating the changes brought about by the adoption and implementation of
information technology on the audit and accounting profession. In cases however, where data
could not be analysed and presented using statistical technics, content analysis was made use of
instead.

RESEARCH HYPOTHESIS RECAP

Null hypothesis:

Information technology affect the audit process positively and has a very important impact on the
audit processes in Zimbabwe.

Alternative hypothesis:

Information technology affect the audit process negatively and has no vital impact on the audit
processes in Zimbabwe.

OVERVIEW OF THE RESULTS

The main primary respondents for this research were audit seniors and audit assistants from two
selected firms from the ‘Big 4’ that is (PWC and Deloitte) and the other two smaller firms
conducting professional audits in Zimbabwe. The other secondary respondents were managers
from these audit firms who have a plenty knowledge and experience in the auditing profession.
Audit Managers have witnessed the transformations introduced to the profession by the advent
of Information Technology.

The Covid-19 pandemic has led to a series national lockdown and temporary shutdown of most
economic activities inclusive of companies, very little physical questionnaires were sent out.
The researcher had to base mainly on social media as well as online platforms such as WhatsApp
and emails. The researcher also had to implement telephone interviews in the data collection
process. The respondents were mainly selected therefore as a result of referrals from other
professionals. Of the 40 questionnaires completed and sent as well as telephone interviews done
to chosen audit firms in Zimbabwe, 30 questionnaires were filled and returned. This means that

35
the response rate was 75% and audit managers whom the researcher the researcher thought
would present a challenge responded very well to interview questions thus their responses have
been put as enough and adequate for analysing data and giving an interpretation to the finding
obtained.

Percentage questi onnaire response rate

25%

75%

Responses Non responses

Figure Three: Percentage response rate

Response rate per fi rm

4 4

3.75
3 3 3 3
3.25
2.75
2 2 2 2
2.25
1.75
1 1
1.25
0.75
0.25
Deloitte Ernst & Young Baker Tilly AMG Global
Audit Managers 2 1 2 1
Audit seniors 4 4 3 3
Audit assistants 3 2 3 2

Audit Managers Audit seniors Audit assistants

Figure FOUR: An analysis of response rate per audit firm

36
Composition of respondents

Of the 30 completed questionnaires sent and received including telephone interviews done, audit
managers has the proportion of 20%, audit seniors has 40% and last audit assistants (juniors)
40%.

Post of respondent Number contacted Number of Average years of

respondents experience

Audit managers 8 6 5

Audit seniors 19 14 3.5

Audit assistants 13 10 1.3

Total 40 30

Table Two: Composition of respondents

Response rate

20
18
16
14
12
10
8
6
4
2
0
Audit managers Audit seniors Audit assistants

Total number Number of respondents Average experience(years)

Figure Five: Response rate per audit level

37
ANALYSIS OF THE RESULTS

4.1 ANALYSIS OF QUESTIONNAIRE RESPONSES FROM AUDIT CLERKS

(SENIORS AND JUNIORS)

This subsection mainly focusses on the analysis of all the responses obtained from questionnaires
sent to various audit clerks (both senior and junior auditors). Mostly these are the people that
interacts with the clients a day to day basis and they are actively hands on in the audit. An
analysis has been done for all the major questions on the questionnaire and discovered that most
of the questions were mostly close ended in which respondents had to choose the most relevant
answer from the given responses.

4.1.1 Computerized auditing is gradually replacing traditional manual auditing

techniques?

This question was meant for the auditors from all levels of seniority as a way get an
understanding on whether audit professionals have the knowledge that the technology era is
slowly gaining control over the way firms conduct their audits and thus slowly eradicating
manual techniques.

Response Number of responses Percentage

Strongly agree 11 36.66%

Agree 14 46.66%

Disagree 2 6.67%

Strongly disagree 0 0%

Not sure 3 10%

Total 30 100%

Table three: Computerised auditing substituting traditional techniques

38
Analysis

More than 83 % of all respondents from the different accounting firms hold on to the belief that
the rate at which technology is moving will lead to extinction in the traditional audit technics.
They believed that technological devices such as computers enhances quality of the overall audit
even though most of them are not utilizing these devices to full capacity as yet. The reasons
being many companies are going ‘paperless’, via the use of computer software in their business
operations and as such it won’t be possible to audit computerized client information through the
use manual audit procedures. However, around 6.67% of them were adamant against the view
that the use of technological devises will eventually replace the traditional (manual) auditing
techniques and about 10% of the auditors who responded were not sure. This moved in-line with
the expectation based on the secondary literature review conducted previously in chapter two.

4.1.2 Computerized auditing improves the efficiency, effectiveness and quality of an

audit?

