The Reliance on Computer-mediated Communication by Audit Firms During the COVID-19 Pandemic Period

The onset of the coronavirus pandemic 2019 (COVID-19) resulted in audit firms relying on Computer-Mediated Communication (CMC) when communicating with their clients. Although most audit firms employed CMC to some extent before the pandemic, their use of it increased with the onset of the pandemic because of the prohibition of face-to-face communication. This study aims to discover how auditors used CMC during the pandemic, and in particular, which CMC tools were used most frequently. While the shift to CMC during the COVID-19 pandemic was mandatory, its increased use is expected to influence audit firm adoption of CMC following the pandemic period. Thus, this study also investigates this intention for continued use and how it varies with audit firm size. Finally, the study investigates whether audit firm size affects the cooperation between auditors and their clients when employing CMC. Based on both interviews and survey evidence, the use of CMC is found to be more pervasive after the pandemic than before it. Further, smaller audit firms expect to rely more than bigger audit firms on CMC following the COVID-19 pandemic. Finally, the study revealed that the clients of larger audit firms are more cooperative when auditors communicate with them using CMC during the pandemic than is the case for smaller audit firms. These results should be of significant interest to audit firms, especially smaller firms that may decide to invest more in CMC following the COVID-19 period. In addition, regulatory bodies should provide more detailed guidance to audit firms in terms of their use of CMC technologies.