The Impact of Selecting an External Auditor Mix on Enhancing the Effectiveness of Joint Audits for Multinational Corporations (Published)
This study investigates the influence of auditor composition on adherence to auditing standards within joint audit engagements for multinational corporations. Specifically, it examines how the integration of local and international auditors affects compliance with general, fieldwork, and reporting standards. Employing a descriptive‐analytical approach with a quantitative research design, data were collected from a randomly selected sample of 52 external auditors serving multinational firms through a structured questionnaire. Ordinal regression analysis, performed via SPSS software, revealed that joint audit teams composed of both local and international auditors significantly enhance compliance across all measured standards. In contrast, teams composed exclusively of local auditors or exclusively of international auditors did not yield statistically significant improvements consistently. These findings underscore the importance of auditor diversity, suggesting that integrating international expertise with local knowledge is essential for strengthening audit quality and regulatory adherence in complex multinational environments.
Keywords: Joint audit effectiveness, auditing standards compliance, external auditor mix, international auditors, local auditors