When you report your findings to the audit committee or senior management, do you explain that 75% of your audits do not incorporate any analysis of data? Probably not, but why not? Is it because more than 25% of your audits contain data analysis? Let’s not count sampling as data analysis, pulling a random sample of 30 records from a set of 30,000 is a .1% sample, probably not something that gets explicitly reported. Do you still think it is more than 25%? Have you ever counted?
In this report, we discuss the importance of audits containing quantifiable data to increase assurance and reduce risk.