Auditors and Social Media Use: Does Fear of Missing Out Affect Audit Quality?

• In Event: Social Media and Trends in Accounting Research

Abstract

Social media continues to grow in popularity and recent survey data suggests that auditors use it habitually. Early research suggests that social media content tends to focus on social experiences, which can leave users with a fear that they are missing out (FOMO), a phenomenon that has been found to have a host of negative outcomes. However, it is unknown how FOMO might affect auditors as they complete audit tasks. Using an experiment that holds social media usage constant, we rely on social comparison theory to test how social media content viewed by auditors impacts their performance on audit work. We find that auditors who view peer posts of social experiences are less likely to collect and evaluate audit evidence than those that do not view such content. In a further test of our theory, we also demonstrate that evidence collection and evaluation is improved when auditors view posts made by professional accountants alongside the social posts of non-accountant peers. Our findings suggest that viewing social media content can affect the evidence collected for audit workpapers, and, in turn, audit quality. These results have important implications for practitioners, academics, and regulators.

Authors

• Stephen Kuselias, Providence College

• John Lauck, Louisiana Tech University

• Summer Williams, Westfield State University