Khandhar Mehta and Shah
The business environment is continually changing, and with the increased competition, it has become necessary for businesses to focus on managing the business with the utmost care and dynamism.
A business suffers from various risks, including business risk, operational risk, system risk, and financial risk. All these risks have to be appropriately identified, ranked and managed to stay competitive in the current environment. Risk management and operational efficiencies are the two aspects that can make or break a company. Proper internal controls have to be designed, implemented, and monitored to ensure top-notch performance. Our auditors at KMS helps management by advising them on various aspects to improve the overall performance of the company. We provide management audit services where we conduct risk assessment studies, design internal control, implement management information systems, and ERP systems to ensure that the organizational goals are achieved. As the management of businesses is getting more and more complex, it gets even more important to get expert advice from the ones who are the best in business.
What is a management audit
Management audit is a systematic examination, appraisal, and analysis of management’s overall performance. It involves a comprehensive examination of structures, components of various departments of the organization, analyzing plans and policies, operating procedures and internal control, and how the organization uses its physical and intangible human resources.
It provides a clear, independent, and comprehensive review of the functional efficiency of the organization and improvement opportunities.
Our management audit service is highly customizable to meet your unique needs. We assist you in managing your key business challenges, be it achieving your organizational goals and objectives, meeting operational issues, complying with laws, or providing information that aids in decision making.
Objectives of management audit
To check if the organization is optimally utilizing all the resources, both tangible and intangible, to boost efficiency.
Management audit points out the shortcomings in business processes, policies, and procedures of the organization.
To analyze and identify the weak links that may be present in the organization’s structure or the internal control system and ways to tackle them.
To check compliance with regulatory requirements and internal rules and regulations.
To establish a system where early signals of weaknesses or potential problems can be detected and appropriately addressed.
To obtain expert guidance from management auditors in the matters concerning corporate governance.
Being one of the top CA firms in Ahmedabad, we always focus on giving our clients the best in class services that reflect our values and vision of transparency, flawless, and professional work. Visit our CA website to understand and know more about our services and our company. Choose us for your business as the best deserves the best.
Management audit procedures
The management audit procedure involves five easy steps which are:
Scope of management audit
It includes an independent review of policies, procedures, structures, and controls implemented by the management to achieve organizational goals. It also consists of an examination of decision-making abilities, a review of marketing, research and development, management information system, and processes related to human resources.
The efficacy of various sources of finances and its expenditure on various things and the budgeting process forms a part of the management audit. It helps in identifying the efficiency of utilizing and raising funds.
Studying the market demand and return on capital
Our auditors review the current and prospective demand for products and services offered by the business. Based on the study, they analyze if financial goals made by the business are realistic and also suggest ways and means of achieving them. Whether the return on capital is fair or poor is also checked by the management auditor to assist the management in deciding about product pricing, capital budgeting, and additional fund requirements.
The performance of the firm is compared with either their own past performances or with other firms from the same industry to find the position of the firm, and based on the findings, the auditor suggests the ways to improve.
Finding out areas of cost reduction and suggesting various ways to improve the bottom line
IT Operations Review
Evaluation of physical access controls, back-up procedures, system reviews, network security reviews, and firewall configuration. Undertaking software testing, ERP implementation, and IT project management.
Importance of management audit
Management audit can provide you exceptional results as:
Why choose KMS for management auditing?
What do our clients say about us?
trust. transparency. professional expertise.
frequently asked questions(faqs)
- Scope of work
- Key Findings
- Key Recommendations
- Action Plan