The Professionalization of Internal Auditing

Abstract

Purpose: This paper attempts to examine the meaning of professionalization, the conditions required for professionalization and whether internal auditing can be recognized as a profession. The paper makes use of study results in the fi eld of internal auditing conducted in Europe and the USA, as well as Andrew Abbott's theory on the system of professions. Professions have common characteristics which differentiate them from other occupations. These characteristics were used to determine the criteria for evaluating the professionalism of internal auditing. The conducted analysis indicates that presently internal auditing cannot be regarded as an independent profession. Methodology:Study results (quantitative and qualitative) in the fi eld of internal auditing were used in the analysis. Findings:The conducted analysis indicates that presently internal auditing cannot be regarded as an independent profession.Research limitations: Only a selection of research studies conducted in the USA and a few European countries were used, which limits the cognitive value of the analysis. Originality:The paper presents an overview of conducted research studies and gives an evaluation of the current state of professionalization of internal auditing.

Professionalizing the assurance of sustainability reports: the auditors’ perspective

“…The same remark can apply to the efforts to professionalize and legitimize less established and less formalized professional fields such as internal auditing, human resource management, coaching, social services and humanitarian work (e.g. Andreassen et al, 2014;Gacoń, 2013;George, 2013;Kene et al, 2009;Lang and Rego, 2015).…”

“…The impact of professionalism on the quality of sustainability assurance and on how assurance providers perceive, in practical terms, the professionalism of their field of activity has been overlooked. Second, this paper also contributes to the literature on professional systems (Abbott, 2014;Arena and Jeppesen, 2010;Gacoń, 2013) by showing how the competition between assurance providers and the use of specific standards shape perceptions of their professional identity and the added value of their services.…”

“…As highlighted in Abbott's (2014) theory of professional systems, the development of professionalization is shaped by jurisdictional competition and power relations between different professions in their quest to control their field of activity and establish their expertise. This interprofessional competition and legitimization of new activities have been analyzed in various professional fields, including auditing (Arena and Jeppesen, 2010;Gacoń, 2013;O'Dwyer et al, 2011). The "audit society" (Power, 1997a(Power, , 2000, characterized by the expansion and diversification of auditing practices into new fields -including the assurance of sustainability reports -fuels the competition between different professions.…”

“…Professionalism focuses on the skills and behavioral aspects required to effectively and responsibly complete specific activities, whereas the concepts of professional and professionalization focus on the formal and institutional aspects in which a profession is embedded, including status, formal qualifications, codes of conduct, membership of a professional association and social recognition (e.g. Andreassen et al , 2014; Evetts, 2014; Filliettaz, 2014; Gacoń, 2013; Öberg and Bringselius, 2015; Senapaty and Bhuyan, 2014). These distinctions are important for the emergence of new occupations in search of legitimacy and whose professionalization and professionalism are not well-established.…”

“…Professional identity also defines the boundaries between and the jurisdiction of professional activities (Abbott, 2014; Arena and Jeppesen, 2010; Öberg and Bringselius, 2015). Such a definition contributes to the legitimization of commercial aspects, the control of certain rules and protection against potential competition from other professions that could offer similar services (Arena and Jeppesen, 2010; Gacoń, 2013; Heras-Saizarbitoria et al , 2013; Moroney et al , 2012; O’Dwyer et al , 2011).…”