The Prime Five Benefits of IT Auditing

IT auditors frequently discover themselves educating the enterprise community on how their work adds worth to an organization. Inside audit departments commonly have an IT audit part which is deployed with a clear perspective on its function in an organization. However, in our expertise as IT auditors, the wider business group wants to grasp the IT audit function as a way to realize the utmost benefit. In this context, we are publishing this temporary overview of the precise advantages and added value supplied by an IT audit.

To be specific, IT audits could cover a wide range of IT processing and communication infrastructure resembling consumer-server systems and networks, working systems, safety systems, software functions, web services, databases, telecom infrastructure, change administration procedures and disaster recovery planning.

The sequence of an ordinary audit begins with identifying risks, then assessing the design of controls and eventually testing the effectiveness of the controls. Skillful auditors can add value in each section of the audit.

Corporations generally maintain an IT audit function to supply assurance on technology controls and to make sure regulatory compliance with federal or trade specific requirements. As investments in technology grow, IT auditing can provide assurance that risks are controlled and that huge losses usually are not likely. A corporation may decide that a high risk of outage, safety threat or vulnerability exists. There might also be necessities for regulatory compliance such because the Sarbanes Oxley Act or necessities which can be particular to an industry.

Under we focus on 5 key areas in which IT auditors can add worth to an organization. In fact, the standard and depth of a technical audit is a prerequisite to adding value. The deliberate scope of an audit is also essential to the value added. With no clear mandate on what business processes and risks shall be audited, it is hard to ensure success or added value.

So listed below are our high five ways in which an IT audit adds value:

1. Reduce risk. The planning and execution of an IT audit consists of the identification and evaluation of IT risks in an organization.

IT audits often cover risks associated to confidentiality, integrity and availability of knowledge technology infrastructure and processes. Additional risks embody effectiveness, effectivity and reliability of IT.

As soon as risks are assessed, there could be clear imaginative and prescient on what course to take – to reduce or mitigate the risks by means of controls, to switch the risk by way of insurance or to easily settle for the risk as part of the operating environment.

A important concept here is that it audit คือ risk is business risk. Any risk to or vulnerability of essential IT operations can have a direct effect on a whole organization. In short, the group must know where the risks are after which proceed to do something about them.

Best practices in IT risk utilized by auditors are ISACA COBIT and RiskIT frameworks and the ISO/IEC 27002 standard ‘Code of practice for data security administration’.

2. Strengthen controls (and enhance safety). After assessing risks as described above, controls can then be recognized and assessed. Poorly designed or ineffective controls can be redesigned and/or strengthened.

The COBIT framework of IT controls is very useful here. It consists of four high degree domains that cover 32 control processes useful in reducing risk. The COBIT framework covers all facets of information security together with control targets, key efficiency indicators, key objective indicators and demanding success factors.

An auditor can use COBIT to evaluate the controls in a corporation and make recommendations that add real worth to the IT environment and to the organization as a whole.

One other management bodywork is the Committee of Sponsoring Organizations of the Treadmethod Commission (COSO) model of inside controls. IT auditors can use this framework to get assurance on (1) the effectiveness and efficiency of operations, (2) the reliability of financial reporting and (3) the compliance with applicable legal guidelines and regulations. The bodywork accommodates two elements out of 5 that directly relate to controls – control surroundings and control activities.

3. Adjust to regulations. Wide ranging laws at the federal and state levels include particular requirements for info security. The IT auditor serves a critical perform in guaranteeing that particular necessities are met, risks are assessed and controls implemented.

Sarbanes Oxley Act (Corporate and Legal Fraud Accountability Act) contains necessities for all public firms to ensure that internal controls are adequate as outlined within the bodywork of the Committee of Sponsoring Organizations of the Treadmanner Commission’s (COSO) mentioned above. It is the IT auditor who gives the peace of mind that such requirements are met.