Study

Objectives and Types of Operational Audit

  •   0%
  •  0     0     0

  • Keep information secure, and protect confidential or sensitive information.
    Confidentiality
  • Focus on the review and assessment of single or multiple business processes
    Operational Audits
  • Bailiwick of external auditors
    Financial statement auditing
  • Investigate overall infrastructure and networks, technical operations, data center operation, project management, and review security status and procedures
    Information System (IT) Audits
  • Objectives can vary depending on (identify 2)
    Type of organization and key performance indicators
  • Conducted to understand causes and additional background information and research
    Investigative Audits
  • Inefficiencies, waste, rework, or complaints from customers and vendors that may trigger management involvement.
    Poor performance
  • Focus on financial controls as they relate to reporting to internal and external governing bodies
    Financial Audits or Review
  • Could include management reports, organizational structure and the assignment of responsibility and accountabilities.
    Infrastructure
  • The result of internal quality control initiatives that identify anomalies.
    Compliance issues
  • An audit holds both an external situation analysis and a thorough review of internal marketing goals, strategies, capabilities, processes, and systems.
    Marketing Audits
  • It is a standard practice to follow up and evaluate corrective actions, usually within a six month period.
    Follow-Up Audits
  • What is the first step in operational audits?
    Establishing the objectives of the audit
  • Complement the work of operational audits, which includes some form of budget, or a financial review
    Internal audits
  • Depend on a fact-based approach to reach reliable conclusions.
    Evidence-Based
  • Present all results fairly and report significant concerns.
    Fair Presentation
  • Maintain impartiality and keep actions and reporting bias-free.
    Independence
  • The underlying foundation or basic framework of a system or organization and the resources, such as personnel, buildings, or equipment required for an activity.
    Infrastructure
  • Identify two drivers of the objectives in operational/internal audits.
    New rules, poor performance, compliance issues, and anomalous revenues/expenses
  • Use diligence and reasoned judgments in every situation.
    Professional Due Care
  • Review the level of compliance with external regulatory requirements or internal policies
    Compliance Audits
  • Withstand pressures that may be exerted and take care to comply with any legal requirements.
    Integrity
  • Different departments or divisions may run a periodic analysis to assess the adequacy of controls, how well assets are safeguarded, how resources are used, and if there is compliance with applicable laws.
    Department Reviews
  • Figures in the financials appear dubious.
    Anomalous revenues or expenses