PCAOB - benchmarking automated application controls 1968

  • All,
    PCAOB Q_and_A 45 states that under certain circumstances / pre-conditions, benchmarking is allowed for testing automated application controls.
    I am wondering who uses a rotational program or benchmarking strategy for testing automated application controls since it presents an area of potential audit efficiency.
    The pre-condition is an investments in effective Information Technology (‘IT’) general controls. If general controls over program changes, access to programs, and computer operations are effective and continue to be tested, and if the auditor verifies that the automated application control has not changed since the auditor last tested the application control, the auditor may conclude that the automated application control continues to be effective without repeating the prior year’s specific tests of the operation of the automated application control.
    We want to use this internally as well, any experience on this?

  • Hi Ramon,
    You might find the thread on ‘Scoping’ to be of interest. [Use the search function at the top of the screen and type in ‘Scoping’]. Within that thread, our regular cast of contributors elaborated a bit on methods used in benchmarking.

  • Thanks, I thought this should not be new. But I could not find the topic, and did not consider it under scoping… (sorry)

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