September 1, 2011

Benefits of the re-engineered process

Benefits of the re-engineered process:

The re-engineered process benefits an internal auditor in the following manner:-
1) Organized collection of data:- Use of audit logs ensures the auditor that the track of all the required transactions are made in an organized manner this reduces the time that the auditor will take in collecting data from the original source. Moreover the cost incurred will be less. The data collected will be more authentic as no manipulation can be made by any person to the data which is stored in the audit log since it can be retrieved only by the auditor

2) Reduction in time for completion of audit:- Timely and accurate data ensures that the audit is completed within the specified time limit, moreover frequent interaction with the external auditor ensures that corrective measures in the audit plan is made regularly.

3) Cost effective:- The auditor need not maintain separate files for all the working papers and audit trials since these will be there in the computer.

4) Timely detection of mistakes and frauds:- The mistakes or frauds committed by the employees can be detected at an early stage thus correction at the earlier stage is possible.

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