 Creativity amidst standardization: Is creativity related to auditors’ recognition of and responses to fraud risk cues?Eddward T. Herron and Robert M. Cornell Journal of Business Research, 2021, vol. 132, issue C, 314-326 Abstract: We examine the association between aspects of creativity and auditors’ recognition of and responses to fraud risk cues in the context of trade-offs between creativity and standardization. Based upon a study with practicing auditors, we provide evidence that auditor creativity characteristics and the creativity of the work environment are related to auditors’ recognition of and responses to fraud cues. Auditor creative ideation (the generation of creative ideas), characterized as an improvisational style of thinking, tolerance for unpredictability and uncertainty, and open-mindedness, is associated with responses to perceived fraud risk cues more than fraud cue recognition alone. Beyond the potential to improve audits and financial reporting quality, our findings contribute to theory regarding how creativity is associated with novel idea generation and problem solving among professionals in quantitative business domains. We discuss how an emphasis on standardized audit procedures in response to firm oversight may diminish auditor creativity. Keywords: Auditing; Creativity; Individual creativity; Fraud detection; Fraud risk assessment; Standardization (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:eee:jbrese:v:132:y:2021:i:c:p:314-326 DOI: 10.1016/j.jbusres.2021.04.018 Access Statistics for this article Journal of Business Research is currently edited by A. G. Woodside More articles in Journal of Business Research from Elsevier |
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