CPA Australia today announced its support of an innovative web-based Cloud or ‘Software as a Service’ audit application designed to substantially improve the quality of auditing in Australia by utilising real-time compliance, irrespective of when changes occur to relevant legislation.
Auditflow is designed to help auditors satisfactorily adhere to the increasingly large volumes of compliance laws.
“CPA Australia is striving to raise the quality of audits and, simultaneously, improve the ease of completing audits for our members and the industry as a whole. The profession welcomes any tools which helps auditors to comply with rigorous auditing and assurance standards issued by Australian and international standard setters and as a result, helps to deliver improved audit quality in the public interest,” said Paul Wappett, CPA Australia Executive General Manager, Strategy.
A former President of CPA Australia, and past Board Member of the Companies Auditors and Liquidators Disciplinary Board, Patrick Ponting, supported this view.
“Auditing standards impose such detailed requirements on the auditor that it is not always possible to be confident that every requirement has been met,” he said.
At a time when community concern continues to be focussed on ensuring the reliability of reporting, auditors face the potential of possible litigation, damage to their reputations and in many instances, a costly follow up in their quality review processes from their relevant professional body.
Richard Neal CEO of Auditflow explains, “Our audit program is a Web based application that guides the auditor through a step by step, fully compliant system to create work-papers and exercise judgement. Easy to use, the auditor uploads client data and the Auditflow system wraps the information into a complete, compliant audit file ready for printing, saving locally or stored securely online.”
“The application will provide the auditor with a systemised and methodical approach to their audit engagement to assist with adherence to mandatory auditing standards. We believe this is the most cost effective solution that will improve the standard of auditing within Australia,” he said.
“To help us, we appointed an advisory board that includes a former Queensland ASIC Regional Commissioner, a former CPA Australia State President and National President, and former board member of the National Companies Auditors and Liquidators Disciplinary Board.”
Barrie Adams, a former Commissioner of ASIC and former CPA Australia State President, gave the application his approval.
“There is no doubt that Auditflow SME will provide a substantial improvement in the quality of auditing and confidence in the audit process, and assist both auditors and the business community as a whole avoid the costly non-compliance that are currently occurring”, he said.
“Auditflow SME is easier to navigate than the software we’re currently using” said Steve Russo, a partner at Adelaide based accounting firm Kennedy & Co Chartered Accountants.
More than 520,000 SME audits are carried out each year in Australia and Richard Neal forecast Auditflow would have relevance eventually in 130 countries worldwide.
“These countries have adopted international auditing standards – the equivalent to a set of road rules for auditing,” he said.
“Of course, there are country specific variances to these International Auditing Standards, but these are nominal, and Auditflow can be easily adapted to suit”.
“We want to show the way for Australian auditors in a way which is easy to understand, that helps solve a problem, and demonstrates that the industry is capable of providing best practice in its own right.”
Mr Neal said auditors simply subscribed to the Auditflow application by logging on to the Auditflow website with a username and password.