Technology Quality Management Non-Authoritative Guides
The AASB supports the International Auditing and Assurance Standards Board’s (IAASB) Technology Quality Management (QM) initiative and is pleased to share the IAASB’s guide series Applying the IAASB’s Quality Management Standards to AI-Enabled Technological Tools. The guides are non-authoritative resources for firms and practitioners in Canada.
Why This Guidance Matters
The guide series supports the consistent and effective application of International Standard on Quality Management (ISQM) 1 and International Standard on Auditing (ISA) 220 when AI-enabled technological tools are used in the design and performance of engagement procedures to obtain evidence.
Although the quality management standards are principles-based and technology-neutral, interested and affected parties in Canada and globally have identified a need for timely, practical guidance. The guides aim to support more consistent application of the standards when emerging technologies are used.
Relevance in Canada
The guide series supports the application of the IAASB’s quality management standards, which have been adopted in Canada as:
- Canadian Standard on Quality Management (CSQM) 1, Quality Management for Firms that Perform Audits or Reviews of Financial Statements, or Other Assurance or Related Services Engagements; and
- Canadian Auditing Standard (CAS) 220, Quality Management for an Audit of Financial Statements.
The guide series addresses challenges identified through Canadian outreach. These challenges were echoed internationally, making the IAASB’s guidance well suited to address issues faced by Canadian firms and practitioners.
The AASB is paying particular attention to scalability and proportionality in applying the guidance, a key theme raised through Canadian outreach. Canada’s assurance environment includes firms of different sizes and levels of technological maturity, so the guidance needs to be practical and applicable across a range of circumstances.
The AASB also recognizes the significant work the IAASB has undertaken to develop the guides, including robust oversight by the IAASB and input from a diverse expert group. This process supports guidance that is practical, high quality, and globally informed.
What Topics Does the Guidance Cover?
The guide series covers the following topics:
- Introduction to the Guide Series
- Guide 1: Common Conceptual Foundation
- Guide 2: Firm-Level Quality Management Before Deployment
- Guide 3: Engagement-level use and oversight*
- Guide 4: Post-deployment monitoring and change, and decommissioning*
*Titles subject to change
Looking Ahead
The IAASB will release the Technology QM guides on a rolling basis, with the final guide expected by mid-2027.
The AASB will continue to monitor the IAASB’s work, as well as implementation experience and feedback from Canadian firms and practitioners. As the additional guides become available, the AASB expects to share them as resources for use in Canada.
Guides Available on the IAASB Website
The IAASB will publish the guides on its website as they become available. The following publications are currently available:
- Introduction to the Guide Series
- Guide 1: Common Conceptual Foundation
*The French translations of the Introduction to the Guide Series and Guide 1 will be available soon.
Note: The AASB has not modified the IAASB’s guides.
Keep the Conversation Going
Have questions or comments about the guides? Connect with us by emailing Jasmine Saini.