newham company is a publicly traded company operating in the "personal product" industry

SAMPLE AUDIT PROGRAM
Business risk analysis
Business risks are inevitable part of the business. From the financial risks such as investments, new
market competition, unwelcome threats in the business world. Therefore, the management need to
equip the business with risk management strategies to be ready to meet risks and fight them with
minimal disruptions of the business operations. The business risks for the Newham Company comes
in many forms and it is important to consider different types of risks in order to properly assess the
ones that greatly impact the business operations. Therefore, Newham Company need to create a list
of the identified business risks helps the company to organise risks assessment. First in considering
the business internal environment, the following risks will be looked at relating to the Newham
Company: financial, marketing, operational, strategic and work force risks. Second, external business
environments consider the changing economy, new market competition and natural disasters.
However, some business risks are not easily noticeable and therefore, the identification process
needs to be ca
ied carefully.
We are considering the business risks for each business function in Newham Company. Therefore,
we are evaluating each business functions in regards to the effects that would occur if the function
were inte
upted, unavailable or significantly changed. Therefore we are going to consider:
 The types of events that may adversely impact the business function
 The upside and downside of failure scenarios for each business function. Also need to review
the alternatives for each risk identified.
Business risks considering in each department
a) Safety
 Potential for human loss of life or injury
 Potential for major incident or accident such as fire, explosion, spill or release
 Environment damage
 Office or facility security
) Revenues
 Loss of customer base
 Recoverable monetary loss
 Lost opportunity in time to market
 Unrecoverable monetary loss
c) Costs
 Costs incu
ed due to problems that could have been prevented
 Costs due to lost discounts, increased warehousing space, vendor changes
 Legal defence costs
d) Legal
 Regulatory compliance failures
 Results or actions that could justify legal actions against the company

e) Related exposure
 Loss of customer
 Loss of goodwill
 Loss of shareholders confidence
 Loss of reputation or public image or investor confidence
f) Security
eaches
 System
eaches causing lost data
 System
eaches causing loss of capital
 Physical security
eaches

Audit program
General items
a) Get relevant financial information
 Monthly financial reports
 Charts of accounts listing
 End year trial balance report
 CARL system quarterly report
) Review relevant financial information for any unique or unusual items relating to the field.
c) Review previous internal auditors...