MERGING CONTINUOUS AUDITING AND DIGITAL TWIN IN TELECOMMUNICATION ENTERPRISES WITHIN THE CONTEXT OF AZERBAIJAN
DOI:
https://doi.org/10.35774/jee2025.03.374Keywords:
Azerbaijan case study, communication enterprises, continuous auditing, digital transformation, digital twin.Abstract
This article explores the conceptual and practical integration of two interrelated digital technologies – digital twin and continuous auditing – within the governance and operational systems of communication enterprises. In the era of pervasive digitalization, telecommunications organizations operate in complex, dataintensive environments that require real-time decision-making and continuous risk management. The digital twin is examined as a virtual representation of a communication enterprise’s technical and service infrastructure, enabling real-time modeling, monitoring, and predictive optimization of network processes and resources. In parallel, continuous auditing is analyzed as a digital assurance mechanism that performs ongoing, automated evaluation of financial, operational, and technical activities across the enterprise. Methodologically, the research is based on a synthesis of theoretical and comparative analysis, interpretive evaluation of secondary data drawn from enterprise reports, policy documents, and sectoral strategies. The article argues that their integration creates a closed-loop system where digital twins simulate and forecast enterprise performance, and continuous auditing validates and controls these digital processes. Using the case of Azerbaijan’s telecommunications sector, including Aztelekom LLC, Bakcell LLC, and Azercosmos, the research assesses the current state of technological readiness, identifies institutional and legal barriers, and outlines strategic pathways for implementation. By combining comparative analysis of EU best practices with an evaluation of the national «Digital Azerbaijan» strategy, the study demonstrates that the convergence of digital twin and continuous auditing can significantly improve efficiency, sustainability, and competitiveness in communication enterprises, marking a new stage in the country’s digital transformation.
JEL: M15; M41.
References
Abuhassan, K., McElhone, D., & Cassey, B. (2024, October). The role of digital twins in driving sustainability. Open Access Government, 44(1), 90–91. https://doi.org/10.56367/OAG-044-11453
Ahmed, F. (2024, October). Big data and AI revolution in audit: Investigating the shift in methodologies and outcomes. Western Illinois University. ResearchGate. https://doi.org/10.13140/RG.2.2.36400.16646
Altair. (2022). 2022 digital twin global survey report. https://altair.com/docs/default-source/pdfs/altair_dt-global-survey-report_web.pdf.
Attaran, M., & Celik, B. G. (2023). Digital twin: Benefits, use cases, challenges, and opportunities. Decision Analytics Journal, 6, 100165. https://doi.org/10.1016/j.dajour.2023.100165
AzInTelecom. (n.d.). Documents and reports. https://azintelecom.az/en/documents.
Aztelekom. (n.d.). Annual report. https://aztelekom.az/en/menu/125-annual-report.
Fang, Q., Wang, Z., & Dang, L. (2025). Audit effort in the digital era: Uncovering the dynamic interplay of business strategy and digital transformation. International Journal of Accounting Information Systems, 56, 100747. https://doi.org/10.1016/j.accinf.2025.100747
Freedom House. (2024). Freedom on the net 2024: Azerbaijan. https://freedomhouse.org/country/azerbaijan/freedom-net/2024.
Grieves, M. (2022). Intelligent digital twins and the development and management of complex systems. Digital Twin, 1(1). https://doi.org/10.12688/digitaltwin.17574.1
Grieves, M., & Vickers, J. (2017). Digital twin: Mitigating unpredictable, undesirable emergent behavior in complex systems. In J. Kahlen, S. Flumerfelt, & A. Alves (Eds.), Transdisciplinary perspectives on complex systems(pp. 85–113). Springer. https://doi.org/10.1007/978-3-319-38756-7_4
Kaur, M. J., Mishra, V. P., & Maheshwari, P. (2020). The convergence of digital twin, IoT, and machine learning: Transforming data into action. In M. Farsi, A. Daneshkhah, A. Hosseinian-Far, & H. Jahankhani (Eds.), Digital twin technologies and smart cities (pp. 3–25). Springer. https://doi.org/10.1007/978-3-030-18732-3_1
Kokina, J., & Davenport, T. H. (2017). The emergence of artificial intelligence: How automation is changing auditing. Journal of Emerging Technologies in Accounting, 14(1), 115–122. https://doi.org/10.2308/jeta-51730
Liu, X., Jiang, D., Tao, B., Xiang, F., Jiang, G., Sun, Y., Kong, J., & Li, G. (2023). A systematic review of digital twin about physical entities, virtual models, twin data, and applications. Advanced Engineering Informatics, 55, 101876. https://doi.org/10.1016/j.aei.2023.101876
Ogewell, V. (2018, January 4). Digital twins: Beware of naive faith in simplicity. Engineering.com. https://www.engineering.com/digital-twins-beware-of-naivefaith-in-simplicity.
Organisation for Economic Co-operation and Development (OECD). (2022). Promoting enterprise digitalisation in Azerbaijan. OECD Publishing. https://www.oecd.org/content/dam/oecd/en/publications/reports/2022/04/promoting-enterprise-digitalisation-in-azerbaijan_6187d4fa/6a612a2a-en.pdf.
Porter, G., Vickers, J., Savoie, R., & Aubanel, M. (2024). NASA’s Michoud Assembly Facility: Developing a factory digital twin. In M. Grieves & E. Y. Hua (Eds.), Digital twins, simulation, and the metaverse (pp. 145–162). Springer. https://doi.org/10.1007/978-3-031-69107-2_8
PricewaterhouseCoopers (PwC). (2020). Digitalisation in finance and accounting. https://www.pwccn.com/en/audit-assurance/publication/digitalisation-financeaccounting-covid19-jul2020.pdf.
Rezaee, Z., Sharbatoghlie, A., Elam, R., & McMickle, P. L. (2002). Continuous auditing: Building automated auditing capability. Auditing: A Journal of Practice & Theory, 21(1), 147–163. https://doi.org/10.2308/aud.2002.21.1.147
World Economic Forum. (2022). Global risks report 2022. https://www.weforum.org/publications/global-risks-report-2022.
Received: August 1, 2025.
Reviewed: August 19, 2025.
Accepted: September 25, 2025.
Downloads
Published
How to Cite
Issue
Section
License
Authors who publish with this journal agree to the following terms:
- Authors retain copyright and grant the journal right of first publication with the work simultaneously licensed under a Creative Commons Attribution License that allows others to share the work with an acknowledgement of the work's authorship and initial publication in this journal.
- Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the journal's published version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgement of its initial publication in this journal.
- Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work (See The Effect of Open Access).
