Research On Risk Assessment And Response Of A Accounting Firms

With the rapid development of China's economy and the implementation of the state's encouragement policies for accounting firms,the number of accounting firms has increased year by year.However,in recent years,the news of penalties for accounting firms and listed companies has continued,which means accounting firms There are still many problems,and the firm's risk assessment and response needs to be improved.On the other hand,China's science and technology creation system will be implemented soon.At that time,the firm will face the increased opportunities of listed company customers and the challenge of increasing the risk of auditing of the customers of the board.Therefore,how an accounting firm can reasonably assess risks and respond to risks in the current environment is one of the key points for the development of accounting firms.Firstly,through the combing of the risk management and internal governance of accounting firms,this paper finds that the current risk management process of accounting firms has not formed a unified conclusion,but because of the similarities between firm management and corporate management,this paper Combining the changes of ERM(2017)and ERM(2004),it evaluates the risk from the accounting and auditing business of A accounting firm.In the analysis of the firm's strategic risk,this paper combines the specific data of the changes in audit fees before and after the change of A customers.It is found that A is faced with the market competition pressure,may choose the cost leadership strategy,and implement the cost leadership strategy from A.In terms of results,it does not achieve the intended purpose,and in the case of implementing a cost leadership strategy,it will increase the risk of brain drain in accounting firms.In addition,as customer needs change,the cost leadership strategy increases the risk of customer churn and affects the performance of accounting firms.On the other hand,when assessing the business risks of the firm,this paper combines the audit cases first undertaken by A,the acceptance of professional ethics,customer relations and specific business,and auditors based on A's current quality control system.Business implementation of the four aspects of its business-level risk analysis.Compared with the customers who maintain it for the first time,the risks are mainly reflected in the customer acceptance,the appointment of the auditors,and the audit communication.Finally,this paper provides a risk response recommendation for A,from the five aspects of the risk of A,from the perspective of trying to differentiate the strategic change,strengthen the customer management,improve the customer risk evaluation process,strengthen the audit team practice level and improve the business quality control review standard.