Some organizations perform continuous monitoring activities. To optimize the efforts of internal audit, internal auditors can rely on those monitoring activities. As a result, you can achieve continuous assurance in an efficient way.
How to perform next level monitoring?
You can design your internal audit assignments more effectively and more efficient by periodic assessments of the continuous monitoring within your organization. You will test continuous monitoring activities, also known as continuous auditing.
The execution of internal controls is traditionally a manual task. Thanks to increasing digitalization and automation of processes, data and information is available for analysis on a real time basis. With continuous monitoring, automated controls are set up. These controls identify anomalies in the processes at the moment they occur. As a result, management can continuously monitor the effectiveness and efficiency of the processes.
Similarly, internal audit can also continuously collect process data to support internal audit activities: continuous auditing.
Both techniques provide the following advantages for your company:
Better decision making thanks to increased transparency in business processes;
Reduction of the (financial) impact of risks by early detection of anomalies in the process;
Full control of the entire population instead of relying on sample testing;
Cost reduction by perform tests in a more efficient and effective way.
However continuous monitoring and continuous auditing can be used independent of each other, the combination of both will increase the added value for your organization.
Continuous monitoring and continuous auditing are not yet widely spread. However, these techniques will become inevitable in the future for adequate and efficient process control.
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