A very well known process of any organization is “Audit”. So we have to understand first about the audit.
What is an audit?
An audit is a process of checking of the annual financial report by someone independent of the organization. It consists of accounting policies many notes of salaries, saving, balance, etc. Auditors in Dubai may use Microsoft software and nowadays internet is also available; so it becomes easier for all the companies.
It is of two types External Audit and Internal Audit. Here I shall describe Internal Audit (IA) and improvisations.
Internal Audit: It is a process which assures, consults and thus improves the operation of an organization, based on analyses and assessments of data. It helps to improve the effectiveness of risk management and governance process.
Improving the IA (internal process) process is a challenge for all the accounting companies in Dubai. So, here are some recommendations on this process.
Improve the technologies: at first, all the accounting companies have to update their technologies. But they have to update their software and need skillful workers in their group. In 2016, Microsoft has updated their software with lots of new functions, so you cannot use old versions of it.
Responsibility for management: as it is a very complicated process, so it has a vital role to be played by the management.
- IA department should implement automated auditing continuously. It helps to provide notifications timely thus risks, and exceptions become prominent.
- IA management should ensure that it receives sufficient and current information before setting up the output of the risks and try to update it monthly or as frequent as it can.
- Risk management should focus on the strategy or overall business risk rather than financial and operational risk.
- The senior management of IA system should approve, support and encourage the IA process.
- Sometimes it is good to maintain the formal periodic process.
Values of the organization:
It helps in the prosperity of any organizations and issues on reputations. It has two parts assurance and consulting as I mentioned in the definition. It assures managers how the systems and process are designed to keep the organization on track and consults to improve that system and process.