CAQ Snapshot: February 2018
Monday, February 26, 2018
Fornelli Shines Spotlight on Teamwork in Auditing
Teamwork is critical for the public company auditing profession at all levels, writes Center for Audit Quality (CAQ) Executive Director Cindy Fornelli in a February LinkedIn Influencers post. Fornelli discusses auditing teamwork in the contexts of the audit engagement, the financial system, and the global economy.
“[Auditing] is part of a complex system of investor protection whose other key players include boards of directors and audit committees, internal auditors, financial executives, and regulators,” she says. “To be a part of this system is to be part of a team that enables our markets to function.”
Fornelli also shares perspective from CAQ member firms on how the auditing profession works to foster effective teamwork. For example, she cites recent comments from Jeff Burgess, National Managing Partner for Audit Services at Grant Thornton LLP, on the importance of training and personal interaction in a global network.
Each month throughout 2018 the CAQ will highlight the values and principles that enable the public company auditing profession to serve as a bedrock foundation for investor confidence and the capital markets. For March, the theme will be “excellence.” On social media, follow along and join the conversation using #BuildingaBedrock.
Profession in Focus: PwC UK’s Gilly Lord Talks Tech, Talent, and More
How will emerging technologies impact the evolution of auditing and audit quality? In Episode 57 of Profession in Focus, Gilly Lord, Head of Audit Strategy & Transformation at PwC UK, offers a sanguine view. “The audit of the future is going to become a very exciting collaboration between humans and machines,” she says.
In addition to reflecting on technology and talent, Lord provides views on the progress of expanded auditor reporting in the United Kingdom. “We’re now seeing audit reports that the investment community [is] actively reading and getting some real value from,” she notes.
The CAQ’s Catherine Ide on Cybersecurity and the CPA’s Role
What role do accountants and auditors play in cybersecurity, and how is that role evolving? In a video interview with Bloomberg Tax, Catherine Ide, the CAQ’s Managing Director of Professional Practice and Member Services, sheds light on both questions.
On the cybersecurity role of the financial statement auditor, Ide notes that auditors have the responsibility “to maintain an understanding of the company’s information technology environment as well as the IT impact on the financial statements.”
Outside the context of the financial statements, Ide points to the American Institute of CPAs’ (AICPA) cybersecurity risk management reporting framework, unveiled in 2017. She says the framework can help companies “communicate in a common language about their cybersecurity risk management programs.”
Learn more about the CAQ’s work on cybersecurity on its cybersecurity resource page.
Want to Educate the Next Generation of Auditors? Check Out the ADS Program
Administered by the AICPA Foundation, the Accounting Doctoral Scholars (ADS) Program has since 2008 addressed the growing demand for qualified accounting faculty by helping CPAs with audit and tax experience transition into academia and the classroom. The ADS Program is now accepting applications until September 8. Chosen scholars will receive up to $40,000 in addition to university-supported funding. Learn more and apply to become an ADS scholar at www.adsphd.org/apply.
Join the CAQ at These Upcoming Events
Weinberg Corporate Governance Symposium
We look forward to seeing our governance colleagues at this year’s Weinberg Corporate Governance Symposium on March 6 for a discussion about “Governance Issues of Critical Importance to Boards and Investors in 2018.”
March 6 | Newark, DE
Women Corporate Directors 2018 Americas Institute
We are pleased to join our director colleagues at the Women Corporate Directors Americas Institute.
March 6–8 | Aventura, FL
Council of Institutional Investors’ Spring Conference
The CAQ is pleased to support the Council of Institutional Investors’ Spring Conference and to join our investor friends in paying tribute to Anne Sheehan, Director of Corporate Governance, California State Teachers’ Retirement System, and James Doty, former Chairman, Public Company Accounting Oversight Board.
March 12–14 | Washington, DC
REITwise: 2018 Law, Accounting, & Finance Conference
Join the CAQ at Nariet’s REITwise: 2018 Law, Accounting, & Finance Conference. Cindy Fornelli will speak on the panel “The State of Non-GAAP Reporting,” along with Matthew DiLiberto, CFO of SL Green Realty Corp.; Christine McElroy, Senior Analyst-Retail at Citi; Marc Siegel, Board Member of the Financial Accounting Standards Board; and moderator Serena Wolfe, Partner at EY.
March 21–23 | Hollywood, FL
NACD Global Cyber Forum
We look forward to seeing our corporate director colleagues at the National Association of Corporate Directors’ Global Cyber Forum, where we’ll examine leading board oversight practices and practical, actionable items that board members and management can effectively implement to help their companies address cybersecurity risks.
April 17–18 | Geneva, Switzerland
Accounting & Financial Women’s Alliance (AFWA) Public Relations Lunch
The CAQ’s Catherine Ide, Managing Director of Professional Practice and Member Services, will speak at the AFWA’s public relations lunch about how the public company auditing profession is innovating for the benefit of investors, companies, and the capital markets.
April 24 | Chattanooga, TN