Four Key Steps for Successful Audit Management

Increasing complexity in the regulatory environment is driving organizations to seek a holistic and highly integrated approach to manage the entire life cycle of their audit management processes. Try applying the following four key steps for success in Audit Management at your organization:

Step One: Audit Planning and Preparation

Audit planning involves creating an audit plan which enlists all audits to be conducted over the year, outlines the scope of each audit, and identifies the person(s) responsible to conduct the audit. Audit preparation involves training personnel and ensuring availability of records and documents for the audit.

Step Two: Audit Execution and Fieldwork

Fieldwork entails gathering and analyzing data and information, primarily for assessing if internal controls of the organization are functioning as required. Execution usually involves interviewing organizational personnel, examining documents, collecting data etc. to develop audit findings.

Step Three: Audit Reporting and Review

An audit report is a compilation of audit findings and recommendations put forth by auditors. This report is sent for review by the management (especially internal audit reports). Audit reports may include a letter from the management enlisting failings in internal controls and corresponding recommendations.

Step Four: Corrective and Preventive Action

Based on the recommendations from auditors and management, corrective and preventive actions need to be executed. Corrective actions rectify the failings/deficiencies that became evident through the audit, while preventive actions work towards eliminating factors that may cause errors and failings in the future.

Predict360’s Audit Management System is an artificial intelligence (AI) enabled web based solution that provides end-to-end functionality for managing complete audit life-cycle including audit planning, checklists, field data collection, development of audit reports and corrective and preventive action recommendations. It is based on the Institute of Internal Auditors (IIA) standards.

About the company

360factors, Inc. (Austin, TX) helps companies improve business performance by reducing risk and ensuring compliance. Predict360, its flagship software product, vertically integrates regulations and requirements, policies and procedures management, risks and controls, audit management and inspections, and on-line training and qualifications, in a single cloud-based platform based on artificial intelligence.

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