A study on peer reviews conducted by one of the authors shows that a large majority of members believe their quality control system has improved as a result of their review. An overwhelming majority believe their review provided the impetus to maintain the highest degree of compliance with professional standards. Equally important was that a majority of firms thought their reviewers provided helpful suggestions for operating more efficiently or effectively. For instance, reviewers have often suggested to firms that they use one of the published accounting and auditing practice guides. Because the guides are continually updated by their publishers, substantial time can be saved versus keeping internally produced checklists up to date.
Guides can also be substantial time savers on recurring engagements.
There are also intangible benefits from having undergone a review. The Division study supports the assertion that firms have more confidence in their practices and procedures as a direct result of their reviews. Further, increased firm confidence is more likely to be inspired by reviewers who have good communications skills. For example, most reviewers result in the discovery of quality control deficiencies, and a reviewer who can explain the nature of the deficiencies and offer clear suggestions to correct them will help the firm improve its system. Consequently, an improved quality control system will bring about more confidence in firm practices.