The question was also put in place for all audit professionals as a way of obtaining an
understanding on whether adoption of technological devises such as computers has enhanced the
efficiency and quality of audit opinions.

Response Number of respondents Percentage

Strongly agree 27 90%

Agree 3 10%

Disagree 0 0%

Strongly disagree 0 0%

Not sure 0 0%

Total 30 100%

39
Table Four: Computerised auditing compared to Increase in audit efficiency and audit
quality.

Analysis

All respondents confirmed that the implementation of IT in audit adds value and quality to client
engagements. This is done through software that enhances the overall quality of the audit, as well
as audit opinions given, as a result of more effective and efficient audit procedures conducted. It
also shows that the merits obtained from Information Technology outweigh cost as a result of
Information Technology. None of the respondents was noted to put forward otherwise as they
hold on to the view that manual audit procedures are outdated due to the present technology era.
Computerized audit processes will allow auditors to increase their scope of testing which will
eventually leads to more meaningful and quality audit opinions.

4.1.3 The function of manual auditing methods no longer provide reasonable assurance on
fair presentation of financial statements?

Figure Six below demonstrates the findings of the responses from different respondents on
whether manual auditing puts reasonable assurance on the fair presentation of client financial
statements. The role of this question was to collect evidence on whether the audit goal has
transformed since the adoption of information technology.

40
 Traditi onal methods vs Audit assurance

60%
50%
40%
30%
20%
10%
0%
Agree
Di s a g ree
S trong l y
di s a g ree N ot s ure

Figure Six: Manual audit techniques compared to audit opinion

Analysis

About 56% of the respondents consented that in the present technology era manual audit
techniques no longer give a more accurate and quality audit opinion or reasonable assurance
whether the financial statements present a true and fair view. This is due to the idea that many
companies (clients) are now moving towards digitalization of their operations. 8 % of the target
population disagreed and 1% strongly disagreed on that idea as they believed that the traditional
audit techniques can still provide accurate audit assurance even if most companies (clients) are
moving towards computerizing their activities. Lastly, 35% of the respondents were indifferent
on whether manual methods could still lead to accurate and quality opinions or not.

4.1.4 The implementation of computers in auditing enhances the IT proficiency of

auditors?

The responses collected from the question above have been summarized in table 5 below:

Response Number of respondents Percentage

Strongly agree 15 50%

Agree 12 40%

41
 Disagree 0 0%

Strongly disagree 0 0%

Not sure 3 10%

Total 30 100%

Table Five: Adoption of computers and IT proficiency of auditors

Analysis

A very significant number of the respondents (90% of the target population) were of the view
that the adoption of information technology is going to unavoidably enhance the auditor’s IT
proficiency. However, 10% were not whether computers can really add IT proficiency abilities
of the auditors. The Information Technology proficiency is brought through the consistent
implementation of IT devises and other various software in performing the audits, and the
regular formal and informal training as far as the implementation and little navigation of the
systems is concerned. Subsequently, the continuous adoption of computers as well as computer
aided audit methods will provide auditors who are technologically advanced.

42
4.1.5 The implementation of IT transformed the purpose of an audit of financial
statement?

Information technology vs Audit objective

Not sureAgree
7% 3%

Disagree
90%

Strongly agree Agree Disagree Not sure

Figure Seven: Use of computers compared to audit objective

Analysis

About 89% of the auditors who responded go against the notion that the introduction of IT has
transformed the whole purpose of auditing financial statements, 10% of those who responded
were not sure and 1% of the respondents agreed with the notion. ISA 200, the reason for an
auditing is to provide their view on a client’s financial statements as to whether they present a
true and fair view regarding status of the company’s business affairs.

The findings therefore show that Information Technology is just taken as an instrument merely
used in the audit process but the overall purpose of an audit that is to give a reasonable assurance
on whether the financial statements of a client show a true and fair view, is unchanged.

4.1.6 Do you implement any audit software in your audits?

This question was done for the purpose of comprehending if firms are making use any software
in their audits. The responses the question have been shown in table six below:

43
 Response Number of respondents Percentage

Yes 30 100%

No 0 0%

Total 30 100%

Table Six: Number of auditors using Computer Assisted Audit Technics

Analysis

All respondents confirmed the use and implementation of audit software in the audit of clients’
financial statements. This indicates that the ‘big four’ accounting firms have adopted the use of
different audit software in their daily audits. The audit software implemented by these firms are
mainly purpose written and is unique to each firm. The feedback also outlined that most audit
firms use these software from planning of audit down to the audit finalization and reporting of
audit of results. This therefore mean to say most firms have adopted the implementation of
Computer Assisted Audit Technics in their audit processes.

