The term audit is defined as the actual review, assessment and stipulation of a declaration of an appointed auditor, on the financial statements of a given economic firm, without fear or favor. An audits main objective is to ensure the auditor honestly declares his opinion on the monetary records there are, to the precise economic situation of the company in real sense. They can either confirm or deny. There is IT auditing that involves investigating transactions done using computers.
Therefore, an Information Technology audit can be defined as the evaluation, assessment and review of the technological infrastructure, operations and specific policies of a company. These audits are of paramount importance, since they ensure the protection of corporate assets, as well as ensuring the integrity of data is upheld. In addition, they aid oversee the attainment of the company key goals and objectives. Tasked with the responsibility of monitoring the security controls, an auditor is also obligated to strictly examine the general business and monetary controls that involve the use of IT systems.
These IT audits are of great significance especially in companies of the currents era which are broadly automated by computers. This is because they make sure controls that are related to information run perfectly smooth. They also play a significant role in foreseeing uncertainties and risks to information assets of a given company, and consequently in the discovery of tactics that should be employed in a bid to avoid the menaces in question from happening. They also help in securing the companys management systems, by withholding its information standards, regulations and policies.
With the incorporation of a multiple number of internal and external stakeholders, the auditing process is a bit concrete. In the recent past, majority of organizations and firms ensure random internal IT control tests, with an effort of enhancing security, dependability, and continuity of the entire system infrastructure.
In the planning of an IT audit, two major steps are undertaken that is gathering of information and gaining an understanding. Information is first gathered, paving way for planning now to be executed thereon. Consequently, a comprehensive detail of the current inbuilt structure is acquired. Of late, there has been an immense upsurge in the number of organizations that prefer an audit approach that is based on determination of risks. The increase has been attributed to the appealing fact that risks can be easily reviewed, determined and reduced.
IT auditors using the risk based approach rely on operational and internal controls, alongside the company knowledge. This form of risk evaluation decision helps relate the economic benefit of the control, to the foreseen risk. While gathering information, major factors that need to be considered by auditor are the previous year audit results, updated financial information, risk assessment, and their knowledge of the industry and business.
Key factors that the IT auditor should keenly consider when undertaking the gaining an understanding step are control formula, detection of risk evaluation, control risk evaluation and equating total risk, among others. Once gathering of information has been completed, and control adequately comprehended, then the next step of planning and selecting specific areas of carrying out audits can commence, thereon.
The key aim of such audit is ensuring that internal controls are actually in existence, and also help in curbing business risks and uncertainties. According to City Sydney, IT audits have been proved to be of productive value to economic entities and other institutions dealing in technology.
Therefore, an Information Technology audit can be defined as the evaluation, assessment and review of the technological infrastructure, operations and specific policies of a company. These audits are of paramount importance, since they ensure the protection of corporate assets, as well as ensuring the integrity of data is upheld. In addition, they aid oversee the attainment of the company key goals and objectives. Tasked with the responsibility of monitoring the security controls, an auditor is also obligated to strictly examine the general business and monetary controls that involve the use of IT systems.
These IT audits are of great significance especially in companies of the currents era which are broadly automated by computers. This is because they make sure controls that are related to information run perfectly smooth. They also play a significant role in foreseeing uncertainties and risks to information assets of a given company, and consequently in the discovery of tactics that should be employed in a bid to avoid the menaces in question from happening. They also help in securing the companys management systems, by withholding its information standards, regulations and policies.
With the incorporation of a multiple number of internal and external stakeholders, the auditing process is a bit concrete. In the recent past, majority of organizations and firms ensure random internal IT control tests, with an effort of enhancing security, dependability, and continuity of the entire system infrastructure.
In the planning of an IT audit, two major steps are undertaken that is gathering of information and gaining an understanding. Information is first gathered, paving way for planning now to be executed thereon. Consequently, a comprehensive detail of the current inbuilt structure is acquired. Of late, there has been an immense upsurge in the number of organizations that prefer an audit approach that is based on determination of risks. The increase has been attributed to the appealing fact that risks can be easily reviewed, determined and reduced.
IT auditors using the risk based approach rely on operational and internal controls, alongside the company knowledge. This form of risk evaluation decision helps relate the economic benefit of the control, to the foreseen risk. While gathering information, major factors that need to be considered by auditor are the previous year audit results, updated financial information, risk assessment, and their knowledge of the industry and business.
Key factors that the IT auditor should keenly consider when undertaking the gaining an understanding step are control formula, detection of risk evaluation, control risk evaluation and equating total risk, among others. Once gathering of information has been completed, and control adequately comprehended, then the next step of planning and selecting specific areas of carrying out audits can commence, thereon.
The key aim of such audit is ensuring that internal controls are actually in existence, and also help in curbing business risks and uncertainties. According to City Sydney, IT audits have been proved to be of productive value to economic entities and other institutions dealing in technology.
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