Critical thinking for the federal auditor

Abstract

In the overly constrained space of the federal audit environment, to what extent can critical thinking skills be applied in a profession characterized by arduous public trust expectations, controlling auditing standards, prescriptive federal acquisition policies, frequently changing guidance, continual peer oversight, and the slow implementation of audit findings? Promoting the increased use of private sector auditors may suggest that federal auditors perceive competencies differently. However, a recent survey administered to 645 auditors of a federal audit agency region indicated that the majority of the core competencies identified by the American Institute of Certified Public Accountants are perceived as relevant in auditing government contractors. However, of concern, the data were mixed in support of critical thinking as an important competency. Given employer preference for skills in this area, the author attempts to identify applications to increase auditor critical thinking skills and to offer suggestions for increasing the relevance of the federal audit.

A Conceptual Model of Continuous Government Auditing Using Blockchain-Based Smart Contracts

“…Governmental agencies and officials that are entrusted with public resources are responsible for preforming relevant public functions. They should offer public services in an efficient, effective, ethical, and economic manner, adhering to the contexts of statutory boundaries on specific government programs (McClure-Nelson, 2020). The primary responsibility of government auditors is to provide an opinion on financial information that is very valuable to stakeholders as it influences the overall economy.…”

“…There are many vital challenges for government auditing in the United States (Center, 2019;Harrell & Barbacci, 2017;Heald, 2018;McClure-Nelson, 2020). In terms of financial audits, government agencies' complexity and the scope of financial transactions are significantly enhanced.…”