Improving Audit Quality and Business Decision-Making: The Role of Emotional Intelligence and Professional Skepticism in Conjunction with Professional Ethics

Abstract

This study examines the influence of emotional intelligence and professional skepticism on audit quality and business decision-making, while also assessing the moderating role of professional ethics. Using Structural Equation Modeling–Partial Least Squares (SEM-PLS), data were collected from auditors working in Public Accounting Firms (KAP) across South Sulawesi. From an estimated 100 active auditors, respondents were chosen through probability sampling, specifically simple random sampling, to ensure representative findings. The results show that emotional intelligence has a significant and positive impact on both audit quality and business decision-making. Auditors with higher levels of emotional intelligence are better equipped to regulate emotions, address ethical dilemmas, and deliver superior audit outcomes and managerial judgments. In contrast, professional skepticism does not significantly influence either audit quality or decision-making, suggesting that its role may depend on contextual or organizational conditions. Importantly, professional ethics strengthen the relationship between emotional intelligence, professional skepticism, audit quality, and decision-making, highlighting the critical importance of ethics in professional practice. Future research is encouraged to expand the sample size and incorporate diverse methods such as interviews and observations to reduce bias and enrich insights. Further exploration of professional skepticism is also recommended, particularly regarding behavioral consistency and the influence of work environments.