Now here is a topic that might compel you to attend our midyear meeting! Can you guess, from the title of this blog posting, what we have in mind?
No, we’re not referring to the imminent uprising of artificially intelligent drones across our planet and their subsequent attack on humanity. Perhaps we’ll address that topic during our 2018 midyear meeting.
We’re actually referring to a slightly more immediate concern. Next month, during our 2017 midyear meeting, Rob Nehmer of Oakland University and Deniz Appelbaum of Rutgers University will speak to us about how information technology specialists are utilizing drones to help “attack” business challenges.
According to Rob and Deniz, the FAA has recently lifted some restrictions on the use of drones for commercial purposes. Markets for commercial drone use are in the technology trigger phase of the Gartner Hype Cycle. Developments have occurred in the real estate, agriculture, transportation infrastructure, mining, film, insurance, and other industry sectors.
At the moment, though, we have not yet witnessed the widespread adoption of drone technology in the United States. But auditors are required to perform and validate inventory counts, based on audit observations of the inventory process and the review of internal controls. Auditors are also required to validate the economic value of physical assets. Drones, as an extension or tool of the auditor, are uniquely situated to support many of these audit tasks.
At our upcoming midyear meeting, Rob and Deniz will present a research manuscript entitled Using Drones in Internal and External Audits: An Exploratory Framework. They will propose a paradigm that is based on the Design Science approach, and that integrates the technology adoption process that was discussed by Alles, Kogan, and Vasarhelyi in a 2008 paper entitled Audit Automation for Implementing Continuous Auditing: Principles and Problems.
For an advance peek at the subject matter, you might be interested in a brief PwC Polska video from their Drone Powered Solutions Group. If it grabs your attention, please keep in mind that the best way to begin to develop an in-depth understanding of the subject matter is to join us in Orlando with Rob and Deniz next month.