Audit technology as a catalyst for improving non-financial performance in Ethiopian audit firms

Adopting computer-assisted audit techniques (CAATs) is transforming the auditing profession globally. As technological advancements continue to shape the audit landscape, understanding how CAATs influence non-financial performance outcomes is essential. However, little is known about their impact on...

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Main Authors: Fekadu Agmas Wassie, László Péter Lakatos
Format: Article
Language:English
Published: Elsevier 2025-06-01
Series:Journal of Open Innovation: Technology, Market and Complexity
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Online Access:http://www.sciencedirect.com/science/article/pii/S2199853125000915
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author Fekadu Agmas Wassie
László Péter Lakatos
author_facet Fekadu Agmas Wassie
László Péter Lakatos
author_sort Fekadu Agmas Wassie
collection DOAJ
description Adopting computer-assisted audit techniques (CAATs) is transforming the auditing profession globally. As technological advancements continue to shape the audit landscape, understanding how CAATs influence non-financial performance outcomes is essential. However, little is known about their impact on non-financial performance in audit firms, particularly in developing countries like Ethiopia. This study investigates how CAATs influence non-financial performance metrics, including client relationships, employee engagement, and operational efficiency. A quantitative approach was adopted to analyze survey data collected from 122 audit professionals across Ethiopian audit firms in 2023. The findings reveal that the adoption of CAATs significantly correlates with client relationships, employee engagement, and operational efficiency, while its impact on operational efficiency is moderated by organizational readiness. The study highlights the need for strategic technological investments to enhance non-financial performance outcomes. This study offers original empirical evidence on the non-financial impacts of CAATs in the context of Ethiopian audit firms, filling a notable gap in the existing literature.
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spelling doaj-art-9f5934f41fc546e5b343cb66fd611ec22025-08-20T02:34:53ZengElsevierJournal of Open Innovation: Technology, Market and Complexity2199-85312025-06-0111210055610.1016/j.joitmc.2025.100556Audit technology as a catalyst for improving non-financial performance in Ethiopian audit firmsFekadu Agmas Wassie0László Péter Lakatos1Doctoral School of Business and Management, Corvinus University of Budapest, Budapest Fovám tér 8, Hungary; Department of Accounting and Finance, College of Business and Economics, Debark University, Debark, Ethiopia; Corresponding author at: Doctoral School of Business and Management, Corvinus University of Budapest, Budapest Fovám tér 8, Hungary.Institute of Accounting and Law, Corvinus University of Budapest, Budapest Fovám tér 8, HungaryAdopting computer-assisted audit techniques (CAATs) is transforming the auditing profession globally. As technological advancements continue to shape the audit landscape, understanding how CAATs influence non-financial performance outcomes is essential. However, little is known about their impact on non-financial performance in audit firms, particularly in developing countries like Ethiopia. This study investigates how CAATs influence non-financial performance metrics, including client relationships, employee engagement, and operational efficiency. A quantitative approach was adopted to analyze survey data collected from 122 audit professionals across Ethiopian audit firms in 2023. The findings reveal that the adoption of CAATs significantly correlates with client relationships, employee engagement, and operational efficiency, while its impact on operational efficiency is moderated by organizational readiness. The study highlights the need for strategic technological investments to enhance non-financial performance outcomes. This study offers original empirical evidence on the non-financial impacts of CAATs in the context of Ethiopian audit firms, filling a notable gap in the existing literature.http://www.sciencedirect.com/science/article/pii/S2199853125000915CAATsNon-financial performanceAuditingTechnological advancementsNon-financial performance metrics
spellingShingle Fekadu Agmas Wassie
László Péter Lakatos
Audit technology as a catalyst for improving non-financial performance in Ethiopian audit firms
Journal of Open Innovation: Technology, Market and Complexity
CAATs
Non-financial performance
Auditing
Technological advancements
Non-financial performance metrics
title Audit technology as a catalyst for improving non-financial performance in Ethiopian audit firms
title_full Audit technology as a catalyst for improving non-financial performance in Ethiopian audit firms
title_fullStr Audit technology as a catalyst for improving non-financial performance in Ethiopian audit firms
title_full_unstemmed Audit technology as a catalyst for improving non-financial performance in Ethiopian audit firms
title_short Audit technology as a catalyst for improving non-financial performance in Ethiopian audit firms
title_sort audit technology as a catalyst for improving non financial performance in ethiopian audit firms
topic CAATs
Non-financial performance
Auditing
Technological advancements
Non-financial performance metrics
url http://www.sciencedirect.com/science/article/pii/S2199853125000915
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