Identifying and Ranking the Components and Indicators of Auditor Accountability Based on Corporate Governance

Subject Areas : Ethics and corporate governance

hamed achak ¹ , alireza Hirad ^{2 *} , عباسعلی حق پرست ³ , Reza Sotudeh ⁴

1 - 4. PhD student, accounting. Department, Zahedan branch, Islamic Azad University, Zahedan, Iran.
2 - 1. Assistant Professor, Department of Accounting, Khash Branch, Islamic Azad university, Khash, Iran.
3 - گروه حسابداری واحد زاهدان
4 - 3. Department of Financial and Accounting, Faculty of Humanities, Meybod University, Meybod, Iran.

Received: 2025-04-05 Accepted : 2025-07-23 Published : 2025-08-11

Keywords: Auditors, Accountability, Corporate Governance, Transparency, Professional Behavior.,

Abstract :

Purpose: Corporate governance, as a set of rules and procedures, plays a vital role in ensuring transparency, accountability, and effective management of companies. In the meantime, auditors, as independent observers, play a key role in evaluating and strengthening corporate governance. The present study was conducted with the aim of identifying and ranking the components and indicators of auditor accountability based on corporate governance.

Methods: The present study, in terms of its purpose, is exploratory research and was conducted in the period of 2024 using a mixed qualitative and quantitative research method. The statistical population of the study was auditors and university faculty members in the qualitative part, of which 20 experts were selected selectively and in the quantitative part, 384 people were selected according to the Morgan table.

Findings: In relation to identifying the components and indicators of auditor accountability based on corporate governance, 6 components were identified: accountability to shareholders, accountability to information transparency, accountability to stakeholders, accountability to the board of directors or executive directors, accountability to risk management processes, and ethical accountability and professional behavior, and 37 indicators. Also, the components and indicators of auditor accountability were approved.

Conclusion: Transparent accountability and effective reporting by auditors can help improve investor decision-making and improve corporate governance.

References:

1. اثنی عشری, حمیده, بیگ پناه, بهزاد. (1402). پاسخگویی عمومی مؤسسات حسابرسی: واکاوی دیدگاه حسابرسان. نشریه پژوهش های حسابداری مالی، 15 (3)، 29-52.
doi: 10.22108/far.2023.137394.1961
2. باباجانی، جعفر (1389)، مبانی نظری حسابداری و گزارشگری مالی شهرداری‌ها، مرکز مطالعات و برنامه‌ریزی شهر تهران.
3. بیگ پناه, بهزاد, اثنی عشری, حمیده, هشی, عباس, اسدی, غلامحسین. (1401). پاسخ‌گویی مؤسسه‌های حسابرسی: رویکرد تحلیل محتوا. بررسی‏‌های حسابداری و حسابرسی, 29(2), 213-241.
doi:10.22059/acctgrev.2021.329236.1008590
4. بیگ پناه, بهزاد؛ اثنی عشری, حمیده؛ هشی, عباس؛ اسدی, غلامحسین. (1404). تاثیر نظام حاکمیت موسسات حسابرسی بر کیفیت حسابرسی. دانش حسابداری و حسابرسی مدیریت، 14 (56)، 97-113.
5. حساس یگانه، یحیی (1388)، فلسفه حسابرسی، انتشارات علمی و فرهنگی، تهران.
6. زارع, ایمان؛ غلامی جمکرانی, رضا؛ مرادی, محمد؛ بابایی فرد, اسدالله؛ جهانگیرنیا, حسین. (1400). پاسخگویی در حسابداری از منظر اسلام با محوریت تئوری ساخت یابی،. نشریه علمی تحقیقات مالی اسلامی، 10(2)2، 831-855.
7. سازمان حسابرسی (1403)، استانداردهای مصوب حسابداری و حسابرسی.
8. شمسی، قباد؛ جمشیدی نوید، بابک؛ قنبری، مهرداد؛ محمدی یاریجانی، فروزان (1403). ارائه الگوی مطلوب گزارش حسابرسی و کیفیت حسابرسی بخش عمومی با در نظر گرفتن نقش میانجی کنترل‌های داخلی مبتنی بر ریسک. دانش حسابرسی.; ۲۴ (۹۵) :۳۸۴-۴۰۵.
URL: http://danesh.dmk.ir/article-۱-۳۲۸۱-fa.html
9. مهدی پور، مرصاد؛ مهرفر، ابوطالب؛ مصداقی، احسان. (1403). بررسی تاثیر حاکمیت شرکتی و تغییر موسسات حسابرسی بر کیفیت حسابرسی. نشریه علمی رویکردهای پژوهشی نوین مدیریت و حسابداری, 8(29), 396-408.‎
10. هریوندی, سهیل. (1403). ارزیابی اثر برقراری الزامات پاسخگویی و قوانین و مقررات به حسابرسان مستقل در مبارزه با فساد مالی. چشم انداز حسابداری و مدیریت, 7(91), 56-67.
11. یاری فرد, رسول؛ هاشمی, نگار. (1403). تأثیر گزارشگری مسئولیت اجتماعی بر ارزش شرکت با در نظر گرفتن نقش کیفیت حسابرسی، حاکمیت شرکتی و مدیریت سود در شرکت‌های پذیرفته شده در بورس اوراق بهادار تهران. چشم انداز حسابداری و مدیریت, 7(94), 1-27.

