Johnson Global Advisory (“JGA”) is proud to participate in the world-wide Learning at Work Week May 13th-19th. This annual event supports building learning cultures in workplaces. It aims to put a spotlight on the importance and benefits of continual learning and development. JGA actively supports “learning power” (the theme for this year Learning at Work Week) for our external clients and we’ve been working on some exciting opportunities to learn internally through growing, engaging and connecting opportunities as a team as well. Johnson Global is committed to amplifying quality in the profession. For more information about our training services click here.

Updated 5.13.2024 On May 13, 2024 the PCAOB held an Open Board Meeting - PCAOB to Consider Adopting New Standards on General Responsibilities of the Auditor in Conducting an Audit, Quality Control . The PCAOB considered adopting a new auditing standard – AS 1000, General Responsibilities of the Auditor in Conducting an Audit as well as QC 1000, A Firm’s System of Quality Control. JGA provided comments to the PCAOB on the proposed QC 1000 standard. To read our comments please click here . The PCAOB proposed standard QC 1000, A Firm’s System of Quality Control and Other Proposed Amendments to PCAOB Standards, Rules and Forms, is available here . The new standard is available for viewing here .  PCAOB Updates PCAOB Solidifies Foundation of Every Audit With Adoption of New Standard on General Responsibilities of the Auditor PCAOB Adopts New Quality Control Standard With a Risk-Based Approach Designed to Drive Continuous Improvement in Audit Quality

PCAOB Publishes Spotlight Related to Root Cause Analysis In April 2024, the PCAOB released a Spotlight Root Cause Analysis – An Effective Practice to Drive Audit Quality which continues the Board’s goal of sharing its observations from its inspection and remediation activities, but this time related to Root Cause Analysis (RCA). RCA should not be a new concept to audit firms. In 2020, we published RCA: Seems like EVERYBODY is talking about Root Cause Analysis , where we shared the importance of performing an effective RCA to be able to understand what are the underlying causes of deficiencies which occur at your firm. We wanted to highlight a few important aspects coming through in this April 2024 Spotlight. The Spotlight rightly stated that RCA should be a multifaceted approach . There are a number of different tools, techniques, processes, and philosophies that firms can undertake to perform a RCA. In addition, there may not always only be one factor that is causing a deficiency – it could be a variety of factors such as lack of technical competence, failure of resource allocation at firm level, etc. The Spotlight also identified characteristics of a well-designed RCA process , which are important to highlight as follows: Have a dedicated team with RCA experience perform the RCA as they are more objective and have the requisite background. In helping our clients with RCA, we find by bringing in our objectivity, our PCAOB standards experience coupled with our RCA experience, engagement teams are more willing to be open and honest with their opinions of where they see potential root causes that resulted in deficiencies. Firms use a variety of methods and techniques to gather data which include review of workpapers, interviews with engagement teams immediately after the deficiencies are identified, and review of engagement metrics. All this information combined paints an informative picture of what caused the deficiencies. Firms should not only focus on looking at engagements that had negative quality outcomes, but also focus on looking at engagements which had positive outcomes arising from inspections or the firm’s internal monitoring. By identifying what worked well with some engagement teams, firms can then use that information to drive change with other engagement teams. Lastly, firms should be aware that the task of identifying root causes and implementing a new action to remediate this deficiency does not mean that the job is done. Firms should monitor these remedial actions to determine whether the actions that they undertook are in fact solving the problem. In conclusion, there is no time like the present to strengthen your RCA process . Remediating deficiencies (by providing training, developing new tools and templates, changing processes, etc.) is a time consuming and costly undertaking…you want to make sure that the action you are investing in, is actually going to remedy the problem. In addition, the PCAOB’s standard setting agenda includes a proposal for the new quality control standard that, if adopted, would require firms to perform RCA of its control deficiencies. Our recommendation is to start implementing your RCA process now so that you can refine and modify your RCA process.

Johnson Global is proud to sponsor My Sister's Place (MSP) 45th Anniversary Celebration on May 15, 2024 in Washington, D.C. MSP has been providing services to the D . C . community to empower survivors of domestic violence and their children, while fostering leadership and education to build a supportive community. MSP's experienced team provides training, case consultation, and advocacy to engage communities to prevent violence and abuse. Click here for more details.

Johnson Global Advisory (“JGA”) is pleased to sponsor the American Law Institute Continuing Legal Education’s two-day event live in Washington, D.C. and virtually online on May 16th and 17th. Join us and gain insights and perspectives on wide range of hot-button issues. The 2024 conference promises to be better than ever. Hear the latest, engage with colleagues, and stay current in your field. This year’s program is still being finalized but planned topics include: Accounting litigation trends New and proposed accounting standards Artificial intelligence in the accounting profession Quality controls and other emerging regulatory issues ESG/climate accounting Strategic considerations in regulatory investigations Beyond the Big Four SEC perspectives PCAOB inspection program Register today at use the code " JOHNSON " to save $250. Click here to register. About Johnson Global Johnson Global partners with leadership of public accounting firms, driving change to achieve the highest level of audit quality. Led by former PCAOB and SEC staff, JGA professionals are passionate and practical in their support to firms in their audit quality journey. We accelerate the opportunities to improve quality through policies, practices, and controls throughout the firm. This innovative approach harnesses technology to transform audit quality. Our team is designed to maintain a close pulse on regulatory environments around the world and incorporates solutions which navigates those standards. JGA is committed to helping the profession in amplifying quality worldwide.

