Performance Audit Stages
A typical performance audit may involve various stages, and take an average of 6 to 9
months to complete, depending on the complexity and scope of the audit.
Strategic planning
Strategic planning
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Undertake strategic planning review and identify and prioritise
Undertake strategic planning review and identify and prioritise
potential audit topics.
potential audit topics.
Follow-up
Follow-up
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Audit selection
Audit selection
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Select topic from Performance Audit Program or other priority issue.
Select topic from Performance Audit Program or other priority issue.
Initial audit planning
Initial audit planning
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Through detailed research, develop a sound understanding of the
Through detailed research, develop a sound understanding of the
subject matter, and relevant stakeholders. Obtain information relating to
subject matter, and relevant stakeholders. Obtain information relating to
the objectives of the activity or program, accountability relationships,
the objectives of the activity or program, accountability relationships,
resources, legislation, policy and guidelines, management processes
resources, legislation, policy and guidelines, management processes
and systems, and the external environment.
and systems, and the external environment.
Prepare draft objectives, scope, criteria and test program.
Prepare draft objectives, scope, criteria and test program.
Consider use of audit steering committee, advisors or subject experts.
Consider use of audit steering committee, advisors or subject experts.
For multiple agency audits, select which agencies to audit.
For multiple agency audits, select which agencies to audit.
Consider possible/likely findings and conclusions (‘audit hypothesis’).
Consider possible/likely findings and conclusions (‘audit hypothesis’).
Consult agency.
Consult agency.
Pilot audit/initial field work
Pilot audit/initial field work
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Develop questionnaire and hold focus group if appropriate.
Develop questionnaire and hold focus group if appropriate.
Check workability of audit program.
Check workability of audit program.
Undertake initial fieldwork.
Undertake initial fieldwork.
Identify early (indicative) findings, and review/revise plan (objectives,
Identify early (indicative) findings, and review/revise plan (objectives,
scope, focus, criteria) as appropriate.
scope, focus, criteria) as appropriate.
Consult agency.
Consult agency.
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Audit field work
Audit field work
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Undertake field work in accordance with plan/program – document audit
Undertake field work in accordance with plan/program – document audit
activities, observations, and findings.
activities, observations, and findings.
• Review and analyse audit evidence and findings, and draft interim
• Review and analyse audit evidence and findings, and draft interim
conclusions and recommendations.
conclusions and recommendations.
• Consult agency as appropriate.
• Consult agency as appropriate.
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Reporting (draft)
Reporting (draft)
• Prepare draft report.
• Prepare draft report.
• Consult agency, including holding exit interview if required.
• Consult agency, including holding exit interview if required.
• Consider comments received from agency.
• Consider comments received from agency.
Reporting (proposed)
Reporting (proposed)
• Review and revise draft report, and prepare proposed report for tabling.
• Review and revise draft report, and prepare proposed report for tabling.
• Provide proposed report to agency Chief Executive for formal response.
• Provide proposed report to agency Chief Executive for formal response.
• Consider formal response received from agency.
• Consider formal response received from agency.
Reporting (Final)
Reporting (Final)
• Revise proposed report as needed.
• Revise proposed report as needed.
• Print report and present to the Legislative Assembly; provide
• Print report and present to the Legislative Assembly; provide
embargoed copy to agency to facilitate briefing of Minister.
embargoed copy to agency to facilitate briefing of Minister.
• Distribute report.
• Distribute report.
Finalisation
Finalisation
• Prepare and offer briefing to agency, PAC, and MLAs.
• Prepare and offer briefing to agency, PAC, and MLAs.
• Complete and archive work papers.
• Complete and archive work papers.
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Monitor follow-up of
Monitor follow-up of
initial response to the
initial response to the
audit (formal
audit (formal
Government
Government
response,
response,
Legislative Assembly
Legislative Assembly
– especially PAC – especially PAC agency Audit
agency Audit
Committees, media,
Committees, media,
stakeholders).
stakeholders).
Review agency
Review agency
Annual Reports for
Annual Reports for
appropriate reporting
appropriate reporting
of audit and action
of audit and action
taken and proposed.
taken and proposed.
Monitor and review
Monitor and review
agency actions to
agency actions to
address deficiencies
address deficiencies
and
and
recommendations.
recommendations.
Consider:
Consider:
inquiry through
inquiry through
interviews of
interviews of
appropriate officials;
appropriate officials;
analysis of
analysis of
documents including
documents including
minutes of meetings
minutes of meetings
(especially Internal
(especially Internal
Audit Committee
Audit Committee
meetings), action
meetings), action
plans, internal
plans, internal
progress reports and
progress reports and
management
management
assertions about
assertions about
progress; and
progress; and
discussion with staff,
discussion with staff,
clients and
clients and
stakeholders about
stakeholders about
implications of
implications of
progress and next
progress and next
steps.
steps.
Conduct follow-up
Conduct follow-up
audit, or re-audit as
audit, or re-audit as
necessary.
necessary.
NOTE:
NOTE:
To effectively
To effectively
address audit
address audit
findings, full
findings, full
implementation of
implementation of
recommendations
recommendations
should occur within
should occur within
two years.
two years.