Saturday, 8 December 2007

Primary Objective of Auditing

The primary objective of an auditor is to “Measure and report on risk”.

An auditor is empowered and engaged by management to solicit answers to the difficult questions about an organization. This is done in order to better comprehend how the organization is functioning and to identify risks that exist to the organizational missions and objectives. This process should allow the auditor to measure and subsequently report on risks so that management can understand and act on a risk.

The secondary objective of an auditor is to diminish risk through a process of raising awareness.

Once an auditor identifies a risk, it is reported to management so that they can do something. In this way, the auditor raises the awareness of management so the risks can be reduced. If management did not desire to reduce risk, they would not use an auditor.

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