Ongoing auditing is an important step to review the existing monitoring process of any organization. It helps businesses to verify that the current monitoring process is effective in achieving the desired outcome in the high-risk compliance automation areas. It not only verifies that the managers are able to meet their tasks for ongoing monitoring but also validates whether the process is proving influential in meeting the desired outcomes or not.
Auditing Practices for Effective Compliance
It also includes confirming that controls are in place and the compliance programs are functioning as planned by the organization. It also identifies the weaknesses of the current programs and address them on an urgent basis. It is important for firms to bear in mind that an audit should be an independent review carried out in an objective manner. Auditing can be done by the compliance office, audit departments, other programs and software etc. It is the responsibility of the Compliance Officer to ensure that the auditing is being conducted in an objective and effective manner. Here are three best audit practices which organizations, in general and Compliance Officers, in particular should bear in mind while the auditing process is being conducted:
Create a compliance audit plan
For any organization, it is extremely imperative to have a compliance audit plan in place. The plan should be efficient enough to evaluate that the ongoing monitoring and auditing are being addressed properly. Responsible managers should be well-versed with the audit plan. An effective compliance automation auditing plan should be able to determine if the damage caused by potential risks has been calculated or not and due measures have been taken or not.
Identify compliance high-risk areas
It is extremely crucial for organizations to be aware of the high-risk areas when it comes to compliance. The management should work together to identify all the compliance high risk areas related to their respective operational areas, beginning with advisory opinions, audits, industry regulations, fraud alerts, data threats etc. The auditing plan should be able to determine whether the ongoing auditing has sufficiently addressed the policies and procedures of an organization to reduce the probability of an unwanted high-risk event.
Create an effective corrective measures plan
While auditing, it is important to ensure that the organizations have already thought through corrective actions plan for all potential deficiencies. Firms should make use of latest technology and compliance experts to independently evaluate the efficacy of the compliance policies of an organization.
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