Data Analytics and Its Implication on Auditing

Abstract

Data analytics is a new approach for auditors to prevent and detect fraud involving examining patterns in actual data. However, implementing data analytics requires a significant investment in hardware, software, skills, and quality control in the business world. This paper aims to analyze data analytics as a tool for auditors in the audit process and analyze the impact of using data analytics on the auditor profession. This article is a literature review that examines phenomena based on the literature and the results of previous studies. The discussion implies that data analytics helps the auditor to improve audit quality in the big data era. Therefore, auditors should master data analytics skills. Otherwise, the auditor will face more threatening in the future.