Information System Audit
IS audit is the process of evaluating the quality of IT infrastructure and the whole business entity. The process involves the analysis of business information systems operations, assets, and accounts to preserve integrity, competency, and efficiency. IS audit process enhancing the organization’s security standards and guarantees data protection competency.
People confuse IS audit with account audit, unlike the account audit, the IS audit evaluates the whole controls of the business entity including the accounting audit. The Information system audit is related to Information technology to find the dangers and vulnerabilities to analyze the availability, confidentiality, and integrity of a business.
What is the purpose of conducting an Information system audit?
With an Information system audit, an organization can determine the risks associated with IT assets and implement control to reduce risks. Usually, an IT audit is conducted in a “specific control review” to analyze the privacy, accessibility, and reliability.
Apart from it, IS audit also analyzes the financial and organizational factors of the company. The auditors check the whole financial system and statements. The approach is created based on the ISACA standards and guidelines requirement.
How is Information System Audit carried out?
An information system audit process consists of four phases such as:
Audit Planning
Once the company approaches IS auditors, they begin by analyzing the business and objectives of the entity. They develop a plan to accomplish the aims and requirements of the client to guarantee legal compliance and professional standards. They get an Audit Charter from the client that explains the reason, aim, responsibility, accountability, and authority for conducting the IS audit. The Audit Charter must have approval from the management and the auditors will get a letter of confirmation regarding this.
Risk Assessment Stud related to business
The auditors then assess the risks and adverse effect possibilities of the present IS system. The assessment process includes a risk-based audit approach which will help detect probabilities of vulnerabilities and strength of damage that may occur to assets and business.
Audit Work Performance
A review is conducted internally to detect the flaws in the whole system by working mutually between the auditors and the company employees. The work performance is carried out by developing an internal review and then the process is documented. The audit work process report also contains the audit evidence that supports audit results. Based on the report audit plan is developed that details the aim, time, and resources required for the auditing process. The work process is carried out through different stages such as inspection, recomputation calculations, inquiry, and observation.
Reporting
In the reporting stage, the auditor provides reports which contain the scope, aims, period of coverage, limitation, recommendations, and conclusion, and the identification of the organization. They provide suggestions to improve the organization’s functioning where the management can take decisions to improve the business
The Information system audit process is very complicated and sophisticated; hence it should be performed by a qualified expert to comply with the standards.
Jitendra Blogs 