Continuous Auditing: Execution Phase
In this chapter, we identify and discuss the final phase of the continuous auditing model as well as the keys to performing the testing in accordance with the methodology to obtain maximum value of the testing results. In addition, we explain the three key component development factors that comprise the execution phase to validate that the information compiled during the foundation and approach phases is accurately translated to the continuous auditing testing approach. The three components to be discussed include performance, exception identification, and summarizing results.
When the continuous auditing methodology was being developed, it contained only two phases: the foundation and the approach. However, upon implementing the methodology, it became clear that there were nuances in the performance of the customized audit methodology that would require strict adherence to ensure that the continuous auditing programs would deliver the value-added benefits for which it had been designed. Although performance may seem like a commonsense concept, it is here where deviation from the established guidelines and approach will impact the efficiency and effectiveness of the continuous auditing methodology. The specific requirements of the foundation and approach phases set the stage for the detailed execution phase to be performed in accordance with the developed guidelines and frequency. Both the guidelines and ...