2013 SPAA National SMSF Conference

1. The New SMSF Audit Frontier
JO HEIGHWAY
ENGAGE Super Audits

2. DIGITAL DISRUPTION
& THE SMSF INDUSTRY

3. DIGITAL DISRUPTION
& THE SMSF INDUSTRY
“One-third of the Australian economy faces imminent and
substantial disruption by digital technologies and business
models – what we call a ‘short fuse, big bang’ scenario”.
Giam Swiegers, CEO Deloitte Australia

4. DIGITAL DISRUPTION
& THE SMSF INDUSTRY
 Larger Volumes
 Big Data
 Strategic Alliances and Integrated Technology
 Bigger Players, Mergers & Acquisitions, & Big Money
 Higher Expectations
 Competition between software providers
 Evolving ATO systems & technology
 Global not Local

5. DIGITAL DISRUPTION
& THE SMSF INDUSTRY
To be competitive in the new SMSF landscape,
you need to be in control of the disruption....
not just caught up in it.

6. THE FUTURE OF SMSF AUDIT

7. THE FUTURE OF SMSF AUDIT
eal-Time Audits
utomation and Analytics
onnecting and collaborating online
merging new breed of auditors
R
A
C
E

8. THE FUTURE OF SMSF AUDIT
Technology doesn’t replace
relationships.
Technology simply frees our time to
 build stronger relationships
 add real value
in ways more suited to our specialist
expertise.

9. THE FUTURE OF SMSF AUDIT
The Future is Online
We are building online communities that collaborate,
innovate and compete for scale and status.
.

10. Matching Audit Methodology
with Technology

11. MATCHING AUDIT METHODOLOGY
WITH TECHNOLOGY
SMSF auditors must stop:
×Obsessing with paper
×Building excel spreadsheets and calling them new technology
×Building technology that duplicates what’s already been done
×Doing the same thing they did last year
×Creating barriers between their systems and their clients
× Using one-size fits all audit programs
× Ignoring the digital revolution that is here right now

12. MATCHING AUDIT METHODOLOGY
WITH TECHNOLOGY
5 Rules for successful Digital Disruption
1. Technology and Methodology must align
3. Audit technology must add something NEW
2. Understand the true capabilities and potential of
existing technology
4. Deliver real benefits to clients
5. Continuous business transformation

13. MATCHING AUDIT METHODOLOGY
WITH TECHNOLOGY
Substantive
Audit
approach
Systems
Based Audit
approach
(annual)
Systems
Based Audit
approach
(daily)
The 3 Team Approach

14. MATCHING AUDIT METHODOLOGY
WITH TECHNOLOGY

20. MATCHING AUDIT METHODOLOGY
WITH TECHNOLOGY

21. MATCHING AUDIT METHODOLOGY
WITH TECHNOLOGY

22. MATCHING AUDIT METHODOLOGY
WITH TECHNOLOGY

23. MATCHING AUDIT METHODOLOGY
WITH TECHNOLOGY

24. MATCHING AUDIT METHODOLOGY
WITH TECHNOLOGY
Electronic Superannuation Audit Tool (eSAT)

25. MATCHING AUDIT METHODOLOGY
WITH TECHNOLOGY
Electronic Superannuation Audit Tool (eSAT)

26. MATCHING AUDIT METHODOLOGY
WITH TECHNOLOGY
Electronic Superannuation Audit Tool (eSAT)

27. MATCHING AUDIT METHODOLOGY
WITH TECHNOLOGY
Electronic Superannuation Audit Tool (eSAT)

29. THE CHALLENGES WE FACE
How to achieve scale in a fragmented
market
Tender processes that simply DO NOT
MAKE SENSE!
Technology outpacing Auditing Standards
The client education process

30. PLANNING FOR THE NEW
SMSF AUDIT FRONTIER

31. PLANNING FOR THE NEW
SMSF AUDIT FRONTIER
Digital disruption doesn’t need big bucks,
it just needs smart collaborations.

32. PLANNING FOR THE NEW
SMSF AUDIT FRONTIER
 Concentrated effort to join the digital SMSF chain
 Line by line rethink of audit programs
 Systems based audit approach
 Two way tender process and new quoting methodology
 Specific technology training courses for SMSF auditors
 Controls reporting – a new value add

33. THE NEW SMSF AUDIT FRONTIER

34. DISCLAIMER
© Jo Heighway, ENGAGE Super Audits 2013
This presentation is for general information only. Every effort has been made to ensure that it
is accurate, however it is not intended to be a complete description of the matters
described. The presentation has been prepared without taking into account any personal
objectives, financial situation or needs. It does not contain and is not to be taken as containing
any securities advice or securities recommendation.
Furthermore, it is not intended that it be relied on by recipients for the purpose of making
investment decisions and is not a replacement of the requirement for individual research or
professional tax advice. This presentation was accompanied by an oral presentation, and is
not a complete record of the discussion held. No part of this presentation should be used
elsewhere without prior consent from the author.