4.1.7 Do you have any form of training to utilize the software?

The writer wanted to find out if auditors were receiving training before using various audit
software. Below are the results for this question.

44
 Training for the implementati on of audit
soft ware
3%

97%

Yes No

Figure Eight: Training for the use of audit software

Analysis

From the firms who are utilizing audit software for their daily audits, many auditors about 97%
confirmed to have gone through both formal as well as formal training on how to use of their
audit software but a few of these 3% claimed to have not received formal training as yet.
Moreover, most of these auditors put forward that any form of training was really needed if the
merits brought through the use of these software are to be seen. Formal training can be done with
the setting up of training seminars for employees to be taught on how to utilize the specified
audit software effectively.

4.1.8 Do you have any setbacks with your computer machine and do these experience
negatively affect the completion of the audit?

The purpose of this question was to get an understanding if the auditors were facing any
drawbacks in using the audit software and if these setbacks delay the finishing of the audits.

Analysis

45
Almost all of the auditors who responded consented that they experience technical issues that
may slightly lead to a delay in the finishing of the audit as these problems might result in the loss
of work done.

This is as a result of many problems that are brought about with auditing through the computer,
such as, system crushes, updates as well as repairs of computer hardware and sometimes
incompatibilities of the audit software to the computer being used. These problems have the
results of sometimes making the audit take a long time than normal causing information loss and
sometimes loss of efficient productive time waiting for the computer to be repaired and
sometimes systems updates.

4.1.9 Are firms justified to invest in IT?

Percentage of firms' investment in IT

20%

80%

Yes No

Figure nine: Percentages of firms’ IT investments

Analysis of results

About 80% of those who responded put forward that firm’s IT investment is justified since the
anticipated the merits gained from the adoption and use of computerized auditing are more than
the costs involved. However 20 % of the audit respondents were of the view that firms could still
use other potential avenues of the expanding information technology. Most firms are not willing
to go through the latter route as they argue it is an expensive exercise and there is a possibility of
not recovering wholly all costs associated.

46
4.2 ANALYSIS OF RESULTS FROM TELEPHONE INTERVIEWS WITH AUDIT
MANAGERS

Introduction

Responses were collected from managers of audit as these are the people who have been with the
different firms for long periods, with vast experience dealing with the majority of clients around
Zimbabwe. Because of the very busy schedules of managers, the researcher opted to making use
telephone interviews rather than questionnaires. The researcher was able to get in touch 6
managers from the different audit firms.

4.2.1 How long have you been making use of computers in the performance of the audit
work?

The responses obtained for this probing question explicitly showed that almost all the audit firms
have been making use of computers in their audit processes for over 5 to 6 years. This means
100% response rate for this question in particular. The results collected can be interpreted and
analyzed to reveal that auditors have introduced to the utilization of computer software in their
daily to day audit processes,

4.2.2 Does the utilization of IT in auditing provide tangible benefits to clients?

All of the audit managers said ‘Yes” to this question as they were of the view that the use of
Computer Assisted Audits Techniques would provide more accurate and quality audit opinions.
They put forward that the introduction and adoption into the IT era has resulted in improved
audit procedures and processes through enhanced testing scope and the accuracy of the results.

47
4.2.3 In your own opinion does the adoption IT in auditing makes you to have a competitive
advantage over your competitors (other accounting firms in the industry)?

This question was meant to find out if audit managers are of the view that the use of information
technology (Computer Assisted Audit Techniques) provide them with a competitive advantage
over other rival audit firms in Zimbabwe.

The results were as follows:

Use of IT and competitive advantage

10% Yes
No

90%

Figure ten: Does the utilisation of Information Technology offer competitive advantage

Analysis of the results

90% of the audit managers strongly affirmed that the introduction and adoption of IT in their
audit processes has enhanced competitive advantage to their firms. They put forward an
argument that Information Technology allows them to enhance their audit approaches and scope
of testing while implementing more effective instruments thereby offering their clients with
more reliable audit and quality opinions. However, 10% of the audit respondents argued
otherwise because they felt that the audit purpose/goal and audit manual remains constant. They
also suggested that good client relations can increase client loyalty hence there is no important
relationship between IT and advantage over competition of other audit firms.

48
4.2. 4 in your own view, are you fully utilizing potential of the IT at your disposal?

The question was meant with the purpose of discovering if companies are fully using the IT they
have at their disposal.

Responses Quantity of respondents Percentage Rate

Yes 5 83%

No 1 17%

Total 6 100%

Table Seven: Are firms making use of the information systems at their disposal fully?

