The auditor selection process: from tender to relationship management.

The overall purpose of this project is to obtain a better understanding of the complex process of selecting a new auditor. The auditor selection process is essential in preserving auditor independence and ensuring audit quality. In order to gain insights into the selection of an auditor, this project will conduct a field study of client companies' auditor appointment decisions. We take advantage of the institutional setting of the Netherlands, where mandatory audit firm rotation has recently been implemented. In our project, we intend to examine a sample of client companies that recently experienced or are currently experiencing appointment of a new auditor, prompted by the introduction of mandated audit firm rotation, covering different phases of the auditor selection process (i.e., the preparation, the auditor selection and appointment, and the relationship after the appointment).

Keywords:ACCOUNTING, AUDIT QUALITY, AUDIT, AUDITING

Disciplines:Accounting and auditing

Project type:Collaboration project