The growing complexity of computer systems and accounting applications has revolutionized the accounting field. Fraudsters take advantage of this opportunity through vulnerabilities in the systems and in their controls. Data analysis tools and methods can assist in the detection of red flags that indicate fraud. Data analysis is the automated extraction of volumes of data, usually databases containing records such as: account information, general ledgers, payroll, and sales records. Through sophisticated testing of data one can take advantage of CAATs (computer-assisted audit techniques) to identify anomalies, detect the red flags of fraud and assist in fraud prevention.
There will be a brief technical overview of the current IT audit and investigative software and processes used to explore contemporary accounting systems and databases. A panel discussion around actual use and application of CAATs along with the benefits of employing CAATs including increasing the personal productivity of auditors, increasing the efficiency of the audit process, and increasing the market value of audit professionals.