Replay this informative program hosted by JGA’s Managing Director and Litigation and Investigations Practice Leader, Matthew Rogers. With more than 25 PCAOB enforcement actions relating to failures to timely filing of a Form AP, the cost of non-compliance can be high. Hear insights that will enable practitioners to better understand the Form AP requirements through lessons learned from PCAOB enforcement actions. Also, explore topics that will help foster discussion about practical solutions for enhancing firm quality controls to minimize the risk of compliance failure. To watch the replay or for additional details about this program please visit this link . Learning Objectives: Understand Rule 3211 and the Form AP Filing Requirements Discover what can go wrong and what are the penalties from past PCAOB Enforcement actions related to Rule 3211 and Form AP Apply best practices to reasonably ensure compliance with Rule 3211 and Form AP After registering you will receive a confirmation email containing information about watching the webcast. About Johnson Global Johnson Global partners with leadership of public accounting firms, driving change to achieve the highest level of audit quality. Led by former PCAOB and SEC staff, JGA professionals are passionate and practical in their support to firms in their audit quality journey. We accelerate the opportunities to improve quality through policies, practices, and controls throughout the firm. This innovative approach harnesses technology to transform audit quality. Our team is designed to maintain a close pulse on regulatory environments around the world and incorporates solutions which navigates those standards. JGA is committed to helping the profession in amplifying quality worldwide.

Johnson Global is pleased to announce that Joe Lynch, JGA Managing Director will speak at the AICPA® & CIMA® ENGAGE 24 Conference on June 3–6, 2024, at the ARIA Resort & Casino in Las Vegas, NV and live online. This CPE-eligible event is one of the largest annual gatherings of standards setters, regulators, and accounting professionals to discuss the year’s biggest accounting, auditing, and regulatory developments. Joe will speak during the following sessions: NAA2404. Quality Management for Sole Practitioners and Small Firms NAA24101. Quality Management: Path to Implementation Register today and use the code ENG24 to save $150 at checkout*. *This offer can only be combined with section and credential discounts. It cannot be combined with any other discounts or incentives, not valid on previous purchases. Not valid on group discounts. About Johnson Global Johnson Global partners with leadership of public accounting firms, driving change to achieve the highest level of audit quality. Led by former PCAOB and SEC staff, JGA professionals are passionate and practical in their support to firms in their audit quality journey. We accelerate the opportunities to improve quality through policies, practices, and controls throughout the firm. This innovative approach harnesses technology to transform audit quality. Our team is designed to maintain a close pulse on regulatory environments around the world and incorporates solutions which navigates those standards. JGA is committed to helping the profession in amplifying quality worldwide.

Washington, D.C. : Johnson Global Accountancy (“JGA”) is excited to announce our plans to open a new office in the District of Columbia region this year. The new location is slated to be in beautiful downtown D.C., two blocks northwest of the White House. This planned expansion comes at a time when JGA is growing rapidly. With pressure from increased audit regulation and market dynamics, public accounting firms are seeking advice on audit quality issues. “Our new location will provide us with a new home to further engage with stakeholders worldwide, who are committed to audit quality and investor protection,” says Santina Rocca, JGA Managing Director. “I am thrilled to continue planning of a gathering place for our growing DC-based team of directors and managing directors to work together to advise audit firms on actions to transform their practices to meet audit quality initiatives. We look forward to engaging with our clients and stakeholders in the nation’s Capital!” JGA has continued to serve clients and is passionate and practical in supporting firms through their audit quality journey. “Having a place to call home in D.C. allows JGA to further its mission to be the most innovative and technically excellent advisory firm at the intersection of companies, auditors, and regulators, that improves investor decision-making confidence. I look forward to welcoming our JGA staff, clients, colleagues, and other key stakeholders in the audit quality ecosystem to our new office,” says Jackson Johnson, JGA President. About Johnson Global Accountancy Johnson Global partners with leadership of public accounting firms, driving change to achieve the highest level of audit quality. Led by former PCAOB and SEC staff, JGA professionals are passionate and practical in their support to firms in their audit quality journey. We accelerate the opportunities to improve quality through policies, practices, and controls throughout the firm. This innovative approach harnesses technology to transform audit quality. Our team is designed to maintain a close pulse on regulatory environments around the world and incorporates solutions which navigate those standards. JGA is committed to helping the profession in amplifying quality worldwide.