Engagements

The audit engagement process involves creating, planning, scoping, and conducting engagements as well as reporting on engagement findings.

Engagement process

The base system audit engagement process includes steps for scoping, validating, conducting, and approving engagement results. It also contains steps for following up on open audit tasks and issues, and finally closing out the audit engagement.

Table 1. States of the engagement process
State Description
Scope

During the Scope state, audit managers define which profiles will be involved in the audit engagement. For example, for a financial audit, one may include all business services that the finance department relies on and the finance department itself.

See Add profiles to an engagement scope.

Validate

After an engagement has moved to the Validate state, all of the risks, controls, and test plans associated with the profiles in the engagement's scope will be associated with the audit. Indicator results that were collected during the engagement's audit period will also be associated with the audit. Audit managers can review the risks, controls, test plans, and indicator results, and update the engagement's scope, if necessary. Audit managers can also begin creating and planning audit tasks for the engagement.

To move an engagement into the Validate state, click Validate on any engagement currently in the Scope state.

Fieldwork

Auditors complete their assigned audit tasks during the Fieldwork state. These tasks include control testing, interviews, walkthroughs, and other activities. Issues that are found during control testing are associated with the engagement. Auditors can also create general issues associated with the engagement. Audit managers can create additional audit tasks as needed. When the audit is done, audit managers specify the result of the engagement, whether it's satisfactory, adequate or inadequate, and provide details on their opinion.

To move an engagement into the Fieldwork state, click Advance to Fieldwork on any engagement currently in the Validate state.

See Audit tasks.

Awaiting Approval

During the "Awaiting Approval" state, the approvers specified in the engagement's Approvers field review the results of the audit tasks conducted and the issues that were created. After reviewing the results of the engagements, approvers approve or reject the engagement.

To move an engagement into the Awaiting Approval state, click Request approval on any engagement currently in the Fieldwork state.

See Approve or reject an engagement.

Follow Up After an engagement has been approved, if there are any remaining open tasks or issues associated with the engagement, the engagement automatically goes into the Follow Up state. During this stage, auditors most close out all remaining issues and tasks before the engagement will be marked as complete.
Closed
Engagements move into the "Closed" state under one of three conditions:
  • The engagement is closed as incomplete during the Scope, Validate, or Fieldwork states.
  • There are no open audit tasks or issues after the engagement is approved. In this case, the engagement automatically moves from the Awaiting Approval state to the Closed state.
  • All of the follow up issues and tasks are closed out. In this case, the engagement automatically moves from the Follow Up state to the Closed state.