Analysis of the results

83% of the managers confirmed

that they were using all their possible computer functions that they have but the other 17% were
of the view that there is still space to improve Computer Assisted Audit Techniques utilization
by means prolonged continuous training as well as sourcing advanced and improved audit
software. The latter suggested that firms are adapting and introduced to the function of these
gradually to curb very huge costs in one particular period as well being able to provide enough
training its employees.

COMMENT ON RESEARCH ASSUMPTION/HYPOTHESIS

Basing on the research results collected from the primary data gathering performed by the
researcher, it is easily concluded that IT has come up with a very vital impact on the audit
processes in Zimbabwe and has added towards positive transformation via the enhancements in
the audit approach used by firms as well as procedures thus increasing the quality and accuracy
of audit opinions issued out on the financial statements.

49
4.3 CONCLUSION

The proceeding chapter emphasized mainly on the data analysation and presentation of all
research findings. In here, raw data had been processed and disseminated to make meaningful
information, which was then analyzed as well as giving an interpretation. It was find out that
computers and other IT devices are very important doing of auditing process. As per the above
results, it is suggested the above data is sufficient to do more informed and meaningful
conclusions and recommendations. Basing on the results of the above chapter, results,
conclusions as well as recommendations are outlined in the following chapter. Chapter 5 is going
to therefore in short detail the study, state the important results of the research and provide
recommendations.

50
CHAPTER FIVE: CONCLUSIONS AND RECOMMENDATIONS

INTRODUCTION

The chapter above that is chapter 4 focussed mainly on presenting and analysing of data
collection findings. The research was done with the intention of investigating the effects of IT on
the auditing profession and also discovering how accounting firms are copying with dynamic
changes in IT on the world market. It meant to discover all the merits and demerits of
Information Technology on auditors as well as how auditors are solving the setbacks that are
coming up as a result of Information Technology. This chapter is going to focus on the major
finding discovered during the duration of the project, recommendations and the conclusions
drawn.

5.1 SUMMARY OF SIGNIFICANT FINDINGS

 It was discovered that majority audit firms regardless of their size have introduced the use
of information technology in their audit processes and continually using the computers
from the planning of the audit through to audit finalisation. The researcher discovered
that not all of the audit firms in Zimbabwe are using the specialised custom audit
software because some of the firms are still making use of the basic computer functions.

 The function of different computer software has enhanced the process of auditing over
the years by the way of providing of standard templates, better and improved technics of
following up with audit assignments performed as well as reviewing of working papers
completed even when the person to perform the reviews is not physical available. The
significant challenges encountered by auditors with regards to the introduction of
computers in their audit operation are mostly the cost of obtaining the requisite software

51
 and also the continuous repairing and maintenance of these machines given the economic
chaos in the country. It was also noted that the advantages of the introduction of
Information Technology will gradually outweigh the cost brought with using Information
Technology.

 It was also concluded that there are many problems that are brought about with the
utilization of computers and other electronic devises in the audit process in Zimbabwe
and this at times led to a slight drawback in the accomplishment of the audit as a whole
since these problems may sometimes result in the loss of audit work performed leading to
time wasted in re-performing the working papers.

 It was also pointed that the application of computers will not do any changes in the
objective of an auditor. The duties and responsibility of auditors has remained the
constant, that is, to collect audit evidence so that they express an audit opinion on
whether the financial statements of a client are presented according to the requirements of
the regulatory bodies as well as presenting a true and fair view.

5.2 RECOMMENDATIONS

The below recommendations have been done using the information obtained during the duration
of this project:

 Audit firms must consistently invest in updating their staff’s knowledge with regards
to proper and effective use of computers and audit software. This involves organising
training on new or approved application functions and this can done on-job or off-the-
job training.

 The firms are supposed ensure continuous investment in computer hardware to

minimise hardware challenges such as breakdown or system crashes. This will make

52
 them able to deliver work within audit deadlines and hence maintain good client
relations.

5.3 AREAS TO STUDY FURTHER IN THE FUTURE

The researcher believes that further studies in the future must be made on reducing the problems
brought up by using IT in the profession. Auditors will be able to be able avoid the risks brought
up with the using computers and enhance efficiency and quality in doing their audits.

Because of the highly changes in Information Technology, further studies should consistently be
done as current results may be out phased swiftly. This will give more advises that are up to date.

5.4 CONCLUSION

This research had been emphasised in discovering the effects of the use of computers in the audit
process in a developing country particularly Zimbabwe. Chapter 2 which talks about literature
review, from secondary sources showed how computers can be effectively implemented to
enhance the audit process. The adoption and gradual use of computers in the process of auditing
has resulted in more accurate tests to affirm financial statement balances also leading to more
accurate audit opinion.

