Emotions are an important underlying factor that may interact with pressure and other situational variables to influence auditors’ judgments and decisions. This study seeks to identify emotional intelligence (EI) as a key factor in dealing with emotions and pressures in an audit context. In this paper, I focus on how EI may influence the relation between job pressures (i.e., time budget pressure and client incentive pressure) on the auditor’s judgment. Specifically, I investigate the moderating effect of emotional intelligence on auditor judgments when auditors experience both internal and external pressures. The results suggest that the moderating influence of EI on auditor judgments can effectively reduce auditors’ tendency to engage in dysfunctional behavior in order to improve audit quality. Furthermore, there is a positive relation between EI and professional skepticism suggesting that auditors with high EI are more skeptical and assess higher risk than auditors with low EI. Finally, moderation analysis suggests that EI is a significant mechanism which drives the joint effects of different type of pressures on auditor judgments.

Titel: The Art of Balancing: The Auditor’s Integrity and Client Relationships in Focus   Level: Final Assignment for bachelor’s degree in business administration   Author: Danait Bri and Mahir Khan   Supervisor: Fredrik Hartwig   Date: 2024 – May   Aim: The study aims to create an understanding of how accountants balance in negotiation situations between maintaining good relationships with their clients while maintaining their independence and integrity.   Method: In this study, we have used a qualitative method where the data collection took place through semi-structured interviews with five authorized accountants. A deductive approach together with an interpretive perspective has been used in data collection and analysis. A thematic content analysis has been used to answer the purpose of the study.   Results and conclusions: The study shows that a long-term relationship does not lead to emotional involvement with the clients, but to a certain comfort. A higher degree of self-realization and taking an outside perspective helps the accountant resist external pressures. The auditor's independence can be threatened in long-term client relationships or by the prvision of non-audit-related services. Direct negotiations are unusual, instead there are discussions with elements of negotiation.   Contribution of the thesis: The work highlights accountants' challenges in balancing the relationship with clients. The study shows that auditors usually have discussions with elements of negotiation rather than direct negotiations. The study has contributed with a new strategy which involves lowering the clients' expectations from the start to arrive at a reasonably good solution.   Suggestions for further research: In future studies, it may be interesting to examine wheither the clients perceive that there are direct negotiations or discussions with negotiation elements that occur. / Titel: Konsten att balansera: Revisorns integritet och klientrelationer i fokus   Nivå: Examensarbete på grundnivå (kandidatexamen) i ämnet företagsekonomi   Författare: Danait Bri och Mahir Khan   Handledare: Fredrik Hartwig   Datum: 2024 – maj   Syfte: Studien ämnar skapa förståelse för hur revisorer balanserar i förhandlingssituationer mellan att upprätthålla goda relationer med sina klienter samtidigt som de behåller sitt oberoende och sin integritet.    Metod: I denna studie har vi använt en kvalitativ metod där datainsamlingen skett via semistrukturerade intervjuer med fem auktoriserade revisorer. En deduktiv ansats tillsammans med tolkande perspektiv har använts vid datainsamling och analys. En tematisk innehållsanalys har använts för att besvara studiens syfte.   Resultat och slutsats: Studien visar att en långvarig relation inte leder till känslomässig inblandning med klienterna, dock till en viss bekvämlighet. Högre grad av självförverkligande och intagning av utomstående perspektiv hjälper revisorn att motstå externa påtryckningar. Revisorns oberoende kan hotas vid långvariga kundrelationer eller vid tillhandahållandet av icke-revisionsrelaterade tjänster. Direkta förhandlingar är ovanliga, istället är det diskussioner med förhandlingsinslag som förekommer.   Examensarbetets bidrag: Arbetet belyser revisorers utmaningar med att balansera relationen till klienter. Studien visar att revisorer oftast har diskussioner med förhandlingsinslag snarare än direkta förhandlingar. Studien har bidragit med en ny strategi som innebär att sänka klienternas förväntningar från början för att i slutändan kunna komma fram till en rimligt bra lösning.   Förslag till fortsatt forskning: I framtida studier kan det vara intressant att undersöka om klienterna upplever att det är direkta förhandlingar eller diskussioner med förhandlingsinslag som förekommer.

