RSS feedsDeloitte is set to become the first firm to publish an audit ‘transparency report’ today.
The firm is the first large firm to comply with with requirements of the Statutory Audit Instrument which came into effect in April this year.
Other firms, such as PwC and Grant Thornton, have voluntarily published transparency reports in anticipation of the rules.
The transparency report covers firms' processes for resolving conflicts of interest and partner remuneration.
Deloitte's report, a copy of which has been seen by Accountancy Age, covers how the firm conducts a ‘hot review’ before any audit or other opinion is signed, as well as how it has also developed a system of adaptability which allows it to introduce rapid, but considered, changes and enhancements to methodology and documentation within 24 hours.
‘As a result, we [are] able to roll out new requirements in rapid response to the credit crunch and related challenges to the markets and to our clients,’ the report said.
Audit partner Martyn Jones said the report was important to clients as they could now see how firms managed their quality. ‘There is a lot of debate and dialogue between directors and firms about how quality is dealt with,’ he said.
Audit managing director Vince Niblett said the biggest value of the report is the way it gives a sense of what’s going on underneath.
