Factors Affecting Auditor Change Decision in Yemen: A Survey

• Main Author: Al-Qadasi, Adel Ali
• Format: Thesis
• Language: English; English
• Published: 2010
• Subjects: HF5601-5689 Accounting
• Online Access: http://etd.uum.edu.my/2217/1/Adel_Ali_Al-Qadasi.pdf; http://etd.uum.edu.my/2217/2/1.Adel_Ali_Al-Qadasi.pdf; http://etd.uum.edu.my/2217/; http://lintas.uum.edu.my:8080/elmu/index.jsp?module=webopac-l&action=fullDisplayRetriever.jsp&szMaterialNo=0000758926
• Institution: Universiti Utara Malaysia

Auditor changes are alarmingly high in Yemen and have been rising of late and the driving factors in this regard could be particular to Yemen. This study examines the motivations for public firms in Yemen to change auditors. In this paper, a questionnaire instrument is used to elicit perceptions of behavioral, economic or other factors that influence auditor-client realignments in Yemen. The study concludes primarily that economic factors provide the principal motivators of auditor changes in Yemen. Behavioral forces albeit influential factors of auditor change, come only secondary in importance. Dissatisfaction with audit quality, use of inexperienced audit engagement staff feature and poor working relationships with audit partner/staff feature as foremost concerns. Underlying this, there is evidence of significant associations between the reasons for change and type of change. Also, there is a significant relationship between the auditor change and size of companies. In particular, larger and medium companies, and companies changing from a non-Big Four to Big Four firm, were more likely to change due to dissatisfaction with audit quality, and the need for a wider range of services.