12. Alade, M.E., Owabumoye, M.O., Olowookere, J.K. (2020). Budgetary control mechanism and financial accountability in Ondo State Public Sector. Accounting and Taxation Review, 4(2), 134-147.
13. Adeyemi, F.K., Olarewaju, O.M. (2019). Internal Control System and Financial Accountability: An Investigation of Nigerian South-Western Public Sector, ACTA Universitis Danumius, 15(1), 134-150.
14. Broomhill, R. (2007). Corporate Social Responsibility: Key Issues and Debates, Duns tan. No.1
15. Buuren, J., Koch, C. (2010). Do Audit firms use the transparency report to signal audit quality? Economics of Innovation and new technology, 1-52.
16. Cheng, Y., Lopin, K., Feng. K. (2017). The Relationship between CSR Disclosure and Competitive Advantage, Sustainability Accounting, Management and Policy Journal, 8 (5), 547-570.
17. Dewi, N.F., Ferdous Azam, S.M., Yusoff, S.Kh. (2019). Factors influencing the information quality of local government financial statement and financial accountability, Management Science Letters, 9 (2019), 1373–1384.
18. Deumes, R., Schelleman, C., Bauwhede, H.V. and Vanstraelen, A. (2012), Audit firm governance: Do transparency reports reveal audit quality? Auditing: A Journal of Practice and Theory, 31 (4), 193-214.
19. Financial Reporting council. Discussion: Technological resources: using technology to enhance audit quality. 2020.
20. Fu, Y. (2015). Transparency reporing and partner remuneration in Australian audit firms. UNSW Australia University. https://doi.org/10.26190/unsworks/2815
21. Hategan, C.D. (2020). Auditing the Auditors- Oversight: Necessity or Comlulsoriness. Challenges and perspectives of financial audit. Dol: 10.20869/AUDITF/2020/157/002.
22. IOSCO (2009). Transparency of firms that audit public companies, Consultation Report.InternationalOrganizationofSecuritiesCommissions.https://www.iosco.org/library/pubdocs/pd f/ioscopd302.pdf
23. Lennox, C., Pittman, J. (2010). Auditing the auditors: Evidence on the recent reforms to the external monitoring of audit firms. Journal of Accounting and Economics, 49 (1-2), 84-103.
24. Lightstone, K., Driscoll, C. (2008). Disclosing elements of disclosure: A test of legitimacy theory and company ethics. Canadian Journal of administrative sciences. 25 (1), 7-21.
25. Madalina, G., Nadia, A., Catalin, A. (2011). The role of the accountancy professional bodies in developing social and environmental reporting. Economics, annals of faculty of economics, 622-652.
26. Pott, C., Mock, T., & Watrin, C. (2008). The effect of a transparency report on auditor independence: Practitioners' self- assessment. Review Management Sciences, 2(2), 111-112. 10.1007/s11846-008-1117y
27. Rosa, F., Caserio, C., & Bernini, F. (2018). Corporate governance of audit firms: Assessing the usefulness of transparency reports in Europe-Wide analysis. Corporate governance, 27(1), 14-32. https://doi.org/10.1111/corg.12235
28. Sommerfeldt, R.D., Zimbelman, A.F., zimbelman, M.F. (2019). The effect of audit culture on auditor honesty and skepticism. Working paper. 1-44.
29. Strauss, Anselm L. & Corbin, Juliet M. (1998),Basics of Qualitative Research: Techniques and Procedures for Developing Grounded Theory,Thousand Oaks, California: Sage.
30. Tuker, J.W. (2015). The relation between disclosure quality and reporting quality: A discussion of Cassell, Myers and Seidel (2015). Accounting, organizations and Society, 46: 39-43.
31. Zhao, Z., Meng, F., He, Y. & Gu, Z. (2019). The Influence of Corporate Social Responsibility on Competitive advantage with Multiple Mediations from Social Capital and Dynamic Capabilities, Sustainability, 11 (1).
32. Al-Hussaini, E. K., & Al-Tawil, M. K. (2018). The impact of corporate governance on financial performance: Evidence from Iraqi banks. International Journal of Economics and Financial Issues, 8 (1), 179-188.
33. Wang, Q., Fan, Y., & Lu, J. (2020). Audit quality and corporate governance: A review and research agenda. Journal of Accounting Literature, 40, 1-16.
34. Ball, R., Kothari, S. P., & Robin, A. (2009). Looking for leadership: The relation between board governance and firm performance. Journal of Applied Corporate Finance, 21 (1), 44-62.
35. Chen, C. H., Chen, S. Y., & Cheng, C. H. (2017). The impact of corporate transparency on firm performance: Evidence from Taiwan. International Journal of Commerce and Management, 27 (1), 101-118.
36. Freeman, R. E. (2010). Strategic management: A stakeholder approach. Cengage Learning.