Download Secretarial Audit by N P Agarwal PDF

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  • March 28, 2017
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By N P Agarwal

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But that background does not necessarily confer the qualities of a broadly usable management auditor. The financial auditor often experiences special problems in making the shift from a test to management auditing; he leaves the shelter of a practice that requires comparatively little innovative thinking. He will, therefore, prohably continue to be most useful in Management Audit 43 engagements in which findings will issue primarily from the examination of records. Auditors whose best qualification is extensive and have specialised knowledge in specific management activities should be used selectively.

Some executives have taken a look at what other executives are doing, perhaps in other types of industry, and sometimes the executives have selected and installed similar methods or techniques in their own organisations. The results may or may not have been good, because a method or technique workable in one organisation is not necessarily workable in another. In most organisations, the research is generally conducted in high cost areas, possibly in the cost of overheads, engineering works, distribution and services, or in administrative and office work.

6. Approach Management audit includes managerial activities and operations, whereas financial audit includes financial accounts statements and schedules. 7. Yardstick Generally management audit is measured by means of accepted principlcg of management while principles and postulates of accountancy serve as the yardstick for financial audit. 47 Management Audit 8. Process Management audit is a preventive as well as creative check, while financial audit is a postmortem audit. 9. Precision Management audit considers relative precision, while in financial audit absolute precision is aimed at.

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