RSM forms audit quality board

Top 10 Firm RSM US today established an Audit Quality Board.

The Audit Quality Board is an advisory body composed of three independent board members — Tracey Golden, Dave Sullivan and Dan Sunderland — who are responsible for evaluating the effectiveness of quality control and system of quality management matters within the firm's assurance practice. The members will also provide advice and recommendations on audit-quality related aspects of the firm.

"Audit quality is essential to ensuring confidence in the capital markets and is at the core of our role as gatekeepers for the public trust," Joel Shamon, RSM's enterprise assurance leader, said in a statement. "Our Audit Quality Board members bring extensive experience in leading audit quality initiatives in the U.S. and globally. As we continue to enhance our services and improve the audit experience for management teams, boards and our people, we look forward to benefiting from their counsel and objective insights."

In 2023, RSM US had a 47% Part I.A deficiency rate, up from 24% in 2022 and 2021, according to an inspection report by the Public Company Accounting Oversight Board. The PCAOB selected 17 audits to review and found eight of those to have deficiencies, primarily relating to the firm's testing of controls and substantive testing of revenue and related accountancy, inventory and long-lived assets.

Photo courtesy of RSM US LLP

"The creation of our Audit Quality Board reinforces our commitment to the principles of integrity, independence, objectivity and excellence that are hallmarks of our profession," Jamie Klenieski, RSM's audit quality and risk management leader, said in a statement. "As we strive for continuous improvement in the effectiveness of our work, the board's guidance and diverse viewpoints will help us ensure we're consistently delivering high quality audits."

Golden is a past chair of the boards of the American Institute of CPAs and the Association of International CPAs. She was an audit partner at Deloitte and previously served as a professional accounting fellow at the Securities and Exchange Commission. 

Sullivan is currently a member of the Public Interest Oversight Board. He was an audit partner at Deloitte, leading global audit and assurance quality, and was a member of the firm's executive committee and board of directors. He has served as a member of the Professional Practice Executive Committee of the Center for Audit Quality, Financial Accounting Standards Advisory Committee of the Financial Accounting Standards Board, Standing Advisory Group of the PCAOB, and the SEC and Financial Reporting Institute's Advisory Councils. Previously, he was a practice fellow at the FASB.

Sunderland is currently a professor of practice in the accounting group at Northeastern University and an advisor on PCAOB QC 1000. He was a partner at Deloitte, where his roles included chief auditor, national professional director, lead audit partner and lead engagement quality partner. He previously held leadership positions with the auditing section of the American Accounting Association and with the CAQ, where he chaired the research advisory board.