1. Business Technology Trends Technology WWW : –Intranet, Extranet –E-Commerce Infrastructure –On-line payment, billing, account management, etc. –Customer Relationship Mgmt (CRM) Wireless/Mobile –Infrastructure and Applications Application Integration Management Availability –Business Continuity –Disaster Recovery Security –Safeguarding –Confidentiality, Privacy Cost Containment “Sourcing” Management

2. Professional Developments Spin off of IT consulting services Consolidation around IT risk management and security/privacy Harmonization of IT assurance services –WebTrust –SysTrust Numerous Business/ IT certificates striving for recognition Development of Acc/ IT interest groups: Au, UK, US, Cda AICPA “CITP” ISACA/Gartner alliance around IT governance

3. AICPA Top Technologies 2001

4. Technology Issues Based on CICA/AICPA committees/TFs Secure Electronic Commerce, Info Security and Control, Internet, Internet payment systems, Privacy, Electronic Evidence, Disaster Recovery, Enterprise Systems, Year 2000 and Training were the significant issues

5. Secure Electronic Commerce Connection is an issue Firewalls and security need to be strong Hardware and software issues

6. Information Security and Control Security is critical especially now with complex systems We need to be able to audit and assess

7. Internet Kids can use it more effectively than we can Great opportunities for clients and us

8. Electronic Money/Inet Payment Systems Required on the web Digital cash presents new challenges including taxation and impact on monetary policies as ability for country to control inflows/outflows is diminished

9. Privacy Biggest issue worldwide on WWW Countries are legislating Great consulting/assurance opportunity

10. Electronic Evidence Use of paper in audit declining How do you authenticate evidence How do you authenticate working papers? What is permissible? No court decisions yet

11. Enterprise Resource Systems ERS SAP, Peoplesoft, JD Edwards becoming standard for large Moving to medium Complex Complex audit challenges

12. Disaster Recovery Plan is paramount 55% do not have one in place need to look at all business aspects New focus came with Y2K

13. Training and competency Need training current CAS and CPAs need technology training technology is more than Microsoft Office

14. Specialization Knowledge Areas CISA IS Auditing Management of IS Accounting Information Systems –Introduction to Computers –Computer Programming –Data Base Management Systems –Computer-based Communication Networks Systems Analysis and Design CITP Business IT Strategic Planning IS Management Enterprise IT Architecture System Reliability Business Process Enablement Systems Development/Acquisition and Project Management