A new report from CPA.com and the AICPA have released the Audit Transformation Survey Report. It reveals how firms are adapting to new standards and modernizing methodologies as 2026 approaches.
"This report provides perspective directly from firms on the current state of audit modernization. Drawing on data from
our survey of fifty-four US CPA firms of varying sizes and maturity levels, this document offers a clear picture of where
firms are making progress, where challenges persist, and what meaningful transformation entails," noted Erik Asgeirsson, president and CEO of CPA.com and Susan S. Coffey, AICPA CEO in the report's introduction.
They added that although the survey is not a representative view of all CPA firms, the themes offer a springboard to talk about this transition period across the profession. They stated that the report is not meant to recommend a single path forward, but to ground the profession’s discussion in real-world practices, barriers, as well as opportunities.
The survey showed several commonalities in all responding firms. Most identified the same fundamental obstacles to audit transformation, but there are a few differentiators that are hinged on where firms are in their audit transformation journeys.
The survey identified the top ranked perceived blockers and risks firms experience when they move forward with audit transformation. These are:
66% employees do not have the needed training in approaches or methodologies
60% client data is of poor quality
53% do not have access to client information and systems
53% have budget constraints
30% current methodology use does not allow transformation
The survey data also highlighted five key themes, which are the following:
Audit technology is evolving. Advanced audit technologies and capabilities are the drivers of efficiency. They also enhance quality and augment client insights. Firms that are further along on audit transformation say that their utilization of technology has improved their employee experience and assists in functioning as a value differentiator to clients.
Efficiency is key in audit transformation. Efficiency is the driving force behind audit transformation. Firms seeking optimize audit performance know that efficiency is more than just speed. It is about establishing capacity and taking out repetitive tasks so staff can perform at their best use, while having sustained audit quality.
Adoption of modern audit methodologies is beginning to accelerate, Despite the considerable potential for increased quality and efficiency, it is only recently that firms are seeking to fully leverage modern audit methodologies, which notably include risk driven auditing and data analytics.
Metrics are evolving, but slowly. As automation and AI become more widespread in audit and limit the time spent on
tasks, the traditional metrics of realization, utilization, and billable hours are becoming less relevant. In their place, metrics that are forward-looking including deliverable-based accountability and client readiness will become more relevant as audit transformation measures.
Improving the experience for clients and staff. Audit transformation is not only about efficiency. It’s also about establishing vibrant workplaces where staff thrive and grow and minimizing client disruption while delivering quality and value. Advanced technologies as well as new methodologies can make both these in the realm of possibility.