CAG proposes IT & data analytics working group in ASOSAI

On the strength of its experience in IT auditing and data analytics, CAG of India moved a proposal for the establishment of a working group on IT audit and data analytics in the Asian Organisation of Supreme Audit Institutions (ASOSAI).

This proposal was moved by the CAG, Girish Chandra Murmu, in the 58th Governing Board meeting held virtually here on Tuesday.

The Governing Board approved the motion to establish a Special Committee on the feasibility study of establishing this group to be headed by CAG of India. The meeting was attended by all the 12 Governing Board members of the ASOSAI.

The Asian Organisation of Supreme Audit Institutions (ASOSAI) is the Asian Chapter of the International Organisation of Supreme Audit Institutions (INTOSAI), which aims to promote understanding and cooperation among member institutions through the exchange of ideas and experiences in the field of public audit.

Furthering the proposal for the Working Group on IT Audit, Murmu pointed out that e-governance and m-governance are the new normal. All areas of the public sector—financial management and accounting; delivery of public services; social security; targeted social sector developmental programmes; health management and health services delivery; tax and non-tax revenues; etc.—are increasingly performed through IT.

The mission of this working group is to:

(i) Frame IT Audit initiatives to create an enabling environment to conduct IT Audits effectively and develop knowledge and skills in the use of information technology related audits; (ii) Encourage bilateral and regional cooperation among member Supreme Audit Institutions (SAIs) by instituting processes and facilities for knowledge and experience sharing; (iii) Raise the level of competence of the staff and officers of the member SAI through trainings, seminars, webinars, etc. to enable them to undertake audits in a computerised environment in a most professional manner; (iv) Adopt and evolve such standards and guidelines for auditing in a computerised environment (v) Create and share best practises and methods in information technology (IT) related audits and to facilitate the exchange of information and experience and encourage bilateral and regional cooperation; and (vi) Promote partnerships among SAIs, and also between SAIs and academic/research institutions and international organisations with a view to enhancing professional capacities in IT Audit.

With the increasing breadth and variety of electronic data sources in the public sector, data analytics in SAI auditing has gained considerable importance. SAIs across the world now have access to big data in terms of volume, velocity, and variety. The use and mainstreaming of data analytics within SAI, Murmu said, can help in making audits more efficient, effective and meaningful.

The possibility of using AI and machine learning techniques over time to improve audit efficiency in the selection of high-risk and fraud-prone entities and transactions is also immense. The Hindu BusinessLine