AUDIT RESOLUTION: DOD's Policy Can Be Strengthened
Abstract
As requested by the former Chairman, in July 1987 we reported instances in which better use could be made of audits conducted by Department of Defense (DOD) auditors. Specifically, we reported delays of up to 2 years from agreed-upon schedules for implementing audit recommendations with potential monetary benefits of $363 million and instances when the agreed-to recommendations were not implemented. As part of that request, we also reviewed the DOD policy for audit resolution to determine whether it sufficiently ensures that timely corrective actions are taken on internal audit recommendations. Although DOD's Directive 7650.3 generally contains sound policy requirements for correcting the problems found by its auditors, we believe the directive could be more definitive regarding (1) the auditor's role in reviewing and commenting on managements plans and schedules to implement audit recommendations, (2) the types of follow-up reviews that are needed, (3) reports of delays to top management, and (4) the extent of records needed to substantiate the completion of corrective actions. We believe that including these more detailed requirements in the directive would help to prevent the type of conditions that we observed in our earlier report. We are recommending changes to Directive 7650.3 that would add the needed requirements.
Document Details
- Document Type
- Technical Report
- Publication Date
- Dec 01, 1988
- Accession Number
- AD1167190
Entities
People
- Frederick D. Wolf
Organizations
- United States Government Accountability Office