TABLE OF CONTENTS In this appendix, for ease of reference and revision, we have gathered together the seventy (70) A-Factors presented throughout the chapters in the text.
A-Factors (Asbury, Ashwell or Auditing Factors) represent the authors consolidation of the essential knowledge and skills for undertaking risk-based audits.
A-Factor 1: Organizations are concerned with transforming inputs to outputs. Inputs create outputs, and outputs create inputs.
A-Factor 2: Organizations are inseparably intertwined with their external environment. Their managers should take account of this to achieve their organizations objectives.
A-Factor 3: The structure of an organization is a means to an end, not an end in itself.
A-Factor 4: Recognize that ultimately market forces tell organizations if they are listening carefully what to produce (quality), when to produce it (delivery on time) and the price to charge (price). Set out, these objectives should be represented in the business plan.
A-Factor 5: Top management should balance the influences of the competing external and internal environments to face its target market(s) with aligned and well-communicated business objectives.
A-Factor 6: Risk is anything which may hinder or assist achievement of business objectives. It is generally quantified in terms of its residual likelihood and severity. Value creation and value protection are the essence of an organization s success.
A-Factor 7: R = L S Risk = Likelihood Severity.
A-Factor 8: Look for the application of ERIC whenever and wherever there is a significant risk.
A-Factor 9: Know...
