Process audits
One process mapped, tested and fixed, with the money at stake made clear.
End-to-end reviews of one process, such as procure-to-pay, order-to-cash, inventory, payroll or capital projects, for control, leakage and efficiency.
Losses rarely spread evenly across a business. They concentrate in a process: purchasing, sales and collections, inventory and scrap, payroll or capital projects. A process audit takes one of these from end to end and asks three questions. Are the controls well designed? Do they work in practice? Where is value leaking?
We walk through the process with the people who run it and map how work is really done, which often differs from the written procedure. We then test controls on full data where we can, look for leakage such as duplicate payments, excess scrap or unclaimed credits, and measure the delays and rework that cost money without being fraud.
The report sets out findings in order of value and risk, with root causes and practical fixes that the owners have agreed. Where a finding suggests misconduct, we say so and recommend how to establish the facts.
One process is losing money, generating audit findings or growing faster than its controls.
Signs we see most often
- 01One process generates repeated audit findings.
- 02Costs, scrap or write-offs are rising without a business reason.
- 03A process has been automated or moved to a new system.
- 04Growth has outpaced approvals and checks.
- 05Management suspects leakage but cannot see where it happens.
Scoped in writing, run by one accountable team.
Every engagement starts with agreed questions, a reporting line and a confidentiality protocol. The steps below are how this service usually runs; we adapt them to your matter.
- 01SelectAgree the process, units, period and objectives.
- 02MapWalk through the process with its owners and map how work is really done.
- 03TestTest the design and operation of key controls, on full data where possible.
- 04MeasureQuantify leakage, delays and rework.
- 05FixAgree root causes, fixes, owners and dates.
- 06ReportReport findings in order of value and risk.
A process that is mapped, tested and fixed, with the value at stake made clear.
- A process map with its control points
- Control test results
- A quantified view of leakage and inefficiency
- Agreed actions with owners and dates
- A short report for management and the audit committee
The law and frameworks this work is aligned to
- ICAI Standards on Internal Audit
- COSO Internal Control: Integrated Framework (2013)
- Companies Act, 2013 s.134(5)(e) on internal financial controls
- IIA Global Internal Audit Standards (2024)
References show the standard the work is built to. They do not imply accreditation or endorsement by the bodies that publish them.
This is a summary of the service. For a deeper understanding of how it would work for your organisation, please reach out to us.
Talk to a BDI partnerWhere this service meets BDI's technology.
The platforms below record, monitor or act on the work this service produces.
Questions clients ask before we start.
Which processes do you audit?
Any process with material risk, most often procure-to-pay, order-to-cash, inventory and scrap, payroll and capital projects.
Will you recommend new systems?
Only where better controls, roles or reports cannot fix the problem. Most fixes are practical changes to how the existing process runs.
What if you find fraud?
We report the indicators and recommend how to establish the facts, usually through a separate, scoped investigation.