Automating the audit via computer audit software

Abstract

The aim of this dissertation is to evaluate computer audit software and its role in the automation of the audit process. The general impact that Information Technology had on the auditing profession is discussed, together with how auditors have reacted to the changing environment in which they operate by designing audit software and including its use during the audit process as an indispensable audit tool. The definition of audit software is approached from a theoretical point of view in an attempt to correctly categorise and classify the various kinds of programs falling within this definition. As this software is used by auditors, the study also focuses on the various requirements that audit staff, at different levels of the audit, may require from it. So as to balance the theoretical and the practical approaches, a survey was carried out, among local audit firms, this being further supplemented by a number of personal interviews. This research was conducted with the aim of finding how local auditors. perceive computer audit software; identifying the problems and benefits arising from its implementation; identifying how it may have changed the working methods of auditors; and determining the extent of audit automation arising from such software in the local scenario. The results of this research are presented in the dissertation. The study also raises current and future issues arising from audit software. Some considerations that need to be taken when implementing audit software as part of the automation process are also suggested. Finally the conclusions of this study are proposed. This dissertation shows that although audit software is still relatively new, its implementation as an audit tool to achieve automation is necessary. The final result of such an audit is one that is more thorough and that adds value to the client, whilst at the same time making both the auditor and the audit itself more effective and more efficient.