Summary: The Wahid techniques technique will depend on the nature of the activity Performance audited, the depth and scope of examination, time of audit, processing methods, etc. In deciding on a specific technique, also need to take account of the objective of the audit action and the capacities limited by time or other factors.
These Wahid techniques are closely related to and directly determined by the method how the audit activity is performed. And may use a number of techniques to ensure the dependability of resulting data, its quality required detecting the true causes of deviations, and its extent needed to devise generalized conclusions at a desired level. For each audit action.
Outline: Performance auditing under the heading of internal audit, Performance auditing is also practiced by foundations and public sector nonprofit organizations but the extent is not known, and not believed to be extensive. In the private sector of for-profit and not-for-profit entities,
Performance audit is more complex and challenging compared to the audit of compliance, Its objective is to engage more closely with the audited institution to establish a formal process to use audit evidence to enable the public auditor to form an opinion and thereby to communicate to the audited the extent to which that agency has utilized its resources in an economic, efficient and effective manner. Whilst such an exercise certainly involves an element of value judgment on behalf of the auditor, a robust methodology does help to provide a fairly objective framework for use of this judgment.
Performance auditing is that it adds value by providing impartial, fact-based, information through examining and reporting on the integrity, economy, and efficiency, of operations and the effectiveness and results achieved by government programs.
Performance Audit is a response to these new challenges in public sector management Performance auditing promotes concepts and principles that enable public auditors to go beyond traditional compliance issues and enable them to examine performance of the executive in a wider situation. It promotes public accountability and is an aid to good governance. Accountability continues to encompass the concepts of traditional audits – the financial, compliance and propriety audits – but it is also expected to address concerns relating to equity, ethics and even environment while assessing the effectiveness of a program or activity. During this programme, you will be discussing all these concepts as well as the best practices in the field of performance audit.
I am satisfied that I have established to a new performance audit techniques that is (Wahid techniques) I am sure that this technique will help manner performance audit in a basic but valuable way. I have includes to This article (Wahid techniques) Performance audit > definition, aspect, basic questions, ideas, Need, Perf- Audit versus Financial Audit, Objectives and Scope, examines, process, Criteria, This article has investigational been experienced in the performance audit,
A good performance audit should rest on judgment, an understanding of the conditions, and the ability to ask the right questions of organizations, people, etc., by investigative a representative. Wahid techniques is a major objective in the financial management of any organization .to put in place internal controls so that errors, misstatements and irregularities are prevented from occurring or detected , These Wahid techniques are performed by the Significance and dependability manner following is showing :
Introduction: One of the most significant reasons for performance auditing is to enable government to demonstrate that public accountability responsibilities have been fulfilled. National and provincial government departments and municipalities, government-funded institutions and public entities can greatly benefit from performance auditing.
The selection of technique will depend on the nature of the activity audited, the deepness and scale of examination, time of audit, processing manners, etc. In deciding on a specific technique, also need to take account of the goal of the audit action and the capacities limited by time & supplementary aspects,
Wahid techniques – (the Significance and dependability manner for Performance audit)
These techniques are closely related to and directly determined by the manner how the audit activity is performed. Wahid techniques use a number of methods to make sure the dependability of resulting data, its quality required to identify the true causes of variations, and its extent needed to develop generalized conclusions at a preferred level. Wahid techniques to specify the main technique which will be Significance & dependable Solution whole of the performance audit, Wahid techniques classify the following techniques of performance audit,
Performance Audit = Written evidence + Analysis /Questionnaire. + Hub groups + Interviewing +Direct observation
A good performance audit should rest on common sense, an understanding of the situation, and the capability to ask the accurate inquiries,
An auditor should use a form of the audit report that is appropriate for its intended use and is in writing or in some other retrievable form. For situations when audit organizations are subject to public records laws. Auditors may present Different forms of audit reports include written reports, letters, briefing slides, or other presentation materials.
Written evidence of the ability to carry out audit and performance assessment looks probable to be one of the five components of Wahid techniques. Written evidence an important element of the performance audit cycle, written evidence is to manage the changes suggested by the first part of performance audit the cycle this paper seeks to raise the issues involved in this process. The criteria which might be used to assess a written submission are presented. A possible mechanism for marking and grading is suggested, and strategies for optimizing the validity and reliability of that assessment discussed. A timescale for implementation is also suggested.
When asked to prove to the effectiveness, or verify the plan and accomplishment, of an organization’s internal controls, auditors need to see written documentation that the controls are planned to be effective, and be able to congregate evidence that they have been implemented and are functioning effectively.
Written credentials should speak to a complete process from beginning to end. The documentation should particularly tackle and emphasize areas where errors may be more likely to happen in the financial reporting procedure, and the internal control processes and procedures that have been planned to check them. Credentials may be careful satisfactory when it:
01. Attend to specific risks of errors (or fraud) in a process, or where controls are required
02. Describes the controls to prevent and detect recognized risks
03. Indicates who should perform these controls, including who should perform the control when the person with primary responsibility is away
04. Indicates how the control will be performed
05. Describes what objective evidence, or credentials, is maintained to show that the controls have been performed.
06. Describes what physical evidence will stay behind,
In the audit report, auditors should present satisfactory, proper evidence to support the findings and conclusions in relation to the audit goals. Obviously developed findings, assist management or mistake officials of the audited entity in understanding the need for taking corrective action. If auditors are able to sufficiently develop the elements of a finding, they should provide recommendations for corrective action if they are significant within the context of the audit objectives.
However, the extent to which the elements for a finding are developed depends on the audit objectives. Thus, a finding or set of findings is complete to the extent that the auditors tackle the audit goals.
Criteria of Written evidence:
The following criteria are optional as being important in the assessment of a written submission of a performance audit.
Title: The title should give an signal of the area of investigational activity audited and the audit question,
Introduction: This should incorporate a report about how an area of audit came to be important. The principles against which performance is being experienced should be stated, and their source described. The technique of data collection and analysis should be clearly stated. Quantitative audit should comprise reports describing how the study population was recognized.
Results: This part should control an appearance of all the applicable outcome report, tabulation and statistical tests should be used appropriately.
Discussion: This section should include discussion of the following:
01. The technique used including its advantages and restrictions, for example the validity and reliability of the dimensions and the likely sources of bias.
02. The results and an expression on the difficulties in interpreting the consequences.
03. The reasons why the calculated performance fell short of the principles which had been set. If the performance was found to be acceptable there should be an details with reference to the original reasons for suspecting that this would not be so.
04. The proper terminations and implications of the results for the practice in terms of recommended areas where changes are required.
05 If performance had been acceptable the author should converse the factors in the perform which facilitated this.
(PART -02 Finished. > To be continue)