Employing Flowcharts In IT Audits Of Essential Purposes

A flowchart can be extremely valuable in auditing crucial enterprise applications and programs this sort of as company resource organizing systems (ERP) and support oriented architecture (SOA) techniques. As IT auditors we are involved with obtaining a clear comprehension of the pitfalls and controls in the technological innovation underneath overview. Flowcharts aid an accurate evaluation of an IT atmosphere.

In accordance to Wikipedia, the standard definition of a flowchart is a kind of diagram that signifies an algorithm or process that demonstrates knowledge and its motion usually with arrows. The use of flowcharts is frequent in several fields for investigation, style, documentation and method administration.

Flowcharts are most useful to visually screen organization processes and the supporting technological innovation. Auditors can target on diverse factors of data flows and infrastructure in these diagrams based on the assessment of pitfalls and controls.

SGX NIFTY CHART that can be captured in a flowchart include information inputs from a file or database, selection details, sensible processing and output to a file or report. Dangers and controls in a company process can be documented visually and analyzed.

Four basic designs are frequently employed to create flowcharts. A sq. is employed for a approach (e.g. add, exchange, conserve). A sq. with a wavy base is utilised for a doc. A diamond is employed for a decision position (e.g. sure/no, true/fake). A sideways cylinder is used for information storage (e.g. database). These conventional shapes ended up initially established by IBM and other pioneers of info technological innovation.

Further styles contain circles, ovals and rounded rectangles for the start off and end of a enterprise procedure. Arrows demonstrate 'flow control' between a supply image and a target image. A parallelogram represents input and output e.g. information entry from a type, exhibit to user.

In producing flowcharts, there are some fundamental rules to adhere to. Commence and conclude points should be clearly outlined. The level of element documented in the flowchart ought to be acceptable to the subject subject lined. The creator of the flowchart ought to have a clear comprehending of the method and the intended audience need to be able to comply with the flowchart effortlessly.

Our crew of IT auditors, utilizes Microsoft Visio extensively to create flowcharts and to examine enterprise processes. A flowchart is usually made with vertical columns representing various departments or phases that are portion of an overall enterprise approach. Interfaces among departments can be demonstrated whether or not automated or handbook connections that facilitate the organization procedure.

Flowcharts can explain the controls on data inputs, processing and outputs. Input controls might include edit and validation checks. Processing controls can be in the sort of management totals or milestones. Output controls may possibly consist of error checking and reconciliations. This kind of a representation on a flowchart makes it possible for an auditor to identify regions in a organization method with weak or non-existent controls.

An instance of technological innovation that can be comprehended through flowchart investigation is company useful resource preparing application this kind of as Oracle e-Business Suite and SAP. Enter controls are established by means of specific 'rules' to make certain the validity of knowledge. Method controls are applied to high-chance features, transactions or kinds. Output controls consist of stories and reconciliations.

Yet another case in point of complex engineering that can be understood by means of flowcharts is services oriented architecture (SOA). This architecture is made up of a lot of net and computer software elements that are built-in to hook up provider vendors with service buyers. 'Web services' support distinct company procedures. Every single of these web providers will generally have controls on data inputs, processing and output. The flowchart is essential to comprehend this sort of internet solutions and their integration in a broader surroundings usually via an Company Services Bus (ESB).

In summary, a flowchart can be employed by IT auditors to evaluate a company process. Distinct factors of the process can be emphasised this sort of as hazards, controls, interfaces, selection details, engineering infrastructure and factors. The popular expression of a photograph is equal to a thousand words is precise. A flowchart can capture important details that verbiage and text cannot simply match. We encourage the IT audit, threat and management communities to use this powerful instrument in performing their respective functions.