(1) for value management. Internal auditors pay attention to the company's resource use from three aspects: economy (lowest cost), efficiency (best use of resources) and effectiveness (best result).
(2) Audit of enterprise information system. Through internal audit, determine whether the company's information system provides reliable information for the preparation of statements, and whether there is an effective internal control system to reduce the risk of misstatement and omission.
(3) Carry out project audit. Internal audit audits specific projects, such as establishing new information systems and opening new production and processing areas. Internal audit is responsible for identifying whether the objectives of the project can be achieved, whether the project runs effectively as planned, and summing up experience from the failure lessons of running the project.
(4) Conduct internal financial audit. This is the traditional main work area of the internal audit department, which routinely checks financial records and supporting documents when preparing financial statements to reduce the occurrence of errors and fraud; Trend analysis of financial data.
(5) Conduct business audit. The internal audit department can audit the business departments such as procurement, marketing and human resources, check and review the effectiveness of internal control, and put forward suggestions and countermeasures that can further improve performance and management.
Its importance
1. Ensure the establishment and perfection of the internal restraint mechanism of the enterprise and the healthy development of the enterprise.
Enterprises in the market economy are experiencing the test of infinite variables from the market at any time and anywhere. Fierce external competition forces enterprises to grasp management and restrain irregular behaviors. Enterprise internal audit institutions and personnel rely on professional technology and methods.
Through auditing before, during and after the event, we urge enterprises to abide by the national financial regulations and enterprise rules and regulations, find out the problems existing in internal control in time, put forward opinions and suggestions, actively be the staff assistant of leaders and relevant departments, prevent and stop violations of discipline and discipline, or correct and deal with existing problems in time to ensure the healthy and orderly operation and development of enterprise production and business activities.
2. Prevent operational risks and financial risks.
By testing and evaluating the perfection of the internal control system, the internal audit institutions and personnel of enterprises can find out the existing business risks and financial risks in time, and analyze and evaluate the degree of risks with the help of their professional means. In the unpredictable market economy, the role of this kind of risk early warning device in enterprise internal audit can enable enterprise decision makers and managers to take effective measures in time to avoid operational risks and financial risks, or minimize risk losses, and effectively safeguard the survival and development of enterprises.
3. Strengthen the management of enterprise managers and protect cadres.
On the one hand, the internal audit institutions and auditors of enterprises exposed many corrupt elements through auditing, which not only purified the enterprise managers, but also made the majority of enterprise managers learn from them; On the other hand, he should actively be a good staff officer and control financial activities so that relevant personnel, especially business leaders, can avoid or reduce problems or mistakes that occur unconsciously because they are unfamiliar with financial work;
On the other hand, the increasingly extensive economic responsibility audit of enterprise leaders not only objectively and fairly evaluates the economic responsibility of the relevant personnel, but also clarifies their merits and demerits in economic activities, which provides an important basis for the personnel department to inspect and use cadres.
References:
Baidu Encyclopedia Internal Audit Function