IT auditors frequently result in educating the business community how their work adds value even to another organization. Internal audit departments commonly receive an IT audit component that is certainly deployed with a clean perspective on its role having an organization. However, in our experience eventhough it auditors, the wider business community needs to understand the IT audit function in order to realize the maximum the advantage. In this context, we can publishing this brief presentation of the specific benefits and added value given an IT audit.
To fully feel specific, IT audits may cover an array of IT processing and communication infrastructure to illustrate client-server systems and models, operating systems, security purposes, software applications, web supplies, databases, telecom infrastructure, hormonal levels management procedures and tragedy recovery planning.
The sequence of a standard audit starts containing identifying risks, then assessing the design of controls and finally testing the effectiveness of the controls. Skillful auditors can add value in each phase away from audit.
Companies generally maintain having an IT audit function to feature assurance on technology controls and ensure regulatory compliance with the help of federal or industry certainly requirements. As investments within technology grow, IT auditing can provide assurance that risks are controlled knowning that huge losses are possibly not. An organization may also determine that an unsafe of outage, security a health risk or vulnerability exists. There may also be requirements for regulatory compliance for example the Sarbanes Oxley Act or requirements where specific to an circuit.
Below we discuss five key areas that auditors can add value to the organization. Of course, the product quality and depth of a technical audit is a type of prerequisite to adding effectiveness. The planned scope from the audit is also the primary reason for the value added. Without a clear mandate on stuff that business processes and risks pretty audited, it is hard to achieve success or added value.
So the few our top five strategies an IT audit provides value:
1. Reduce peril. The planning and execution associated with an IT audit consists away from identification and assessment of the risks in an organization.
IT audits usually cover risks affecting confidentiality, integrity and desire for information technology infrastructure and operations. Additional risks include potency, efficiency and reliability than it.
Once risks are proper, there can be clear vision on course to take - to save on or mitigate the ramifications through controls, to transfer the risk through insurance or to take the risk contained in the operating environment.
A critical concept here will it be risk is business however the. Any threat to or a vulnerability of critical IT operations can have a direct effect on full organization. In short, the organization needs to grasp where the risks may be and then proceed to do something about them.
Best practices involved with it risk used by auditors are usually ISACA COBIT and RiskIT frameworks along with ISO/IEC 27002 standard 'Code in the role of practice for information ensures you get management'.
2. Strengthen constraints (and improve security). After assessing risks as referred to, controls can then still be identified and assessed. Poorly designed or ineffective controls hybrid cars redesigned and/or strengthened.
The COBIT framework from it controls is especially simple here. It consists of four top level domains that cover 32 control processes useful in reducing risk. The COBIT framework covers all aspects of information security which involves control objectives, key tendency indicators, key goal discomforts critical success factors.
An auditor can use COBIT to research the controls in an organization and make recommendations that add real world value to the IT environment in order to the organization in general.
Another control framework is probably Committee of Sponsoring Organizations because of Treadway Commission (COSO) type of internal controls. IT auditors can use this framework to go for assurance on (1) the actual effectiveness and efficiency of numerous operations, (2) the reliability towards financial reporting and (3) in the gift compliance with applicable legal guidelines. The framework contains two elements among five that directly requirement controls - control environmentally friendly and control activities.
3. Use regulations. Wide ranging regulations in a very federal and state points include specific requirements for your information security. The IT auditor serves a critical function in ensuring which specific requirements are spotted, risks are assessed and look after controls implemented.
Sarbanes Oxley Act (Corporate and there is Criminal Fraud Accountability Act) includes requirements almost all public companies to make sure internal controls are adequate as defined the framework of the Panel of Sponsoring Organizations your Treadway Commission's (COSO) pointed out above. It is the IT auditor who provides the assurance that such requirements are met.
Health Insurance Portability and look after Accountability Act (HIPAA) has three areas of IT requirements - admin, technical and physical. Its the IT auditor who within key role in ensuring compliance with the requirements.
Various industries have additional requirements such as Payment Card Industry (PCI) Internet privacy Standard in the greeting card industry e. g. Credit and Mastercard.
In anybody compliance and regulatory towns, the IT auditor plays a central role. An organization needs assurance that every requirements are met.
4. Speed up communication between business along with technology management. An audit may offer the positive effect associated opening channels of meaning between an organization's trade and technology management. Auditors interviews, observe and test what is going on in reality and in practice. The final deliverables regarding your audit are valuable remarks in written reports and shows. Senior management can get direct feedback how their organization is doing work.
Technology professionals in an organization must also know the expectations several objectives of senior relief. Auditors help this communication in a top down through have fun with in meetings with technology management and also by review of the comprehensive implementations of policies, wishes and guidelines.
It is important to remember that IT auditing is the key in management's oversight it's technology. An organization's technology exists to support business strategy, functions and functions. Alignment of business and supporting technologies are critical. IT auditing acquires this alignment.
5. Help build IT Governance. The IT Governance Union (ITGI) has published facts definition:
'IT Governance is the responsibility of executives and board in the directors, and consists for yourself leadership, organizational structures and operations that ensure that the complete enterprise's IT sustains and communicates the organization's strategies and intent. '
The leadership, organizational structures and operations referred to in that include all point to BATTERY auditors as key personas. Central to IT auditing or even overall IT management might be a strong understanding of the value, risks and controls quite an organization's technology topic. More specifically, IT auditors look at the value, risks and controls in while key components of technology - applications, information, infrastructure individuals.
Another perspective on IT governance posesses a framework of four key objectives on the whole also discussed in the actual IT Governance Institute's comment:
*IT is aligned just about all the business *IT enables the business and maximizes benefits *IT resources utilized responsibly *IT risks are employed managed appropriately
IT auditors provide assurance that individuals objectives is met. Each objective the trick to an organization and is therefore critical in inside your IT audit function.
To summarize, IT auditing adds value by reducing risks, improving security, concurrence with regulations and assisting communication between technology and also you business management. Finally, YOUR auditing improves and restored overall IT governance.
References:
ISACA. Control Objectives for Information and in actual fact related Technology (COBIT).
ISO/IEC 27002 Green of practice for all information security management.
Committee of Sponsoring Organizations at your Treadway Commission (COSO) Framework.
.
No comments:
Post a Comment