Audit partner achievement drive and audit quality

Abstract

In this study, we examine how achievement-related tendencies are expressed in the professional auditing context, particularly through the interplay between the CEO and the audit partner. We use the facial width-to-height ratio (fWHR), a stable morphological trait widely applied in prior research, as a proxy for achievement drive. Using a sample of US audit partners from 2016 to 2019, we find that higher achievement drive is associated with enhanced audit quality, evidenced by fewer restatements and lower abnormal accruals. Auditors with higher achievement drive are also more likely to become industry experts, attain leadership positions, and achieve partnership status more quickly. Importantly, we find that high-achievement-drive audit partners are more inclined to assert dominance in negotiations, particularly when working with equally driven CEOs, leading to improved audit quality. Overall, our findings suggest that, when activated in auditing contexts, achievement-oriented tendencies, as proxied by fWHR, are linked to higher audit quality.