- All agencies should ensure that they maintain the integrity of their financial control environment and their key financial and operational databases by:
a. periodically reviewing and updating policies and procedures, and communicating these to staff
b. periodically reviewing the adequacy of their controls that prevent, and detect non-compliance with management approved controls
c. recording information in a format that enables management to monitor compliance with policies, through analysis of transactions and databases.
Use of data analytics – guidance to all agencies
2. Data analytics is a technique that all agencies can use to gain assurance about the reliability and efficiency of their operations. In particular, we recommend that agencies consider its use:
a. by their internal auditors, and for periodic management reporting, to provide assurance about agency functions that can be measured through interrogation of ‘big data’. Such analysis would be especially warranted if the full effect of a problem is unknown
b. after agency restructuring and/or a new system or procedure has been implemented, or after key controls have been modified to achieve efficiencies. This testing can detect fraud or errors that may be a result of gaps in the new/revised controls.