Operational Audit is a part of Internal Audit which also evaluates the efficiency or effectiveness of any part or division of the organizations, operating procedures, and methods.
The main objective of Operational Audit is to
» Evaluate organization's activities, systems, and internal controls
» Assess quality and efficiency of performance
» Identify opportunities and develop recommendations for improvement
» determine whether organization has effective risk management process in place
» To identify existence and source of potential operating problems in the operation
» To determine whether operations follow company policies and meet company standards
» Understand the operational area where the management feels in depth audit is required
» Develop objective criteria regarding operational efficiency
» Perform preliminary analysis of the operational audit area
» Perform detailed risk analysis
» Develop and analyze data that might indicate problems
» Perform inquiry and testing to identify source of problems
» Perform detailed tests of operating activities and controls
» Summarize findings - prepare report and discussion with management
» Develop a mechanism to follow-up on recommendations
Today in the scenario of major global economic crisis, companies are reshaping their strategies to achieve sustainable business growth in new ways, and continuing to seek value creation through improved operational performance – including dimensions of quality, speed, agility, efficiency, environment, customer value, and cost. Hence, if you conduct Operational Audit for your business it acquires more importance in the current crisis situation.
Businesses are focusing on initiatives and issues that impact upon the operating models of their business activities and processes, such as environmental stewardship, operational excellence, supply chain optimization, offshoring, talent mobility and innovation, to name a few. Given these dynamics, internal audit is in a unique position to influence value enhancement efforts. This is achievable through Operational Audit.
» 15 years in business with highest professional quality
» Real-time service
» Maintain Ethical Values
» International Financial Reporting Standards (IFRSs)
» Complies 100% auditing standards and relevant legal provisions