Why Audit?

KPMG US Careers
13 Sept 201703:46
EducationalLearning
32 Likes 10 Comments

TLDRThe speaker passionately discusses the intricacies of the audit profession, emphasizing the importance of understanding business risks, financial statements, and ensuring proper controls. They highlight the diverse experiences gained in the field, the ability to work in various industries, and the transferable skills such as project management, teamwork, and coaching. The speaker also touches on the innovative use of data analytics in auditing, the responsibility that comes with the role, and the importance of integrity in their work, drawing a parallel to the role of 'superheroes' in maintaining financial market stability.

Takeaways
  • 📊 Understanding Key Risks: The script emphasizes the importance of understanding the key risks in the business and how they are reflected in financial statements.
  • 🛡️ Importance of Controls: It highlights the necessity of having appropriate controls in place and the detailed understanding required for a company's operations.
  • 🗣️ Articulation of Business Processes: The speaker believes they can articulate business processes as well as the business owner due to their experience.
  • 💼 Love for the Profession: There is a passion for the field, including being in the face of the client and working in teams, which is a key motivator for the speaker.
  • 🔄 Variety of Industries: The speaker appreciates the opportunity to learn about various industries, which wouldn't be possible in a single industry job.
  • 📈 Project Management Skills: The script mentions that project management is one of the key skills translated to any profession.
  • 👥 Teamwork and Collaboration: Working in a team is crucial, and the ability to coach and mentor others is highlighted as essential for career progression.
  • 🌐 Cultural Diversity in Teams: The speaker has experienced working with diverse teams, including people from different countries and cultures.
  • 🚀 Constant Innovation: The audit business is always evolving, with data and analytics being a major area of innovation and value addition.
  • 🛡️ Integrity and Responsibility: The script stresses the importance of integrity in the branding of the company and the responsibility that comes with signing off on financial statements.
  • 🦸‍♂️ Superheroes of Financial Markets: The speaker likens auditors to superheroes due to the significant impact and responsibility they have in the financial markets.
Q & A

  • What is the primary concern in the audio transcript related to business understanding?

    -The primary concern is understanding the key risks in the business, how they translate into financial statements, and ensuring that appropriate controls are in place.

  • Why does the speaker believe they can articulate a business process as well as the business owner?

    -The speaker believes this is possible due to the detailed understanding they have of a company, which is gained through their experience in the field.

  • What does the speaker love about their role in the audit practice?

    -The speaker loves being out in the field, working in teams, and being in the face of the client, as well as the opportunity to learn about various industries.

  • How does the speaker describe the versatility of skills gained in the audit practice?

    -The speaker describes the skills as being transferable to any profession, highlighting project management, teamwork, and coaching as key skills.

  • What is the importance of having a strong team in the audit process according to the speaker?

    -Having a strong team is vital because it ensures that the audit can be conducted effectively and efficiently, especially when working on large and complex projects.

  • How does the speaker describe the cultural diversity in their team?

    -The speaker describes a team with people from different countries and cultures, which brings a lot of fun to the audit room despite the space constraints.

  • What major change is being implemented in the audit practice according to the transcript?

    -The major change being implemented is the use of data and analytics, which allows for smarter tools to analyze clients' transactions and provide more value.

  • What is the speaker's view on the role of branding in their profession?

    -The speaker views branding, particularly integrity, as a responsibility that must be fulfilled every day for the client, oneself, and the team.

  • What responsibility does the speaker feel when signing an audit opinion?

    -The speaker feels a huge responsibility, as their signed opinion validates the financial statements, which others rely on for decision-making.

  • How does the speaker describe the impact of their work in the financial markets?

    -The speaker describes their work as having a significant impact, likening themselves to 'superheroes' of the financial markets, a term they plan to pass on to future generations.

  • What is the speaker's perspective on the importance of innovation in their field?

    -The speaker emphasizes that constant innovation is crucial, as they must move alongside their clients who are also constantly evolving.

Outlines
00:00
🔍 In-Depth Business Understanding in Auditing

The speaker emphasizes the importance of a detailed understanding of a company's key risks, financial statements, and controls in the auditing process. They express a passion for the field, highlighting the opportunity to learn about various industries and articulate business processes as effectively as business owners. The speaker also mentions the joy of working in teams and the importance of project management, teamwork, and coaching as transferable skills.

🌐 Diverse Team Dynamics in Audit Practice

This paragraph discusses the speaker's experience working on diverse teams, from small to large, and the cultural richness that comes from team members of different nationalities. The speaker finds the audit room environment fun and dynamic, reflecting on the constant innovation required in the audit business to keep pace with client needs.

