On the administrative audit

General, concept and scope: The primary objective of the audit is to identify administrative deficiencies or irregularities in any part of the company concerned and its likely target solutions. The aim is to assist management to achieve a more efficient administration. His intention is to examine and assess the methods and performance in all areas. The evaluation factors include the economic outlook, the appropriateness of the organizational structure, adherence to policies and procedures, the accuracy and reliability of controls, suitable protective methods, the causes of variations, the proper use of personnel and equipment and satisfactory operating systems. Consider that Administrative Audit is a thorough and constructive organizational structure of a company, institution or government department, or any other entity and their control methods, means of operation and give employment to their human and material resources? . (William P. Leonard. Administrativa.1989.pág.45 Audit). In the studies are conducted management audits to identify gaps causing difficulties, are current or potential irregularities, bottling, negligence, fault, error, embezzlement, waste exaggerated, unnecessary losses, actions wrong, poor cooperation, frictions between executives and a general lack of knowledge or disregard of what is a good organization.

Is often the case losses occur for prolonged periods of time, which, like chronic diseases, will make things worse due to lack of vigilance. Management Audit can be of a specific function, department or group of departments, division or divisions or groups of the entire company. Some audits include a combination of two or more of these areas. The field of study may include the economics of production, including items such as specialization, simplification, standardization, diversification, expansion, contraction and integration. It could also include factors of production, namely raw materials, spare parts procurement, availability of labor, available facilities, labor standards, and so on. Moreover, examination areas, among others, could include a study and evaluation of methods for forecasting, scheduling product, engineering, project costs, estimated prices, communications, computers and data processing applications, channels distribution of goods, administrative efficiency, and so on.

The implementation of a management audit may focus on the following items: a. - Plans and company objectives. b. - Organizational structure. c. - Policies and practices. d. - Systems and procedures. e. - Methods of control. f. - modes of operation. g. - material and human resources. h. - Measurement of results. Whenever we have defined what is and what it consists of audits, as well as its scope, aims and objectives we can detail the problems encountered when performing the same in a company as well as possible solutions. Alexis Garcia Gilbert reminds us that the purpose of the audit are the aspects under which the object is observed. We can write the following: 1. Inquiries and determinations on the status patrimonial.2. Inquiries and determinations on the financial statements. 3. Inquiries and determinations on the status reditual. 4. Discover errors and fraud. 5. Prevent errors and fraud 6. General studies on special cases, such as: a. Exams and legales.b tax issues. Consideration for the purchase of a company (asset transfer). C. Test for the determination of apportionment criteria bases, among others. Types of audit: Yolanda Jimenez reminds us that the audit may be external and internal with respect to the first notes that it is the critical review of a systematic and comprehensive information system of an economic unit, by a practitioner without ties work with it, using certain techniques and in order to form an independent opinion on how the system operates, the internal control of it and make suggestions for improvement.

The opinion or independent opinion is irrelevant to the third, it gives full validity to the information generated by the system as it occurs under the guise of public faith, which requires them to have full credibility in the information examined. External Audit reviews and evaluates any of the information systems of an organization and an independent opinion on them, but companies usually require the evaluation of your financial information system independently to give validity to the users of the product east, which has traditionally been associated with the term External Audit Audit of Financial Statements, which as shown is not exactly equivalent, it can be External Audit Tax Information System, External Audit Management Information System, External Audit Automatic Information System etc. Internal audit is the critical review of a systematic and comprehensive information system of an economic unit, conducted by a professional working relationships with the same, using specific techniques and in order to issue reports and make suggestions for improving the it. These reports are for internal circulation and not relevant to the third it does not occur under the guise of public faith.

Internal audits are done by company staff. An internal auditor is responsible for the ongoing assessment of control transactions and operations and is concerned to suggest improved methods and internal control procedures that result in a more efficient and effective. When the audit is conducted by independent professional Public Accountants, the opinion of a disinterested and impartial expert is a definite advantage for the company and a guarantee of protection for the interests of shareholders, creditors and the Public. The absolute impartiality and independence are not possible in the case of the internal auditor, as can not be divorced entirely from the influence of senior management, and although it maintains an independent attitude should be, it can be challenged before the eyes of others. And so we can say that the Auditor should not only be independent, but apparently to obtain public confidence. Conclusions: Definitely as indicated, the objective of the audit is to support members of the firm in the course of their activities. This Audit provides analysis, appraisals, recommendations, advice and information concerning the activities reviewed.

Members of the audit organization who supports, including Directors and Managements