Good Auditing Practices
It is imperative to manage accounting information for the business. Without proper financial tracking, it can become impossible to know the expenditures and profits to rectify the economic failures further. However, auditing is needed to check the financial data and ensure that the applicable financial reporting framework is followed. There is little scope of accounting mistakes, when the stakes are high, especially in a large enterprise.
But what are good auditing practices? Let us shed some light!
Establish Standards, Policies, and Quality Control
While verbal communication is fast and efficient, do not underestimate the power of written guidelines. It provides clarity, accountability, and consistency. Penning down set policies gives way to conduct robust quality control in every audit assignment and is also great for peer review purposes. Ensure that your internal procedures are in tune with ICAI’s Standards of Auditing.
Developing policies are in vain if the staff has not been trained to follow them or made aware. Dedicate specialized drills and time to thoroughly train them to prepare for every situation that can be encountered in an audit. It will help you establish consistency in providing quality services.
Curating a checklist ensures that the audit members know what exactly to do and how to do it. There will not be any deviations or waste of resources as the staff will learn precisely how to perform their tasks.
Staff tend to slack off if you are not strict enough, no matter how dedicated they are. You need to consistently reinforce how important the policies are and have stringent measures for the people who don’t follow. Periodic training is an excellent way to revisit the policies.
Aim to get better
Audits are not just about the inspection or fulfilling compliances. At the core of the activity, auditors are giving reasonable assurance to stakeholders that an entity’s financials are true and fair and are without fraud or error. After wrapping up an assignment, always evaluate the hardships faced and how things can be done better in the next project.
Tracking everything manually can get tedious, though. With the genius technological innovations, automation in auditing has paved the way for faster and more accurate workings. If you are considering trying a software for auditing, our recommendation is to try myAUDIT.
The design has been created, keeping in mind stakeholders’ real requirements. It also provides a proper tracking mechanism, a user-friendly dashboard, UI for maintaining client list, budget allocation, assigning tasks, invoicing and peer reviews. With rave reviews, it is quickly becoming professionals’ number one choice!