System Integrity and Validation

System Integrity and Validation

ACC/542

UOP

System Integrity and Validation

Preface

In the last few weeks characteristics of Kudler Fine Foods have been looked into and provided recommendations to update and replace existing components of the IT system. These recommendations made can yield in the company’s increased productivity, profitability, and remove potential threats. It has been determined that industry specific software is useful in comparison to customized software. Four main modules such as payroll, account payable, accounts receivable, and inventory were developed as well as enhancement of each flowchart based on the appropriate system. The database completeness was examined at Kudler’s intranet and a pivot table was developed; therefore, making the decision-making process easy. External and internal risks were analyzed and internal control points were developed by incorporating both risks and controls into a flowchart. It was also shown why findings and recommendations are more useful to the company in comparison to SAS70 and SAS94 audits. Events were identified that will lessen the dependence on auditing through computers and showed a brief description how the audit should be conducted.

Introduction

Computers are necessary tools for a great deal of professions. Auditors depend on computer technology to accomplish numerous professional performances, utilize the ease of software tools, and utilize abilities to get to be more accomplished and prosperous. Computer-assisted audit tools (CAAT), and audit productivity tools are some forms of software tools. CAATs aid the auditors with the assessment of application controls. CAAT also select and inspect data for remarkable audit assessments. Audit productivity tools aid auditors in decreasing the mass of costly hours used on administrative obligations by computerizing the audit performances and assimilating data collected from the analysis process. This brief aims to outline to what degree CAAT will be utilized to substantiate facts and system integrity within the system, describe the tasks of audit productivity software, and justify to what degree audit productivity software may be utilized in the systems created. Substantiating Data and System Integrity CAAT is composed of the usage of software, applications, withdrawn and inspected data, tendency within data, recognizing with the assumptions and confinement of probable treachery within data (Gray, et. al., 1989, Pag.109). CAAT makes obtainable data which permits definite features to plainly be obtained. With the utilization of CAAT, the audit files and proceedings can be refined with essenceand quickness. The information systems auditor will regulate and observe CAAT. The information systems auditor may conduct a settlement of control amounts if forced, figure output for intelligence, and finish an analysis of the philosophy and other singularity of the CAAT. Auditors of many corporations and associations have developed and involved CAAT that have extremely magnified the ability and potency of the executed audits. With the usage and function of the CAAT tools, auditors may assess and appraise the entire data. The CAAT consists of the usage of computers to conduct audits. Because of this, evaluated data and audit software thrive in order for audit processing goals to be consistent even as auditing is instituted in computerized surroundings. The utilization of audit proceedings can involve auditors to think about a method that consists of a computer as tool for auditing purposes. The audit software includes the application of package programs, purpose-written programs, and utility programs. CAAT are influential gadgets that can improve audit processing and internal auditor self-sufficiency. On the other hand, these procedures can waste time for developing, which in this case will not be cost-effective. The information systems auditor must validate the integrity of the information system and information technology setting when the information is removed by using CAAT (Champlain, 2003, Pg. 345). The information systems auditor must take into deliberation the amount of secrecy and stability that is associated with the corporation in order that the unlinked should not enter valuable information.

The Functions of Audit Productivity Audit productivity software provides computerized audit solutions used to complete several tasks, including producing documents, databases, spreadsheets, diagrams, and presentations. With this software, organizations control and keep track of audit reports and compliance in the operations. The software has several functions, including electronic working papers, groupware, time and billing software, reference libraries, and document management. These functions enable the personal productivity of the auditor (Karanja, 2013).

Productivity Appraisal

Audit software productivity is a useful took in appraising the performance of a company’s auditing reporting. Through this software timely decisions can be made to increase productivity of the company. This is an important tool for Kudler because they can take the auditors recommendations on productivity and incorporate them into the company’s three locations and use them to increase profits and market share.

Resource Optimization

A company can accomplish optimal utilization of organized resources. Companies throughout different regions of the world seek to enhance their efficiency levels. The usage of audit productivity software assists in efficient utilization of individual and objects funds and ministers to reducing wastage. With the appropriate usage of time and funds, the performance objectives can be accomplished.

Hub Operations Improvement

When the company’s operation design is run through a hub the auditor can test and tweak the client’s operations to suit the desired work standards (Karanja, 2013). The software will validate the work standards. Also it appraises the systems standards and efficiency. Auditors will use this to measure productivity while suggesting the elimination of non-value work from the system to obtain optimal efficiency. This function will help Kudler as they work toward increasing their presence on the Internet and making their in-store POS more efficient.

Data Management

Audit productivity software helps a company obtain a desirable data management system. It optimizes data entry and helps programs it to meet a company’s benchmarks. In addition to the contribution to data management, critical savings on time and funds are made as expanded hours of singular data entry and report extractions are eliminated (Karanja, 2013). It can eliminate long hours of data entry and report extraction. Kudler could take this function and supply their stores with hand held computers that take inventory and send it right to the purchasing department. This is a more efficient way of taking inventory in the store.

Automation

This software will help automate daily and internal quality assessment analysis not outside the organization. It also helps to streamline the operations of the company by integrating different audit systems into one common system. This helps a company consolidate systems while achieving higher efficiency and productivity. Kudler could use this to combine their inventory and purchasing departments into one central location. It would save them money because they can buy in bulk and also would help them streamline the inventory process (Karanja, 2013).

Audit Productivity Software Used in Systems Design

The information systems auditor may establish his or her own software; nonetheless, the major requirement is high consistency and precision in systems design. The usage of audit software permits the achievement of opportunity set by management with 100 percent scrutiny of transactions. CAAT audit software will be more appropriate to the company in order to conduct various audit procedures. As a result of compliance testing along with substantive testing, a company can be engaged to check the satisfaction of the control system. With the utilization of CAAT, companies can analyze inaccuracies easier and faster in the system.

References

Champlain, Jack J. (2003), Auditing information systems, retrieved from:

http://books.google.com/books

Gallegos, Fredrick (2004), Information technology control and audit, retrieved from EBSCOhost

from UOP online library

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Gray, Lain; Manson, Stuart (1989), the audit process, retrieved from Google books

Karanja, David, (2013). What are the Functions of Audit Productivity Software? Retrieved from

http://www.ehow.com/list_7470564_functions-audit-productivity-software_.html