Connect Further: Audit Management Software Programs

September 3, 2018

As auditors, we know the importance of proper documentation and record-keeping. There are many audit management software programs that internal audit departments can use to organize their engagement work papers, but how do we determine which (if any) program is right for our department?

In an effort to bridge popular topics from ACUA’s online discussion form, Connect ACUA, with the College and University Auditor, we present our first “Connect Further” feature—Audit Management Software Programs. A series of questions were posted to Connect ACUA asking members to share their experience with (or without) audit management software. While many factors contribute to an audit shop’s decision-making process over which software to implement, this feature summarizes key areas commonly discussed within Connect ACUA, as well as responses from a follow-up survey for additional input.

INTRODUCTION

Respondents were from small, medium, and large audit shops (1-5, 6-10, and 11+ professionals, respectively). This section identifies various audit management programs in place and the average number of years utilized. Here within, note that “Microsoft Tools” includes Microsoft Office Suite products (which is not considered an audit management program) and “TeamMate” includes TeamMate AM and TeamMate+.

FUNCTIONS AND UTILIZATION

Respondents use their audit management programs for both one-time and recurring engagements. Such engagements include audits (financial, operational, compliance), investigations, advisory projects, ERM, and follow-up. A summary of which audit management programs have highly-desired functions are presented below, as well as the percentage of total audit shops that either utilize or do not utilize these functions.

Y, Y= Yes, the program has this function and it is utilized
Y, N= Yes, the program has this function, but it is not utilized
N= No, the program does not have this function

ADVANTAGES AND DISADVANTAGES

Respondents also provided their opinions of what they believe each software does well (advantages)
and does not do well (disadvantages):

	Advantages	Disadvantages
ACL GRC	Cloud-based (access via any web browser) Easy to implement (no installation needed) ACL analytics linkages Configurable to department’s unique terminology and approach	Features not very customizable No reviewer sign-off No master repository for documents to be used/referenced elsewhere Cannot easily see entire work paper or individual audit risk assessment information
Auditor Assistant	Efficient cloud repository for documents	Significant learning curve for newest version
AutoAudit	Flexibility to develop work paper templates History of modifications/archiving Easy to use Status of work papers (in process, preliminary review, final review, etc.) Ability to link work papers (referencing) Audit universe risk assessment Collaborative, as multiple auditors can edit a work paper	Difficult to navigate between work papers Unable to open multiple work papers at once between sections No modifications can be made to a work paper submitted for review until an administrator "clears" the request Unable to import whole folders Not cloud-based Lacks robust project management tools to create and manage task lists across multiple projects and audit teams
Caseware	Easy to use Drag and drop technology Review notes	Does not have the ability to track recommendations
Ideagen	Searchable database of findings Universe Management, Risk & Control Ledger, Engagement Risk assessment Can input risk-based audit programs from a central library	Ongoing training needs improvement Too customizable (overwhelming and time-consuming) Difficult to share work papers and make edits among the team
Microsoft Tools	OneNote useful for gathering and organizing data in one spot Little to no training required (Microsoft Suite products have a long history)	Sign-off and review are difficult Need better filing organization Hyperlinks cross-referenced to other work papers are lost when files are transferred to different drives Manual and time-consuming Inconsistencies in audit documentation
MK Insight	Recommendation tracking (for follow-up) Data pulled together easily for reporting Time-keeping and reporting functionality	Risk assessment module is lacking Difficult to learn One auditor in a project at a time Better suited for audit shops performing routine audits or large corporate audit shops Templates cumbersome to build
ProSystems Engagement	Users can access files from any location Robust document repository Customizable to any audit plan Work paper sign-offs (e.g., prepared by, reviewed by) Work paper notes Work paper index customization	Unable to track staff timing Not cloud-based Workflow (history of changes) not maintained No recommendation tracking
TeamMate	Centralized database for work papers, procedures, test plans, and reports (for future re-use) Tracking of project time (for budgeting) and other metrics Work paper review and sign-offs Audit trail Management action plan follow-up Can be cloud-based (easy access) Links to other documents, risks, or controls	Inability to cut and paste pictures directly into a procedure Inability to tailor work paper indexes Schedule model too complex for small audit shops Risk and Control model cumbersome General look and feel is outdated Reporting capabilities are lacking Time-consuming to use Better editing of text and charts

PRICING
Pricing for these products can vary for many reasons, such as year purchased, service package,
number of licenses, initial set-up costs, location, discount pricing, state contract pricing, etc. However,
here are some price-point highlights that respondents shared:
ACL GRC
• Annual licensing: $4,500 (3 users)
Auditor Assistant
• Initial training/implementation: $6,600 (medium-size audit shop)
• Annual licensing: $9,275 (10 users)
AutoAudit
• Initial training/implementation: $18,800 (medium-size audit shop)
• Initial training/implementation: $12,000 (small-size audit shop)
• Annual licensing: $3,200 (7 users)
• Annual licensing: $1,840-$3,000 (3-6 users)
Caseware
• Initial training/implementation: $1,000 per user
• Annual licensing: $500 per user
Ideagen
• Initial training/implementation: $24,000 (medium-size audit shop)
• Annual licensing: $1,800 (6 users)
Microsoft Tools
• No additional costs
MK Insight
• Initial training/implementation: $109,000 (large-size audit shop; 42 licenses)
• Initial training/implementation: $60,000 (large-size audit shop; 20 licenses)
• Annual licensing: $6,000 (7 users)
• Annual licensing: $13,000 - $14,000 (20 users)
ProSystems Engagement
• Initial training/implementation: $8,100 (medium-size audit shop)
• Annual licensing: $2,500-$10,000 (7-10 users)
TeamMate
• Initial training/implementation: $40,000 (medium-size audit shop)
• Annual licensing: $249 per user; $5,670 hosting service (7 users)
• Annual licensing: $16,000 (20 users)

THE RESULTS ARE IN!

Overall, most respondents were able to offer recommendations on which audit management programs work well in a certain size audit shop and which do not:

The College and University Auditor would like to thank all ACUA members who participated for their time and cooperation. If there are any topics you would like to see for Connect Further features, comments/feedback on this new feature, or any questions please contact Marilyn Carnevale at marilyn.carnevale@rutgers.edu or Sonja Erickson at ericksonso@umsystem.edu.

About the Author

Marilyn Carnevale

Marilyn Carnevale is a Certified Public Accountant (CPA), Certified Internal Auditor (CIA), Certified Government Financial Manager (CGFM), and Public School Accountant (PSA). She is the editor of College and University Auditor and works as a senior auditor for Rutgers, The State University of New Jersey. From Rutgers, Marilyn received a Bachelor of Science degree in Accounting and Communication, has a Graduate Certificate in Governmental Financial Management, and Master of Accountancy in Governmental Accounting. Prior to joining Rutgers, Marilyn worked as an audit supervisor at a regional public accounting firm in the New Jersey area.

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