From the outcomes of the work done above and research results obtained, it can safely outlined
that the use of computers has come with positive effects to auditing process including the audit
profession as a whole.

53
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Bierstake, J. L., Burnaby. P., Thibodeau, J. (2001). Managerial Auditing Journal. The impact of
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Bowling, S. (2019). How we successfully implemented AI in audit. Journal of Accountancy.

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Cascio, W. F & Montealegre, R, (2016). How Technology Is Changing Work and Organizations.
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APPENDIX I: RESEARCH QUESTIONNAIRE

Dear Respondent

My name is Tafadzwa Gumbo, l am in my final year at the University of Zimbabwe studying

towards a Bachelor’s in Accounting Honors degree. Kindly answer this questionnaire that is
meant to collect data for my dissertation. Kindly note that data thus received is going to be
used for academic use only will be used.

Guidelines.

1. Please tick the relevant answer in the spaces provided below.

2. Kindly provide brief explanations where necessary.
3. If you think that more than one of the suggested answers is correct, please tick them both.

N.B. Responses will be regarded as confidential information and used specifically for the
purpose of the intended research study. The topic under consideration is called “An
evaluation of the impact of information technology (CAATs) on the audit processes in a
developing country particularly Zimbabwe”.

57
SECTION 1 – DEMOGRAPHIC DETAILS

1. Name of Institution…..…………………………………………

2. Position within the company….……………………………………

Please make use of a tick in the spaces provided [ ]

1. Kindly show your age against the following groups below

Below 18 [ ] 19 – 29 [ ]

30 – 39 [ ] 40 – 49 [ ]

50 – 59 [ ] Above 59 [ ]

2. How long have you been with the organisation?

Less than a year [ ] 1- 4years [ ]

5- 9 years [ ] 10 -14 years [ ]

Above 14years [ ]

SECTION 2 (Tick the box that suits your answer)

1. Computerised auditing will gradually replace traditional manual auditing techniques?.

Strongly agree Agree Not sure Disagree Strongly disagree

58
 2. The use of manual auditing methods no longer gives reasonable assurance on fair
presentation of financial statements

Strongly agree Agree Not sure Disagree Strongly disagree

3. Computerised auditing improves the efficiency, effectiveness and quality of an audit.

Strongly agree Agree Not sure Disagree Strongly disagree

4. The implementation of computers in auditing enhances the IT proficiency of auditors.

Strongly agree Agree Not sure Disagree Strongly disagree

5. The introduction of IT has transformed the purpose of an audit of financial statement

Strongly agree Not sure Disagree Strongly disagree

6. Formal training in the utilization of audit software is unavoidably necessary for auditors.

Strongly agree Not sure Disagree Strongly disagree

SECTION 3

7. Do implement audit software during your audits?

YES NO

8. If the answer to the proceeding is YES, what category of software are you utilising?

59
 Generalized Audit Software Purpose written software

9. Do you use computers or manual methods from planning down to the conclusion of the
audit?

Computerized Manual Both Not sure

10. Have you been provided with formal or informal training on the use of the audit
software?

Formal Informal Both None

11. Have you made use any Computer Assisted Audit Techniques during the auditing
process?

YES NO

12. Does the problems that you encounter using your computer delay the conclusion of the
audit?

YES NO

13. Do you think that you are fully utilising the potential of the IT at your disposal?

YES NO

14. Is the firm justified to invest in IT?

YES NO

15. What are the benefits of incorporating Computer Assisted Audit Technics in auditing,

60
 To the
client……………………………………………………………………………………………
…………………………………………………………………………………………………
…………………………………………………………………………………………………

To the
Firm……………………………………………………………………………………………
…………………………………………………………………………………………………..

Please provide other comments (if any)

……………………………………………………………………………………………………
………………………………………………………………………….

Thank you!!

APPENDIX II: INTERVIEW QUESTIONS

1. How long have you been making use computers in conducting of the audit work?

2. Does the adoption and use of information technology in auditing provide tangible
benefits to clients, give your own opinion?

3. Do you think that the adoption and use of IT in auditing provides you with a
competitive advantage over other accounting firms?

4. What are the challenges encountered by the firm in the utilisation of computerized
auditing?

5. What actions are being implemented by the firm to curb against the risk of the above
challenges?

61
6. Why might a firm be reluctant to utilise computers in the audit process?

7. What measures would you suggest to the hardware challenges that are encountered
during the audit process?

8. Do you think that you are fully utilising the potential of the IT at your disposal?

9. Do you feel that Computer Assisted Audit Techniques will gradually replace manual
traditional audit methods?

Thank you!!

62