Audit Analytics has released a new report, Trends in Disclosure Controls: 2010 – 2017, which takes a closer look at the research initially discussed in our annual disclosure controls trends blog published in December.
The analysis is multifaceted, diving deeper into not only effective and ineffective disclosures, but also the underlying causes of such disclosures. With additional areas of research, including a closer look at specific taxonomies, this report allows us to paint a bigger picture.
For example, as shown in the graph below, ineffective disclosure controls have decreased for the second year in a row after peaking in 2015. However, there has been a notable increase in companies with IT-specific ineffective controls since 2013.
While the cause of ineffective disclosures can be nuanced and complex, this report provides a deeper understanding of the issues cited in those disclosures.
Trends in Disclosure Controls: 2010 – 2017 provides a comprehensive analysis of the following:
- Effective and ineffective disclosure controls
- Trends in taxonomies used to differentiate disclosure controls and common reasons for ineffective controls
- Information-technology issues and subsequent remediation
- Changes in internal controls related to new accounting pronouncements
- The impact of acquisition exemptions