The Research And Practice Of Risk-oriented Audit For WY Corporation

Perplexing international economic environment bring a great many impact on our economy owning to the world's economic instability since the international crisis in 2008.Without exception,China's construction enterprises are facing increasingly fierce competition and complex business environment.In order to evaluate the significant risk more effectively and to disclose the significant risk that enterprises are facing,then to put forward the feasible control strategies, some of China's construction enterprises began to use the theory and method of risk- oriented audit. But there are still gaps and space to improve in practical work.Therefore,we need to establish a set of scientific and standard audit procedures and methods of risk assessment by combining with the construction industry enterprises,which bring the theory of risk-based audit into the whole process of audit work.Finally,which forms a risk-oriented audit model that is suitable for construction enterprise and solve the problem of construction companies in the application of risk-oriented audit theory.This paper firstly study the connotation/theory/features and functions of risk-oriented audit,and then analyzes and expounds the necessity and possibility of application in audit risk-oriented taking the actual operation situation of WY group Shanghai Co., Ltd. as an example.Secondly,this paper constructs a model of risk-oriented audit of WY by combining the theory of Risk-oriented audit with the characteristics of the industry and the situation of enterprise.Lastly,this paper shows the main steps of Risk-oriented audit model which are applied to the practical work of audit.The Risk-oriented audit model,which devises a set of scientific and standard methods and tools,have served the bottleneck problem of the risk assessment of the audit work by Using qualitative and quantitative method.Furthermore,this model achieves comprehensiveness/accuracy and dynamics by integrating the two subsystem of risk assessment and audit system.This model of WY allocates audit resources to high risk areas,which reduces the risk of internal audit effectively and improves the effectiveness and efficiency of internal audit.