How do you handle exceptions and deviations identified during IT audit testing?

As professionals in the realm of auditing, it's imperative to address exceptions and deviations discovered during IT audit testing with precision and diligence. One approach involves meticulous documentation of such findings, followed by a thorough analysis to understand the root cause. Collaborating with relevant stakeholders to devise effective remediation strategies is key, ensuring alignment with organizational goals and compliance standards. Moreover, continuous monitoring and refinement of processes play a pivotal role in mitigating future risks. Embracing a proactive mindset fosters a culture of resilience and adaptability, ultimately enhancing the overall effectiveness of audit procedures.

Evaluating the impact is a key step in the process. Invest time to understand what the exception/audit finding means to the organisation. Look at the big picture. Determine whether this finding would have an impact on the whole process or only a part of the process. Similarly, evaluate whether there are any compensating controls that would mitigate the impact of the finding. Once we determine and understand the impact, we can now evaluate the options available to us to take this forward.

In my experience, it is alway wise to evaluate the root cause to the deviation and then evaluate the results. I also develop flow diagrams of the current process to ensure other controls have not been devised to ensure data integrity

Auditors often encounter challenging test outcomes, requiring them to identify any exceptions. Determining whether an unexpected result constitutes a test failure can be difficult. Despite thorough preparation, auditors may not immediately grasp test results. A comprehensive understanding of the procedure and the control's role is crucial for distinguishing between abnormal test outcomes and incorrect test runs. Premature reporting of findings can jeopardize client relationships and undermine the auditor's professional integrity. Auditors must strive to confirm their comprehension of how test results qualify as exceptions.

Quando você lida com exceções ou desvios durante os testes de auditoria de TI, é essencial seguir um processo sistemático. Primeiro, é necessário identificar a exceção ou desvio, observando qualquer resultado que não esteja em conformidade com os padrões estabelecidos. Em seguida, documente cuidadosamente todos os detalhes relevantes, incluindo a natureza da exceção, onde foi encontrada e quem estava envolvido. Depois, realize uma análise detalhada para identificar a causa raiz, revisando processos, sistemas, controles internos e comportamentos das partes envolvidas. Finalmente, avalie o impacto da exceção, considerando aspectos como segurança da informação, conformidade regulatória, integridade dos dados, eficácia operacional e reputação.

Before formally documenting an audit exception and reporting it to management, it is imperative to engage with relevant stakeholders at the operational level. These stakeholders possess detailed insights into the processes and nuances. It is not uncommon for differences in understanding to arise between the auditee and the auditor. Therefore, effective communication is key. The auditor should discuss the findings, associated risks, and deviations with the auditee, seeking their agreement. Only after this alignment or accepting the difference should the auditor formally communicate the deviation to senior management via the audit report or other appropriate channels.

When evaluating remediation and mitigation strategies for exceptions and deviations identified during IT audit testing, consider the following: Assess effectiveness: Evaluate if the proposed actions effectively address the root cause. Ensure timeliness: Confirm that remediation measures can be implemented promptly. Consider cost: Evaluate the financial implications of the proposed solutions. Verify compliance: Ensure alignment with relevant regulations and standards. Ensure sustainability: Confirm long-term viability and adaptability of the remediation measures. Maintain clear communication: Keep stakeholders informed about the progress and potential impacts of remediation efforts.

"Exception" does not equal "Issue"; an exception is the outward manifestation of what could possibly be an issue. Evaluate the exception(s) in both relative and absolute terms.

Comparison to industry standards and best practices: Compare the organization's IT controls and processes with relevant industry standards, frameworks, and best practices (e.g., ISO/IEC 27001, NIST, or COBIT). This will help demonstrate the relative maturity of the organization's IT environment and identify areas for improvement.