📊 Embracing Data Analytics in Auditing

The speaker highlights the major shift towards data and analytics in the auditing profession, where client data is used with smart tools to enhance the audit process and provide more value. The paragraph underscores the importance of staying current with technological advancements to meet the evolving demands of clients.

🛡️ Integrity and Responsibility in KPMG's Branding

The speaker talks about the core value of integrity in KPMG's branding and the responsibility that comes with it. They describe the daily commitment to doing the right thing for clients, oneself, and the team. The speaker also shares a personal anecdote about realizing the weight of their responsibility when signing off on financial statements, drawing a parallel to the role of 'superheroes' in the financial markets.

Mindmap
Keywords
💡Audit
An audit refers to the systematic review and evaluation of an organization's financial statements, management, and operations. In the context of the video, the speaker emphasizes the importance of understanding key risks in business and ensuring that financial controls are in place. The theme of the video revolves around the audit practice, where the speaker discusses the experience of being in the field, learning about various industries, and the responsibility that comes with signing off on financial statements.
💡Financial Statements
Financial statements are formal records of a business's financial activities, including balance sheets, income statements, and cash flow statements. They are crucial for understanding a company's financial health. The video script mentions the importance of understanding how key business risks translate into these statements, indicating the central role financial statements play in the audit process.
💡Controls
Controls in the context of business and auditing refer to the policies and procedures put in place to ensure the accuracy and reliability of financial reporting. The speaker mentions the need for appropriately placed controls, highlighting the importance of having safeguards to prevent errors or fraud in financial reporting.
💡Project Management
Project management is the process of planning, organizing, and managing resources to achieve specific goals. The speaker identifies project management as a key skill learned in the audit practice, necessary for successfully managing tasks and ensuring they are completed on time and within scope.
💡Teamwork
Teamwork involves collaborating with a group of people to achieve a common goal. The script emphasizes the importance of working in teams, especially in the audit practice, where diverse teams contribute to the success of projects. The speaker also mentions the value of coaching and mentoring within these teams.
💡Coaching
Coaching in a professional context refers to guiding, instructing, or training individuals to improve their skills and performance. The speaker considers coaching and mentoring as key skills, essential for personal and team development, and for preparing successors to take on leadership roles.
💡Data Analytics
Data analytics is the process of examining data sets to draw conclusions about the information they contain. The video discusses the use of data and analytics tools in auditing to analyze clients' transactions more efficiently, providing greater value and insights.
💡Innovation
Innovation refers to the introduction of new methods or ideas. The script mentions that the audit business must constantly innovate, adapting to changes and moving alongside clients to stay relevant and provide up-to-date services.
💡Integrity
Integrity in a professional setting means maintaining honesty and strong moral principles. The speaker discusses the branding of the company as integrity, emphasizing the responsibility to do the right thing each day for clients, oneself, and the team.
💡Responsibility
Responsibility in the video script refers to the duty and obligation that comes with the role of an auditor, especially when signing off on financial statements. The speaker reflects on the gravity of this responsibility and how it impacts the trust others place in the audit's findings.
💡Superheroes
In the script, the term 'superheroes' is used metaphorically to describe the role of auditors in the financial markets. The speaker recounts an anecdote where an audit partner likened auditors to superheroes, indicating the significant impact and influence auditors have in ensuring the reliability of financial information.
Highlights

Understanding key risks and their translation into financial statements is crucial in the audit process.

Auditors need a detailed understanding of a company's business processes and controls.

The speaker feels as articulate about business processes as the business owners themselves.

Love for the job stems from working with people, being in the field, and facing clients daily.

Audit practice offers exposure to various industries, unlike being stuck in a single industry.

Project management is the first key skill translated to any profession.

Teamwork and coaching are essential skills for any job.

Having a strong team with good interpersonal relationships is vital for successful audits.

Teams in audit practice can range from 2 to 25 people, with diverse cultural backgrounds.

Innovation in the audit business is constant, with data and analytics being a major change.

Smart tools are used to analyze client data, providing more value.

Skills learned at KPMG are applicable to becoming a partner or owning a business.

KPMG's brand is built on integrity, emphasizing the importance of doing the right thing daily.

The responsibility of auditors is significant when signing off on financial statements.

The speaker was inspired by an audit partner who referred to auditors as 'superheroes of the financial markets'.

The responsibility of auditors is not fully realized until reflecting on the impact of their work.

Transcripts

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Auditing InsightsTeam DynamicsFinancial IntegrityClient RelationsBusiness ProcessesProject ManagementCross-IndustryData AnalyticsInnovation DrivenAudit Responsibility