By definition, audit data analytics (ADA) is the science and art of discovering and analyzing patterns, identifying anomalies, and extracting other useful information in data underlying or related to the subject matter of an audit through analysis, modeling, and visualization for the purposes of planning or performing an audit. Whew, that is a long sentence. However, it is also an important sentence. It is important because analyzing data is the crux of an external audit. Moreover, how audit data analytics ties into effectively positioning a firm for the future is equally important.
Current State: Auditors Struggle
How auditors work with data to better understand their client and plan a quality audit is critical. Yet, a significant amount of auditors struggle with audit data analytics. It is a scary task to many auditors. From getting data in a ready format, to knowing how to do data analysis is often a challenge. Auditors struggle with knowing HOW to do data analysis. Just to name a couple of pain points. Therefore, it is equally critical that a firm provide a structured and systematic approach to analyzing data. Auditors must know they are following proper governance. Additionally, they must know they are managing risk in the best way possible. Finally, they must feel confident they are ensuring compliance across their entire organization.
Future State: Audit Data Analytics Made Easy
If your team struggles with audit data analytics, TeamMate Analytics is a perfect solution. Released in June 2017 for use by external auditors, TeamMate Analytics is an audit data analytic (ADA) tool designed for accounting firms. Through product key features, TeamMate Analytics addresses common pain points around analyzing data.
Common Pain Points Addressed
Here are three common examples:
- Pain point: Auditors currently struggle with the basic concept of even knowing how to do data analysis. This is such a problem that the AICPA has an ongoing project called the RADAR Initiative. Its purpose is to move the audit process away from a sampling approach. That approach, which is part of the current audit workflow for most firms, is inherent to errors. Instead, the RADAR initiative moves the audit process toward analyzing 100% of transactions in real time.
- TeamMate Analytics product key feature: Normalized data and customizable prepackaged modules allow the firm to standardize tests. This ensures the auditor is following proper governance.
- Pain point: Auditors are scared of data analytics procedures, and do not know how to interpret the results.
- TeamMate Analytics product key feature: The test library, with over 200 tests, provides guidance to staff. It includes when to run the tests and how to interpret the test results. This ensures risk is well managed.
- Pain point: Robust analytic tools are costly and oftentimes not intuitive; therefore, not accessible to every auditor and every audit.
- TeamMate Analytics product key feature: Familiar look and feel of the product makes it easy to learn and use, especially when compared to its competitors. Additionally, it is affordable without breaking the bank. This enables compliance across the organization among all of the firm’s auditors.
So, stop the madness! Your auditors no longer need to struggle with audit data analytics. Check out what customers like Brad Caruso of Withum are saying about the value TeamMate Analytics brings to a firm. Also, watch this awareness video for a full understanding of this tool’s capabilities. Then, visit this TeamMate Analytics webpage to read additional customer testimonials.