2003_10-Presentation

Slide 1: 

Pamela McCoy, CPA, CIA, CISA Senior Product Manager TeamMate Product Development Team October 9, 2003 Electronic Audit Management Systems “Automated Working Papers” Project & Resource Scheduling Risk Assessment Electronic Work papers Knowledge Management Reporting Project and Issue Tracking

Agenda : 

Agenda Paperless Audits: What, Why? A few questions for you Paper-based Audits: A unique study Paper-based “pains” Standards? What should you expect from your system? Other Considerations What should you do? Challenges and Questions

Paperless Audits – What? : 

Paperless Audits – What? Any audit that is electronically planned, documented, indexed, referenced, reviewed, reported, and stored.

Paperless Audits – Why? : 

Paperless Audits – Why? Enhance and improve auditor efficiency & effectiveness Manage and leverage knowledge Reduce, or even eliminate, non value-added activities Improve business decisions Manage and share information Standardize the “usual” Promote consistency in approach Promote timeliness in reporting

A Few Questions for You : 

A Few Questions for You What is your E-mail package? How do you share audit information? What is your Operating System platform? What are your typical audit dynamics? Time – weeks and/or hours Do you work in teams? Work from the office or from the field? Levels of review? When do you want to implement? Why do you want to implement? Have you seen other systems?

Paper-Based Pain #1: Preparation : 

Paper-Based Pain #1: Preparation Write, print, and manually annotate (cross-reference, tickmark, signoff) If edits, re-write, re-print, re-annotate Repagination and/or incorrect cross-referencing How to locate and re-use prior workingpapers Lack of standardization in set up and audit approach

Paper-Based Pain #2: Review : 

Paper-Based Pain #2: Review Reviewer must be where the working papers are Working papers must be complete Reviewer must search to find items “ready for review” Review comments or post-review edits mean the process must be restarted Interruption of audit workflow

Paper-Based Pain #3: Access & Storage : 

Paper-Based Pain #3: Access & Storage Archival requirements – how long must you keep them? Where do you keep them? How can you find them? Storage costs Security Multiple files are heavy No easy way to back up paper

Paperless Audit Standards : 

Paperless Audit Standards AICPA, IIA, and GAO standards are vague Permit use of media “other than paper” Courts accept electronic evidence and signatures Electronic signature must be under the signer’s sole control and verifiable We must assume the evidence and documentation requirements are the same as paper working papers

What Features Should You Expect? : 

What Features Should You Expect? MUST incorporate your process Flexible operating model Drives consistency in audit process Real-time preparation and review Minimal workflow interruption Electronic signature integrity and control File security – encryption technology Intuitive look & feel Automatic indexing and referencing Imaging technology Report generation – in YOUR format Understandability and reliability DBMS

Other Considerations : 

Other Considerations Your IT Infrastructure – How will you share information? Microsoft vs Lotus Notes platforms Supportability and maintenance Time to build and incorporate into current plan Help desk – yours or the vendor’s? Training – who, how, where? How often? Other costs – PC or NW upgrades, scanners, turnover

So What Should YOU Do? : 

So What Should YOU Do? Understand, agree on, and document your current process Establish your protocols Identify and understand your requirements Hardware Network Documentation Talk to the vendors – can you test the product? Talk to the users – yours and theirs Allow for and accept a learning curve

Challenges and Questions : 

Challenges and Questions Agreement on basics Acceptance Learning curve Support from the “top” – use is not an option Fear of change – “If it ain’t broke, don’t fix it” How about “If it ain’t broke, break it?”