Audit is the process of examining, assessing, and evaluating the company's reports. To produce objective results and high analysis, an audit program or audit plan is needed so that the audit process is more structured.
The audit plan will assist the auditor in determining the stages, limits, and audit periods. Without a clear and detailed audit plan, the audit process can be misguided, incomplete, and inconsistent.
This article will discuss the definition of an audit plan, objectives, types, examples, how to prepare, to how to implement an audit program.
What Is An Audit Program?
Audit Program can be understood as a guide for auditors before conducting the audit process. So in simple terms, it can be referred to as an audit plan. Contains objectives, scope, schedule, activities, to audit procedures that will be used.
Audit plan can be a worksheet or template checklist it provides audit guidance. Documents containing the audit plan, be part of Audit working paper (KKA) and evidence that the audit was conducted in accordance with standards and procedures.
Objectives Of The Audit Program
In the audit process, the creation of audit programs is carried out for various purposes. One of them is to provide a detailed schedule and what steps the auditor should take to achieve the audit objectives.
In addition, audit plans are also made to ensure that audits are conducted in accordance with professional standards, evidence collection guidelines, audit process documentation bases, to media that can minimize the risk of auditor errors and Omissions.
Types Of Audit Programs
The types of audit programs can vary and be adapted to the object being audited. Some of them are as follows.
1. Compliance Audit Program
Plan a compliance audit prepared with the aim of ensuring the company follows applicable internal standards, regulations and policies. This plan contains some of the following.
- List of regulations or standards to comply with
- Compliance verification procedure
- Proof of compliance
- Findings of non-compliance
- Corrective action plan
2. Financial Audit Program
Plan financial audit commonly used to check the company's financial statements. The guide contains procedures to verify some of the following.
- Truth of financial statements
- Account balance accuracy
- Transaction completeness
- Validity of supporting evidence
3. Operational Audit Program
In addition, other types of audit programs relate to operational. The audit plan is designed to determine whether operational process the company runs effectively, efficiently, and economically. The content of the plan includes the following points.
- SOP and workflow evaluation
- Process efficiency measurement
- Benchmarking against KPIs or industry standards
- Analysis of the causes of inefficiency
- Operational improvement recommendations
4. Information Systems Audit Program
Plan Information Systems audit prepared as an assessment guide to Information Technology (IT) systems and corporate digital control. This guide contains some of the following.
- Cyber security evaluation
- Access control
- System log check
- Data integrity testing
- Assessment of specific applications (FMS, ERP, HRIS, etc.)
5. Risk Management Audit Program
Types of plans risk management audit used to audit areas within the company that have the risk of misstatement. This plan contains the following.
- Identify high risk areas
- Assessment of innate risk and control risk
- Determination of more specific audit procedures
- Testing plans in crucial areas
6. General Audit Program
Plan general audit compiled as a standard guide for the entire audit process, from planning to reporting. This audit plan contains some of the following.
- Audit planning procedure
- Internal control procedures
- Substantive testing procedures
- Documentation of findings and preparation of reports
7. Area Specific Audit Program
As the name suggests, area-specific audit programs are usually structured for audits of specific areas. Such as, inventory, cash, sales, human resources, and purchasing. Preparation of a specific audit plan, allowing certain areas of the business to be examined in detail. This type of audit Plan document contains the following.
- Audit objectives tailored to the audit area
- Control testing procedure
- Substantive testing procedures for each area
- Relevant evidence
Examples of Audit programs in the company
To better understand what an audit plan is, here's an example of a PT Abadi Jaya company audit program that is auditing the inventory area.
- Audit objective: ensure the existence and completeness of inventory and assess the fairness of inventory recording and valuation.
- Scope: central warehouse, inventory card, document of receipt and expenditure of goods, inventory report of the end of the period.
- Audit procedure: study the warehouse management SOP, check if the stock in and out is recorded in real-time, compare physical results with inventory cards, and fill out workpaper checklists according to procedures.
- Deadline: December 11-15, 2025
- Responsible Person: Dwi Santoso (main auditor) and Abdul Karim (Assistant auditor)
See also: Probity Audit: objectives, benefits, guidelines and stages
How to prepare and implement an Audit Program
In order to develop an appropriate audit program, an auditor must have an understanding of the company's business and operational processes. Here are the steps that can be followed to develop an audit plan.
- Determine the purpose of the audit - what should be achieved in the audit process
- Determine the scope of the audit - what are the limitations of the examination
- Risk identification - know which areas are at risk of misstatement or potential violations
- Define audit procedures - define what steps the auditor should take in the audit process
- Specify the required evidence and documents - identification of information and documents that can support the audit process
- Arrange audit schedule - define audit periods, deadlines for each procedure, and tasks of each member
- Define team and person in charge - form a team and share the tasks of each member
After the audit program is structured and targeted, it is time for the auditor to carry out the audit program. In carrying out what has been planned, the auditor must still move in accordance with the guidelines. Here are the implementation steps.
- Carry out audit procedures according to plan - implementation of the audit can be done in accordance with the audit program that has been prepared
- Collect audit evidence - collect audit evidence that is relevant and supports the examination, such as documents, screenshots, photographs, interviews, or written confirmations
- Perform internal control tests - check if the SOP has been applied correctly
- Record audit findings in KKA - document all steps, evidence, and audit findings in the prepared KKA
- Discuss the findings with the relevant division - the auditor Submits Preliminary findings and requests clarification from the relevant division
- Draw up an action plan with management - the auditor follows up the findings by drawing up an action plan so that similar problems do not recur
- Arrange audit report - the auditor prepares a complete report, both results, findings, evidence, and recommendations for improvement
Closing
The audit Program is a guide for auditors in carrying out the audit process. This document contains the object of the audit, the audit period, objectives and procedures to be carried out by the auditor.
With an audit plan, the inspection process can be carried out smoothly, structured, and does not expand anywhere.
To obtain reliable and trusted audit results, not only professional auditors are needed, but also tools that are able to support systematic audit planning, implementation, and reporting.
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