Audit supervisors oversee audit staff, planning and reporting, and review the audit staff’s automated audit work papers to ensure compliance with the company’s methodology. They prepare reports, evaluate general auditing and operating practices, and communicate findings to the superior management.
The duties of an audit supervisor include, but are not limited to:
Preparing reports summarizing findings and recommending corrective action
Reviewing audit plans to determine objectives, methodology, and estimated time frame for completion
Developing and enforcing policies and procedures for the auditing department
Supervising auditors and making sure that they are completing their work in accordance with company standards
Reviewing financial statements for accuracy and ensuring that required disclosures are made
Overseeing all aspects of an audit, including planning, conducting interviews with individuals who have knowledge of the subject matter, analyzing data, and preparing reports
Ensuring that the audit meets legal requirements and conforms to generally accepted accounting principles (GAAP)
Monitoring the progress of the audit and communicating with the client regularly about issues or concerns that arise during the process.
Audit supervisors work in a variety of settings, including corporate offices, government agencies, and public accounting firms. They typically work a standard 40-hour week, although they may occasionally work overtime to meet deadlines or to complete special projects.
Audit supervisors typically work on teams of auditors, and they may travel to different locations to conduct audits. The work can be stressful at times, and audit supervisors must be able to handle deadlines and pressure.
A bachelor’s degree in accounting and finance, business administration, mathematics, or a related field is generally required to work as dividend analyst. Some employers may prefer candidates with a master’s degree in these fields.
Audit supervisor is not an entry-level role. People in that position typically have five to ten years of experience in the auditing or accounting field.
ISCO skill level is defined as a function of the complexity and range of tasks and duties to be performed in an occupation. It is measured on a scale from 1 to 4, with 1 the lowest level and 4 the highest, by considering:
the nature of the work performed in an occupation in relation to the characteristic tasks and duties
the level of formal education required for competent performance of the tasks and duties involved and
the amount of informal on-the-job training and/or previous experience in a related occupation required for competent performance of these tasks and duties.
This knowledge should be acquired through learning to fulfill the role of audit supervisor.
Financial statements: The set of financial records disclosing the financial position of a company at the end of a set period or of the accounting year. The financial statements consisting of five parts which are the statement of financial position, the statement of comprehensive income, the statement of changes in equity (SOCE), the statement of cash flows and notes.
International financial reporting standards: The set of accounting standards and rules aimed at companies listed in the stock exchange which are required to publish and disclose their financial statements.
Audit techniques: The techniques and methods that support a systematic and independent examination of data, policies, operations and performances using computer-assisted audit tools and techniques (CAATs) such as spreadsheets, databases, statistical analysis and business intelligence software.
Internal auditing: The practice of observing, testing, and evaluating in a systematic manner the processes of the organisation in order to improve effectivity, reduce risks, and add value to the organisation by installing a preventive culture.
Tax legislation: Tax legislation applicable to a specific area of specialisation, such as import tax, government tax, etc.
Corporate law: The legal rules that govern how corporate stakeholders (such as shareholders, employees, directors, consumers, etc) interact with one another, and the responsibilities corporations have to their stakeholders.
These skills are necessary for the role of audit supervisor.
Prepare audit activities: Prepare an audit plan including both pre-audits and certification audits. Communicate with the different processes in order to implement the improvement actions that lead to certification.
Ensure continuous preparedness for audits: Ensure constant compliance with standards and requirements, such as keeping certifications up to date and monitoring activities to ensure correct procedures are followed, so that audits can occur smoothly and no negative aspects can be identified.
Prepare financial auditing reports: Compile information on audit findings of financial statements and financial management in order to prepare reports, point out improvement possibilities, and confirm governability.
Interpret financial statements: Read, understand, and interpret the key lines and indicators in financial statements. Extract the most important information from financial statements depending on the needs and integrate this information in the development of the department’s plans.
Analyse financial performance of a company: Analyse the performance of the company in financial matters in order to identify improvement actions that could increase profit, based on accounts, records, financial statements and external information of the market.
Pose questions referring to documents: Revise and formulate questions in regards to documents in general. Investigate about the completeness, confidentiality measures, style of the document, and specific instructions to handle documents.
Observe confidentiality: Observe the set of rules establishing the nondisclosure of information except to another authorised person.
Arrange audit: Arrange a systematic examination of books, accounts, documents, and vouchers to ascertain how far the financial statements present a true and fair view, and to ensure that the books of accounts are properly maintained as required by law.
Supervise staff: Oversee the selection, training, performance and motivation of staff.
Develop audit plan: Define all organisational tasks (time, place and order) and develop a checklist concerning the topics to be audited.
This knowledge is sometimes, but not always, required for the role of audit supervisor. However, mastering this knowledge allows you to have more opportunities for career development.
Accounting department processes: The different processes, duties, jargon, role in an organisation, and other specificities of the accounting department within an organisation such as bookkeeping, invoices, recording, and taxing.
Financial department processes: The different processes, duties, jargon, role in an organisation, and other specificities of the financial department within an organisation. Understanding of financial statements, investments, disclosing policies, etc.
Quality standards: The national and international requirements, specifications and guidelines to ensure that products, services and processes are of good quality and fit for purpose.
Employment law: The law which mediates the relationship between employees and employers. It concerns employees’ rights at work which are binding by the work contract.
Company policies: The set of rules that govern the activity of a company.
These skills and competences are sometimes, but not always, required for the role of audit supervisor. However, mastering these skills and competences allows you to have more opportunities for career development.
Audit contractors: Examine and document different industry contractors, in order to determine whether they comply with regulations and standards in relation to safety, environment and quality of design, construction and testing, etc.
Advise on financial matters: Consult, advise, and propose solutions with regards to financial management such as acquiring new assets, incurring in investments, and tax efficiency methods.
Execute ICT audits: Organise and execute audits in order to evaluate ICT systems, compliance of components of systems, information processing systems and information security. Identify and collect potential critical issues and recommend solutions based on required standards and solutions.
Follow the statutory obligations: Understand, abide by, and apply the statutory obligations of the company in the daily performance of the job.
Conduct financial audits: Evaluate and monitor the financial health, the operations and financial movements expressed in the financial statements of the company. Revise the financial records to ensure stewardship and governability.
Advise on efficiency improvements: Analyse information and details of processes and products in order to advise on possible efficiency improvements that could be implemented and would signify a better use of resources.
Adhere to organisational guidelines: Adhere to organisational or department specific standards and guidelines. Understand the motives of the organisation and the common agreements and act accordingly.
Revise questionnaires: Read, analyse, and provide feedback on the accuracy and adequacy of questionnaires and their assessment fashion taking into account its purpose.
Perform quality audits: Execute regular, systematic and documented examinations of a quality system for verifying conformity with a standard based on objective evidence such as the implementation of processes, effectiveness in achieving quality goals and reduction and elimination of quality problems.
Adhere to questionnaires: Follow and ask the questions laid out in questionnaires when interviewing somebody.
Make strategic business decisions: Analyse business information and consult directors for decision making purposes in a varied array of aspects affecting the prospect, productivity and sustainable operation of a company. Consider the options and alternatives to a challenge and make sound rational decisions based on analysis and experience.
Design questionnaires: Study the objectives of the research and imprint those aims into the design and development of questionnaires.
