Operational Audit: A Managerial Tool Used By Audit Companies In India To Guide Smes

You have a medium-sized or above-sized company. You may be in the energy, technology, or service sector. 

As the owner of the company, your goal is to keep your company growing and increasing its profitability for many years as you desire.

 

For this purpose, you workday and night, hand in hand with your family and your employees. You know your company well.  You carried your company to these days. You will determine the future of your company.

 

Well, do you know of a tool that can help you reach your goal, that is, increase the profitability of your company and contribute significantly to its growth? The name of this tool is operational auditing services in India.

 

An operational audit is an application that tells you what's going on in your company and takes a detailed picture of your company.

 

It is a tool that reveals whether your company is progressing in line with the goals you desire and the goals you set. It is a type of audit that determines whether your company's functions (such as marketing, accounting, finance), systems (software, hardware, machinery-equipment, applications), and processes (reporting, stock management, purchasing, distribution) are working effectively and efficiently. (Read More:  Ensure The Safety Of Your Business With A Tax Audit)

 

It is a valuable service that detects critical problems, inefficiencies, losses, and leaks within the company and develops solutions for them.

 

With the operational audit, all financial and non-financial business processes of your company are audited thoroughly and in such a way that there is no significant activity left.

 

Do you think you have control over what's going on in your company? You may be surprised by the findings that will emerge after the operational audit.

 

Many problems, bottlenecks, and inadequacies that are not reflected on you by your managers and employees, that you are not aware of or that even your managers may have overlooked, will be revealed because of these audits.

 

Moreover, these will not only be identified but also solutions will be developed for them. With the best audit firms in India, it will be for you possible to identify all risks that threaten your business and business processes and develop solutions for them.

 

Special attention will be paid to some critical issues and areas that are risky while taking an MRI of your company with operational audits. These areas are generally: 

  • Detection and prevention of internal abuse, loss, and leakage
  • Purchases
  • R&D and production processes
  • Marketing, sales, distribution
  • Cash management
  • Firm's financial structure and management
  • Company-wide internal control system
  • Company's Information Systems (software, hardware, and other applications)
  • Management performance 

So, by whom is the operational audit done?

 

Operational auditing is a type of internal auditing and can be performed by experts in the field of internal auditing. Operational audit is the type that requires the greatest expertise and experience among the internal audit types. When you need to consult auditing and assurance services, we suggest you make sure to inquire about the competence and experience of the consultant to whom you will provide the service. 


This content is meant for information only and should not be considered as an advice or legal opinion, or otherwise. AKGVG & Associates does not intend to advertise its services through this.

Posted by:

CA Aman Aggarwal

AKGVG & Associates

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