Implementing a quality Management system in the firm can go beyond a compliance exercise. Immense long-lasting benefits can be derived from the optimized processes and quality improvement. Below are some of the reasons ISQM can bring business value in long run and you can make the most out of the time and resources invested in this exercise.
- The keen focus and prioritization of quality will be very apparent to the client as the culture of quality will be reflected in the client communications as well; therefore it will build reputation of the firm. Better reputation ensures continuity with the client and better negotiations.
- As a part of ISQM implementation, the Audit documentation quality and adequacy will significantly be improved. This would be making the future audits very efficient.
- Because of lack of Planning procedures and less focus on Materiality in small firms, teams end up doing Over Auditing. With the Implementation of ISQM, the firm can save man hours spent in Over Auditing, as for quality, you may need to introduce standards audit methodology as part of audit process.
- With the better recoverability rate (as man hours can be saved because of the derived efficiencies), the greater profits can be achieved.
- Since in the proactive risk-based approach with scalability, we are focusing on the responses that address firm specific risks, efficiencies would be created in the long run.
- In many areas, the responses designed for ISQM can be extended to other assignments/services, which will enhance the quality of services across the firm.
Its important for the Partners to approach the ISQM implementation with a positive mindset and understand its benefits which goes beyond just compliance. Of course, it is a team exercise, not just limited to Management.
So the Partners should conduct sessions and make team aware about the positive implications of the quality management. The more excited team will be about this and if they are able to relate to the benefits, the more efficiently and effectively, quality management can be implemented and monitored in the firm.
ISQM is more than a compliance exercise: done well, it pays back the time and resources a firm puts into it. A visible culture of quality builds the firm’s reputation, which helps client continuity and better negotiations. Better documentation and a standard, risk-based methodology cut over-auditing, save man-hours and improve recoverability and profit. Partners should lead with a positive mindset and bring the whole team on board, because quality management works best when everyone understands its benefits.
