Barriers in adopting IT and data analytics for internal auditing: findings from Vietnam's banking sector

Abstract

Despite the intention to follow the technological wave, data show that there are still signs of difficulties for internal auditors to adopt IT and data analytics for their activity. Consequently, the purpose of this paper is to answer the research question: what are the barriers in adopting IT and data analytics for internal auditing? Semi-structured interviews with seven banks' head of internal audit department or equivalent in Vietnam have been conducted and analysed through a mixed thematic analysis approach (deductive and inductive). Among the six barriers identified, awareness, data extraction, and implementation have been assessed as the most critical across all banks. Internal auditors of middle-sized banks mostly perceive the obstacles, principally because of the fact that they have to decide to scale up or reduce investments to fit the IT and data analytics solution. This work enhances the understanding by academics and practitioners on how the adoption of IT in internal audits can be fostered, with great implications, and in terms of benefits if organisations can overcome these barriers.