Internal Audit Experience The core three steps of auditing in an unfamiliar field!

Mondo Sports Updated on 2024-02-03

February**Dynamic Incentive Plan Internal Audit Experience - RightUnfamiliar territoryreviewcount, the core of the three-step processID: Internal auditor's practice and actual combat

For those who are familiar with the business, auditors can adopt the audit procedures that they think are the most effective according to their personal habits and strengths!

Chicks don't pee, each has its own way!

However, for unfamiliar fields and new business audit work, no matter how powerful the internal auditor is, he cannot play willfully, unless he does not want to achieve results.

If you want to get results, you have to follow the "three-step process".

Step 1: Read the rules and regulations

Regardless of the audit, business standards are always the first element: laws, regulations, institutional processes, business practices, etc.

Among them, the most practical and convenient way to obtain the standard is: the system process of the audited business!

For laws and regulations, corporate practices, or boss preferences and attitudes, etc., it is necessary to explore for a long time, and it is impossible to fully understand after the audit is established.

There are only rules and regulations, which can be polished!

For new business, the first thing to look at is the system, including: organizational structure, job responsibilities, business processes, red line regulations, reward and punishment standards, etc.

Step 2: Interview

1.It is advisable to be thorough in the interviewee

The first is the leadership of the business under review, including the level of the CEO and the head of the department.

The main interview contents: description of the business, perception of risks, understanding of management issues, etc.

The second is the executive level, including front-line management personnel and specific business personnel.

Interview them about their understanding of the business, understand what the actual operation is like, understand the problems existing in the actual operation, and so on.

The third is to interview knowledgeable experts, with a focus on third-party experts who are independent of the business.

For example, quality inspectors, operation supervision and other experts in professional fields to obtain objective evaluation of unfamiliar business, as well as risks, control weaknesses, etc.

2.Interviews are not only for the purpose of communicating feelings, but mainly for the purpose of restoring business

Through interviews, we can get an overall understanding of the business, build a business framework, and see the actual business and the real situation.

It's all built on: what the actual business looks like.

Then, combined with the criteria in the first step, and the expert's view of risk and management issues, the risk points are identified to build a specific audit process.

Step 3: Historical Experience: Experience of auditors and business personnel

1.Gain audit experience from others

Including former auditors, as well as external auditors, look at their audit cases, audit reports, audit working papers.

The core is historical audit findings, audit recommendations, and audit ideas.

If you can, you can ask them for advice in person!

2.Historical lessons from the business side

In an unfamiliar field, although your eyes are black, the business people know it, even if they don't tell you directly, the business traces can still reflect some problems.

Such as: quality accidents, management problems, major meeting minutes, various reports, etc.

You can obtain it through the public information on the company's platform, or from the human resources, operations and other departments.

The problems of the past are not only the concerns of the upper leaders, but also the places where audit results are easy to appear.

Conclusion

If you have mastered the standard, how to look at the standard? How to communicate and talk? How to use other people's experience? Then the audit results you issued must be much better.

This three-step method is the best and necessary step to deal with unfamiliar territory!

No matter how clever the auditors are, most of the audit methods or skills they use are ordinary, just like "high-end ingredients often use the most simple cooking methods"!

Dear, pay more attention**!

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