"Government Auditing Standards: 1994 Revision", by Comptroller General of the
United States, published by U.S. Government (Superintendent of Documents,
U.S. Government Printing Office, Washington, DC 20401), 1994, 109pp, $4 list
 
A Book Review by Norman C. Frank, PE, CQE, CQA
CER Corporation, Washington, DC
 
This book is a terrific bargain for quality auditors.  Although written for
the U.S. General Accounting Office (GAO) of the U.S. Government, the book
provides excellent guidelines for performing audits.  Two types of audits are
covered: financial audits and performance audits.  The performance audits are
remarkably similar to the quality audits that we are familiar with.  The more
we think our jobs are unique; the more we find out our jobs are similar to
many other jobs in many other fields, and best of all, the knowledge is
transferable.  The ASQC Certified Quality Auditor Examination is based on
this body of knowledge that is common to all types of audits in many
different fields and industries.
 
Chapter 1 provides an introduction and covers the basic premises of the book. 
Included is the statement that the term "audit" includes both financial and
performance audits.  Chapter 2 elaborates on the two different types of
audit: financial and performance.  Chapter 3 covers the general standards
appropriate to both types of audits.  These general standards include
professional proficiency of the auditors, including requirements for
continuous education of 80 hours every two years.  The independence of the
auditors requires freedom from personal and external impairments,
organizational independence, and an independent attitude and appearance.  The
auditors are required to use due professional care in performing the audit. 
The fourth general standard is: "Each audit organization conducting audits in
accordance with these standards should have an appropriate internal quality
control system in place and undergo an external quality control review.
 
Chapters 4 and 5 cover field work and reporting of financial audits. 
Chapters 6 and 7 cover field work and reporting of performance audits.  These
chapters focus on sets of standards for field work and for reporting.  Field
work standards include "work is to be adequately planned", "staff are to be
properly supervised", and "when laws, regulations, and other compliance
requirements are significant to audit objectives, auditors should design the
audit to provide reasonable assurance about compliance with them."
 
This book gives a good overview of audits from planning through reporting. 
Conspicuous by its absence is followup after presentation of the audit
report.  This is an artifact of the governmental auditing system where
followup is done by congress or other governmental agencies and not by the
GAO.
 
A good book, at the right price.  This can be read in a couple of hours, yet
holds a wealth of information on the audit activity.  Recommended for
auditors and audit managers.
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Mr. Frank has over 25 years experience in the field of quality, in the areas
of nuclear quality assurance, research and development, and consulting.  He
is currently in Washington, D.C., with CER Corporation out of Las Vegas,
Nevada.