Exploratory Study on the Role of Digitalization in Improving the External Audit Quality in Public Institutions: Evidence from Morocco

Nacer Mahouat; Anas  Azenzoul; Majda  Chaiboub; Loubna  Daoudi; Hafsa  Lemsieh; Ahmed  Aftiss; Khalil  Mokhlis

doi:10.48161/qaj.v5n3a1914

Authors

Nacer Mahouat Departement of Management Science, The Casablanca Higher School of Technology, Hassan II University of Casablanca, Casablanca 20000, Morocco;
Anas Azenzoul Departement of Management Science, The Faculty of Legal, Economic, and Social Sciences, Cadi Ayyad University of Marrakech, Marrakech 40000, Morocco;
Majda Chaiboub Departement of Management Science, The Faculty of Law, Economic and Social Sciences, Sidi Mohamed Ben Abdellah University, Fez 30000, Morocco.
Loubna Daoudi Departement of Management Science, The Faculty of Legal, Economic, and Social Sciences, Cadi Ayyad University of Marrakech, Marrakech 40000, Morocco;
Hafsa Lemsieh Departement of Management Science, The Casablanca Higher School of Technology, Hassan II University of Casablanca, Casablanca 20000, Morocco;
Ahmed Aftiss Departement of Management Science, The Faculty of Law, Economic and Social Sciences, Sidi Mohamed Ben Abdellah University, Fez 30000, Morocco.
Khalil Mokhlis Departement of Management Science, The Faculty of Legal, Economic, and Social Sciences, Cadi Ayyad University of Marrakech, Marrakech 40000, Morocco;

DOI:

https://doi.org/10.48161/qaj.v5n3a1914

Abstract

This study aims to understand the relationship between digitalization and the quality of external audit in public institutions, especially in the context of a developing country like Morocco. The paper adopts a qualitative approach in the form of interviews with stakeholders such as auditors, researchers and finance specialists. Data analysis was performed using NVIVO version 15 software. The results of the study show that digitalization impacts audit quality, particularly through the competence of the auditor. Indeed, this revolution pushes the practitioners of the profession to rise in theoretical and practical competency and adopt new technological tools in order to derive the best benefit from them within the scope of their mission. In addition, the relationship between digitalization and auditing can have both benefits and disadvantages mainly linked to the risk of data confidentiality and loss of human contact with the audited entity. Based on these findings, recommendations were made to ensure that the use of technology is fully aligned with the auditor’s objectives and the customer’s aspiration. The main novelty of this study is the adoption of a qualitative analysis for studying the intersection of digitalization and external audit quality in the public sector, specifically in a developing country like Morocco where the research is limited. This study is timely given the increase in the adoption of technology tools both in the public sector and in the field of audit.

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