The Center for Continuous Auditing

The Center for The Center for Continuous AuditingContinuous Auditing

An Alliance of An Alliance of Arizona State University, Bentley College, DePaul Arizona State University, Bentley College, DePaul University, Indiana University, Rutgers University, University, Indiana University, Rutgers University,

Texas A&M University, The University of Texas, Texas A&M University, The University of Texas, University of Maryland, University of South Florida, University of Maryland, University of South Florida,

University of Tennessee, University of Virginia, University of Tennessee, University of Virginia, University of WaterlooUniversity of Waterloo

at Texas A&M University

MissionMission

::

To develop and disseminate To develop and disseminate knowledge on audit knowledge on audit methodologies and use of methodologies and use of technology in the continuous technology in the continuous audit of electronic business and audit of electronic business and government processesgovernment processes

The Center for Continuous Auditing at Texas A&M -- An Alliance of Universities

ObjectiveObjectivess Develop collaborative environment Develop collaborative environment

for for research and consultation on issues research and consultation on issues of of continuous auditing (both internal continuous auditing (both internal and and external) and the transformation of external) and the transformation of the the electronization of businesselectronization of business

Support research in audit Support research in audit methodology and use methodology and use of technology in of technology in the continuous auditing the continuous auditing process and process and disseminate knowledge gained disseminate knowledge gained through through research research


ObjectivesObjectives (continued)(continued) Provide a forum for academics, Provide a forum for academics,

business, business, accounting accounting and auditing and auditing professionals and professionals and government regulators government regulators

to discuss current and to discuss current and future future issues impacting audit issues impacting audit methodology methodology and standardsand standards

Develop instructional curricula and Develop instructional curricula and materials materials for faculty and graduate for faculty and graduate and undergraduate and undergraduate studentsstudents


Governance and Advising Governance and Advising StructureStructure

Advisory Board composed of Advisory Board composed of thought thought leaders in business, leaders in business, government, government, accounting accounting profession and educationprofession and education

Board of CCA Research Board of CCA Research FellowsFellows


ModelModelCenter modeled after governanceCenter modeled after governance

structure of Financial Accountingstructure of Financial Accounting

Standards Board:Standards Board: Funding from FoundationFunding from Foundation Guidance from Advisory BodyGuidance from Advisory Body Research and implementation by BoardResearch and implementation by Board


Research Funding Research Funding Funds will be used primarily for Funds will be used primarily for

research, with limited amount research, with limited amount allocated to clerical tasksallocated to clerical tasks

Seeking long-term commitment Seeking long-term commitment (e.g., three to five year) from (e.g., three to five year) from firms agreeing to provide fundingfirms agreeing to provide funding

Funding not being sought from Funding not being sought from alliance universitiesalliance universities


Alliance UniversitiesAlliance Universities

Arizona State Arizona State University University

Bentley CollegeBentley College DePaul UniversityDePaul University Indiana UniversityIndiana University Rutgers UniversityRutgers University Texas A&M Texas A&M

UniversityUniversity

The University of The University of TexasTexas

University of University of MarylandMaryland

University of South University of South FloridaFlorida

University of University of TennesseeTennessee

University of University of VirginiaVirginia

University of University of WaterlooWaterloo


Research ModelResearch Model Collaboration between Collaboration between

academicians, business and academicians, business and practitionerspractitioners

Research focus on practical Research focus on practical application of methodology andapplication of methodology and

Proven methodology disseminated Proven methodology disseminated to business community and practiceto business community and practice


Potential Research Topics:Potential Research Topics: The role of continuous auditing on The role of continuous auditing on

investing and lending decisionsinvesting and lending decisions The use of intelligent agents and The use of intelligent agents and

continuous auditing processes to continuous auditing processes to predict potential business failurespredict potential business failures

The use of intelligent agents in The use of intelligent agents in developing artificial intelligence to developing artificial intelligence to recognize changing patterns in recognize changing patterns in transactions as they are being transactions as they are being processedprocessed


Potential Research Topics Potential Research Topics (continued)(continued):: The use of embedded audit modules The use of embedded audit modules

that test the controls for all that test the controls for all transactions as they are processed transactions as they are processed with abnormalities being compiled in with abnormalities being compiled in a database accessible only to the a database accessible only to the auditorsauditors

The increased need for audit The increased need for audit assurance “on demand” and/or an assurance “on demand” and/or an increased frequency of auditor increased frequency of auditor reporting on informationreporting on information

The need for auditors’ skill sets to The need for auditors’ skill sets to include a greater degree of include a greater degree of technological proficiencytechnological proficiency


Questions?Questions?

Documents

The Center for Continuous Auditing