BDO USA P.C. Launches Multiyear Shake-Up of Audit Practice to Improve Performance and Compliance

BDO USA P.C. Launches Multiyear Shake-Up of Audit Practice to Improve Performance

BDO USA P.C., one of the six largest audit firms in the country, has embarked on a multiyear overhaul of its audit practice in an effort to enhance its track record and boost the performance of its audit teams. The firm has been restructuring its audit practice, reducing its book of public company clients, and implementing a new learning program to train entire audit teams.

Lillian Ceynowa, BDO’s national managing principal of audit quality, emphasized the importance of providing auditors with more time to think and work without the pressures of tight deadlines. The firm aims to improve regulatory inspection results, reshape its culture, and alter auditor behavior through these changes.

Despite facing challenges in recent inspections, BDO is optimistic about the progress it is making. The firm expects deficiencies to increase in the upcoming inspection results, but believes that the changes being implemented will yield positive outcomes in the long run.

In response to regulatory pressure and the need to meet higher standards, BDO has created new roles, established advisory councils, and is considering updates to its audit methodology. The firm is also revamping its core platform and adjusting the timeline for audits to allow for more thorough research and decision-making.

Additionally, BDO has launched a new training program to address learning gaps for staff who started their careers remotely during the pandemic. The program brings together entire engagement teams for in-person sessions, a departure from traditional training methods.

The firm’s efforts to enhance audit quality come at a time when regulators are cracking down on audit firms to improve compliance and protect investors. BDO’s commitment to improving its practices and addressing enforcement risks is seen as a positive step by industry experts.

While BDO faces challenges in restoring its reputation and reassuring the market, the firm’s dedication to enhancing audit quality is commendable. With ongoing changes and a focus on accountability, BDO is working towards rebuilding trust and improving its performance in the audit industry.