Continuous Auditing Purpose

Every methodology begins with a purpose statement. This statement provides

an overview of the document and explains why it has been created. It does

not need to be a couple of paragraphs; more often than not, it is a few

sentences describing why the methodology has been developed and officiall

declaring this process as the methodology to which the company will adhere

for the implementation and maintenance of its specific continuous auditing

program. The aim of the purpose statement is not to convince the reader

that this tool is needed but to explain the formal documentation requirements

of the approach.

Typical continuous auditing program objectives include wording such as

‘‘provide an ongoing validation of the effectiveness of the selected controls’’ or

‘‘determining that key controls over a critical process are in place, established,

and operating as intended.’’

TABLE 3.1

Continuous Auditing Benefits

 Purpose and scope statement

 Objectives & Goals
 Phases:
1. Planning
2. Fieldwork
3. Reporting

Planning:

learn about the

current business operations, challenges, and risks facing the operational

business team every day.