How One of the World’s Largest Audit Firms Successfully Manages Risk, Time and Knowledge
In reviewing how one of the world’s largest audit firms uses its Exari Document Assembly software and what benefits are delivered, some interesting insights have arisen that can apply to any business case that needs to justify spend on Contract Management and Document Assembly solutions.
The Burning Bridge: Liability Risk
A critical requirement for this firm was to manage the risks around liability in the audit opinions they are paid to produce for their clients.
Can Document Assembly software solve this problem, and what other benefits will the firm derive from automating their document creation?
Before: Inefficiency, Typos and Reviews
There are many ways in which liability can arise, but 90-95 % of the mistakes that could be made are known. These are found through a thorough review process by partners and senior auditors. In the worst circumstance, a mistake can be used in court to undermine confidence in an audit, leading to both fines from the Regulating Authority and multi-million dollar settlements with the client.
After: Risk Reduction and Other Benefits
By using their Exari Document Assembly software, this audit firm has achieved the following benefits:
- Reduced the risk of liability and regulatory penalties by 90-95%
- Facilitated a more efficient work process
- Created a knowledge database that brings new staff up to speed far more quickly
- The firm has automated the detection and fixing of the known issues, thus reducing the probability of errors and omissions (E&O) liability.
The other benefit is the time saved. With Exari, auditors can create a compliant opinion in a fraction of the time it used to take, while data and risk-triggers available allow the review team to focus on opinions that need additional oversight and scrutiny. For the senior auditors, time is freed up to concentrate on the more complex opinions, as the “usual” mistakes are automatically prevented or flagged. Now more time can be spent working with clients, managing staff and focusing on the 5% of issues that are not specific to the opinion document itself.
Another benefit of automating document generation is the encapsulation of the accounting opinion rules and best practices within the opinion generation system, helping to stem the flow of lost knowledge from the average 20% annual turnover of audit staff.
Document Automation Benefits for Any Enterprise
Given the substantial reduction of regulatory and liability risk and improvements to workplace efficiency and knowledge sharing, it won’t be long before document automation becomes an essential tool for the modern professional services firm.
For more information on the Exari Audit Opinion solution and other industry solution benefit cases, please contact Geoff Maskell at firstname.lastname@example.org.