Executive Council Office
Audit Services
ECO Online
Types of Audit
Compliance Audit
Operational Audit
Financial Audit
Information Management and Technology (IT) Audit
Performance Audit
Compliance Audit
Looks at whether or not an organization is adhering to specific laws, regulations and the control operations according to policy, directives, standards or contracts.
This type of audit is also meant to detect breaches in security and to recommend any indicated changes in systems of control, policy and procedures. It is management’s job to establish the proper control environment and system control activities that are aligned with the organization’s compliance obligations. These control activities usually include the policies, directives, procedures and practices that ensure management objectives are achieved and risk mitigation strategies are carried out.
Operational Audits
Looks at whether or not public funds and resources have been economically, efficiently and effectively managed. This type of audit examines and reports on matters related to any or all of the following:
- the adequacy of the management systems, controls, and practices including those intended to control and safeguard assets and ensure due regard to economy, efficiency and effectiveness;
- the extent to which resources have been managed with due regard to economy and efficiency; and
- the extent to which programs, operations or activities of an entity have been effective.
Operational auditing fulfills the demand for performance and accountability information that is not being provided by information on financial performance and on compliance with authorities. Operational auditing is based on two principles:
- Public business should be conducted in a way that makes the best possible use of public funds.
- People who conduct public business should be accountable for the prudent and effective management of the resources entrusted to them.
Examines how government looks after its accounts and at the records of financial transactions.
In financial audits, internal auditors test whether financial transactions support the amounts and disclosures recorded in the government’s accounting system. The scope of the audit may include comparing the results of operations with planned results, assessing the reliability of a department’s financial control systems, and checking how financial information is reported for decision-making.
Internal auditors supplement these audit tests by further analysis and discussions with management. Planning decisions on the scope of a financial audit mainly involve the intended degree of audit assurance and the extent of audit work required to provide it.
Information Management and Technology (IT) Audit
May include the following:
- Reviews of existing or new information systems, before and after implementation, to ensure they are secure and meet the organization’s needs;
- Project management reviews, before or after systems implementation, to ensure controls are in place to mitigate project risks or to identify the strengths and improvements required for future projects; and/or
- Specific technology and security reviews to ensure that the technologies are appropriate, and that access to government systems are secure and adequately protected.
Due to the complexity and required skill sets to perform some of these reviews, Government Audit Services may work with specialized contractors to ensure high quality analysis and recommendations are provided to management.
Asks if an entity achieving its goals and at what cost. Performance audits usually address the following questions:
- Are programs, functions or activities achieving desired results?
- Are there appropriate indicators and measures to assess performance?
- Are there better ways to achieve the organization’s objectives at lower cost?
- Are there ways to improve the quality of service without increasing cost?
- Does the program, function or activity comply with applicable laws and regulations?