Designing and implementing a continuous audit program may be on your organization’s to-do list. Here are some points to consider to ensure that such a program meets your needs, provides value to the organization and can be sustained successfully into the future:
- Determine the desired outcomes of the program while considering what objectives the program is being designed to achieve
- Evaluate the skill sets and staffing needs to execute the program
- Determine data requirements of the audit population
- Define samples to be extracted and tested
- Consider testing 100% of identified high-risk cross-sections of the population
- Consider testing all transactions that meet a certain dollar value or volume for a particular type of transaction
- Create a means of tracking, reporting and monitoring identified exceptions or opportunities for improvement
Once you have defined the preliminary objectives and approach, it is time to implement the program. The procedures for such a program will most likely be tailored month to month (or other appropriate frequency) as procedures are executed, results are evaluated and as the volume and characteristics of activity change.
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