The KPMG audit: Committed to leading the profession in audit quality

Our commitment to audit quality goes far beyond compliance only auditing. It is our fundamental promise to the clients, investors, audit committees, communities and other stakeholders we serve.

Our investment in our people and in innovative audit technology and methodology is driven by our commitment to quality. Each Audit partner and professional in our practice brings a continuous improvement mindset to power our efforts to continue transforming the audit experience.

“Our commitment to audit quality recognizes and reflects our collective changing reality,” said Vice Chair - Audit Scott Flynn. “We are not only investing more deeply in our people, culture, technology and service delivery model to deliver a more consistent and efficient audit experience – we are preparing our people for the future today. These investments will enable us to lead the market in delivering sustained audit quality.”

“We are continuing to move beyond compliance only auditing, investing in an iterative, data-driven and collaborative process to constantly measure, improve and lock in quality-sustaining actions,” said Christian Peo, National Managing Partner – Audit Quality and Professional Practice. “This mindset emboldens us to build quality into everything we do in a way that delivers a better experience not only to our clients but to our people as well.”

KPMG Clara

Investment in KPMG Clara, our global smart audit platform, is ongoing, bringing advanced data extraction, transformation and analytic capabilities together with our enhanced methodology and automation for a more risk-based, transparent and effective audit.

Our utilization of KPMG Clara continues to grow:

  • More than 3,700 client sites used various capabilities to improve the audit experience, including PBC management, insights, audit status and more. 
  • All public and private audits are now conducted with our intelligent workflow.
  • Nearly 500 client engagements are leveraging KPMG Clara Advanced Analytic Capabilities.

Technology and methodology

We are reimagining our service delivery model to standardize the way we approach the audit while scaling expertise. We bring together technology and methodology in all our engagements.

  • More than 3,500 Audit professionals have been trained on a suite of data extraction and analytic capabilities.
  • Nearly 2,000 extraction routines have been developed to streamline the audit process. 
  • We have released 60 new industry-specific routines and a new operational expense testing routine.
  • More than 250 power users leverage nearly 30 bots – part of a larger pool of 1,400 bots – to automate control testing procedures across multiple ERP environments.
  • KPMG's Center for Audit Solutions increased personnel in our centers of excellence by 500% to deploy 18 service offerings, including SOC1 reviews, independence reviews, risk assessment procedures and valuation assertion testing for investment securities. Specialists served more than 600 engagements.
  • In addition to audit hours from by core Audit professionals, our Center for Audit Solutions executed more than 13% of audit hours in fiscal year 2021, while professionals with specialized skills across our Tax, Advisory and Audit practices accounted for nearly 13% for all engagements.
  • More than 270 SEC reviewing partners, with assistance from 150 additional partners, managing directors and managers perform engagement quality reviews and other monitoring efforts to enhance quality. More than 11% of Audit partners and managing directors provide professional practice support.
  • Our Audit Quality Support Partner program, overseen by the KPMG chief auditor, includes 60 accredited partners.

“The audit profession is engaging in issues at the top of the board and audit committee agenda,” said Flynn. “New developments demand auditors think critically about how we apply our skills, experience and independence to the broader array of challenges facing businesses and investors today.”

Read more on how KPMG audit is investing capabilities to stay ahead of business digitization, ESG and industry trends to protect the capital markets. 

 

Media contact

Elizabeth Lynch

Elizabeth Lynch

Manager, Corporate Communications, KPMG US

+1 201-505-6316

 

 

 

Scott Flynn

Scott Flynn

Vice Chair - Audit, KPMG US

+1 212-954-2675
Christian Peo

Christian Peo

National Managing Partner-Audit Quality & Professional Practice, KPMG US

+1 949 885 5731

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