Research Real-Time Systems and Batch Systems Used in Auditing: The Case of Auditing Firms in Vietnam

This article aims to examine the factors affecting the selection of real-time systems or batch systems in auditing, thereby making judgments about the influence of this choice on audit quality. The purpose is to provide recommendations on which cases to use real-time and batch systems, and how they affect audit quality when choosing one of these processing systems. The study investigates the relationship between data processing systems (real-time systems and batch systems) and audit quality. The article measures and evaluates the influence of factors on the choice of real-time systems or batch systems and their impact on audit quality. Auditing financial statements may involve working with real-time systems that record transactions as they occur or batch systems that process transactions in groups over time. Operational audits may include testing a real-time system that monitors and controls activities instantly or a batch system that aggregates operational data periodically. The choice between these systems depends on factors such as the availability and quality of data, the complexity of the system, and the level of audit risk. Real-time systems often include built-in validation and control features that help identify errors or fraud immediately, allowing for timely corrective actions. As a result, auditors can reduce audit risk and improve overall audit quality when using real-time systems. In contrast, batch systems may limit auditors’ access to up-to-date information, requiring them to rely on sampling or extrapolation methods to gather audit evidence. When working with batch systems, auditors may need to perform additional procedures and apply more subjective judgment, which can increase audit risk and reduce audit quality. In summary, factors such as data characteristics, the nature and performance of tests, the timing of information delivery, and available resources all influence the decision to use a real-time or batch processing system. Implication practices Theoretical implication The article helps readers understand how to apply real-time systems and batch systems in auditing. Real-time and batch systems theory development can help entities to understand how to record transactions as they happen, or batch systems process transactions in batches from which to take control measures and integrated authentication to identify errors or fraud immediately, allowing for timely corrective action. Practical implications For audit firms, the real-time and batch systems help the auditors themselves design audit procedures in a way that is appropriate to the way the client’s data is handled, minimizing audit risk and improve audit quality. Understanding these two ways of handling data also helps businesses in general control information, ensuring accurate and relevant information. Originality/value The study focuses on the role of each real-time system and batch system in auditing, giving opinions that no research has specifically mentioned it. The article also explores practical solutions and ideas for future research, adding uniqueness and value to using real-time and batch systems in auditing and affecting audit quality.