The value of real estate is a fundamental part of the economy as it is used both as a collateral for loans as well as a key basis for a company’s annual reports. Today there are more than three million real estates in Sweden, and the market value of these can not be directly observed but have to rather be based on estimates. Thus, it is critical to attain reliable assessment and hire appraisers before making an investment decision or finalising an annual report. However, depending on the purpose and context of a valuation, the client may posses incentives to influence the outcome of the valuation in some direction. Such impact on the valuation of an asset is referred to as “client pressure,” and may come in various forms; expert pressure, information pressure and reward pressure. Does this have a real impact on market values? According to previous scholarly research, both domestic and international, client pressure is an observable phenomenon but its outcome is difficult to accurately assess. The purpose of this thesis is to provide evidence that supports the existence of client pressure within the commercial real estate market in Stockholm, and to establish a framework that may better understand the outcomes that such skewed valuations may lead to. In order to conduct this study, the authors have carried out a number of personal interviews with authorised appraisals, as well as further research into what can be done to prevent client pressure. The results of this study supports the notion that client pressure, primarily that of expert pressure, can be observed in the commercial real estate market in Stockholm. Moreover, what has been accentuated by the interviewed appraisals though is that such pressures do not affect the valuation outcome and that the discussion may actually provide a more accurate valuation as long as the appraisal manages to stay objective. However, several of the appraisals pointed out that they knew of others that have allowed themselves to be influenced. In order to counteract client pressure an authorization has been established by the organization Samhällsbyggarna - a development which has received great support by a large group of appraisals. Ultimately, the research in this study concludes that the best way to counteract client pressure is through knowledge, and our findings lead to the belief that experienced appraisals are willing to help less experienced ones if they are exposed to client pressure. / Värdet på fastigheter är en samhällsangelägenhet och gäller som bland annat säkerhet för lån och underlag för bolags årsresultat. I Sverige finns drygt tre miljoner fastigheter och marknadsvärdet på dessa är ingenting som kan observeras, bara bedömas. Därför har man behov av tillförlitliga bedömningar och anlitar värderingsmän inför såväl investeringsbeslut som årsredovisningar. Vad det bedömda värdet på fastigheten ska användas till kan ge incitament för kunden till att vilja påverka det åt något håll. Beroende på olika egenskaper hos kunden kan försök till att påverka värdet yttra sig i olika former utav press; expertpress, informationspress samt belöningspress. Kan det påverka bedömningen av marknadsvärdet? Pressen finns enligt tidigare forskning, det har undersökts både nationellt och internationellt, men konsekvenserna är svåra att avgöra. Studien i den här uppsatsen har fokuserats på att undersöka om press finns på Stockholmsmarknaden för kommersiella fastigheter och i vilken form den i så fall förekommer. För att ta reda på resultaten har ett antal intervjuer gjorts med aktiva värderare och det har också undersökts vad man i så fall gör för att motverka pressen. Det som kunnat konstateras är att kundpress finns och främst i form av expertpress. Värderarna menar dock att det inte påverkar deras egna bedömningar och att det till och med i vissa fall kan vara nyttigt att få en diskussion med kunden om de använda värdena så länge man fortsatt är objektiv. Flertalet har dock meddelat att de vet om fall där en värderare låtit sig påverkas. För att motverka kundpress finns auktorisering från organisationen Samhällsbyggarna och en stor del av värderarna tycker att det är ett bra stöd. Man motverkar även press med kunskap, erfarna värderare kan gå in och hjälpa de mer oerfarna med argument om man blir utsatt för press.

The middle manager situation is sometimes squeezed between requirements from different parties at the same time as they are crucial for the development of the organization. Masters, chief engineers and managers in the catering department onboard are middle managers squeezed between the office requirements and the working conditions of their crew. The purpose of this study was to look into the middle managers conditions with focus on the work for good working environment onboard ships in the commercial shipping industry. A study was made consisting of two main parts, first a literature review and secondly focus group interviews. The literature review looked for findings about the middle managers work for occupational health and safety, which were mostly about industries and organisations ashore. These findings were tested in the focus groups in order to find out if they applied also for the commercial shipping industry and if there are any special things to consider there. The focus group members were of both genders, from different management positions and companies within the Swedish commercial shipping industry. So what recommendations can be made in order to improve the middle managers work for a good working environment or occupational health and safety (OHS)? Recommendations are given about competence, staff engagement, policies, shared leadership and administrative workload. Three findings are suggested for further research, shared leadership, administrative workload and client pressure. It is interesting that the type of shared leadership that are found onboard seems to be rather unique for the commercial shipping industry.