The Research On Problems And Strategy Of Risk-based Strategic-systems Audit Approach In China

As the global economy changes greatly in the 21St century, the enterprises contact more closely with the environment outside. Because of the impulse for profit and the external expect of an enterprise, the chance and pressure of enterprise financial cheat are increasing, so that the failed cases of audit become more and more. At the same time, the risk of audit for CPAs is increasing. In one word, to solve both theoretical and practical dilemmas, new type of audit and audit mode is urgently needed for the CPAs to avoid audit professional risk and enable them to improve audit efficiencies and effects. The modern risk-oriented audit was produced in such situation, which makes modem risk-orient audit approach become the focus of the audit industry insider and outsider. IAASB issued three international audit risk standards based on modern risk-oriented auditing in Oct.2003, which are required to be used from Dec.15,2004. China's Ministry of Finance also issued four audit risk standards in Feb. 2006, which are required to be used in domestic accountant firms. It is obvious that modern risk-oriented audit approach being used worldwide is an unchangeable trend. Hence, research on theory and practice of this audit mode is very important.Therefore, the author systematically analyzes the production, theoretical frame and application of modern risk-oriented auditing, and proposes some suggestions about the application of this audit approach in our country, combining the actual audit conditions of our country. The author expects to find out a modern risk-oriented audit approach suitable to our national condition by doing research on it. The modern risk-oriented auditing will contribute to our national audit theory research and practice application and improve our national audit technical level and international competitiveness of accountant firms.