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Internal audit stigma impairs internal audit outcomes

Authors: Marc Eulerich; Joleen Kremin; K. Kelli Saunders; David A. Wood;

Internal audit stigma impairs internal audit outcomes

Abstract

Prior research finds that the internal audit function (IAF) plays a critical role in organizations, yet there is still a stigma toward the profession. We examine how this stigma affects internal audit outcomes, using three different data sources: survey results from parts of Europe (113 observations) and the United States (124 observations) for the year 2017 and an experiment (65 observations) in 2018. We find that when internal auditors in parts of Europe and the U.S. believe there is a negative stigma about internal auditing, they report negative work outcomes, including less ability to add value, less influence in the organization, more resistance to implementing their recommendations, and more pressure to change audit findings. Our experimental results confirm the survey findings and provide further evidence that negative stigma causes participants to perceive less value in internal audit reports and that internal audit recommendations are less influential in decision-making. Taken together, the results suggest that negative perceptions of internal audit have a significant impact on the profession

Keywords

330, Internal Audit -- Occupational Stigma -- Dirty Work, ddc:330, Mercator School of Management - Fakultät für Betriebswirtschaftslehre » Interne Revision und Corporate Governance, Wirtschaftswissenschaften, 650, ddc: ddc:330

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    This is an alternative to the "Influence" indicator, which also reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
    9
    popularity
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    Top 10%
    influence
    This indicator reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
    Average
    impulse
    This indicator reflects the initial momentum of an article directly after its publication, based on the underlying citation network.
    Top 10%
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selected citations
These citations are derived from selected sources.
This is an alternative to the "Influence" indicator, which also reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Citations provided by BIP!
popularity
This indicator reflects the "current" impact/attention (the "hype") of an article in the research community at large, based on the underlying citation network.
BIP!Popularity provided by BIP!
influence
This indicator reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Influence provided by BIP!
impulse
This indicator reflects the initial momentum of an article directly after its publication, based on the underlying citation network.
BIP!Impulse provided by BIP!
9
Top 10%
Average
Top 10%
Green
gold