Specialisation in the Big Four Audit Firms : a study

Abstract

This dissertation was mainly carried out in order to assess the current level of specialisation within the audit section of the local offices of the Big Four Audit Firms. This study seeks to shed some light on various issues concerning the implementation of specialisation, and also to analyse the perception and views expressed by practitioners. The study commences with an overview of relevant literature, followed by the findings, which were obtained by conducting four interviews, an interview with a partner of each of the big firms, and the one hundred and fifteen received questionnaires from employees of the firms. Findings: The results of this study clearly indicate that specialisation is considered as a fundamental aspect within the profession. In fact, the study concluded that specialisation is becoming increasingly important, and hence firms are expected to become more specialised in the near future within the audit section. Furthermore, results indicate that financial services and online gaming industries, and computer audit and compliance with IFRS areas, are considered as the major areas/industries which require specialised services. It was also determined that lack of critical mass is the biggest factor that impedes the development of specialists, in Malta, while potential attractiveness for other work was considered as the major factor that encourages employees to specialise. The study finally concluded that clients particularly appreciate the work done by specialists. The conclusions and recommendations found in this study are mainly addressed to firms, and how they should deal with specialisation. The study also suggested that firms should try to attract more overseas clients, and employ more specialists.