How to Write a Proposal for an Audit

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An audit is typically an essential function to maintain quality operations. Audits further help to mitigate organizational risk, which can be translated into dollars lost. To convince management that an audit is necessary you will need to write a proposal, which must include an overview of what information the audit will provide and what will be changed as a result of the audit. It should also provide a time-line, an estimate of the costs and a strong connection to the mission and objective of company goals.

Identify a particular process to be audited. This needs to be a critical process to business operations.

Develop a list of at least three reasons detailing the importance of this process within the organization. Explain what will happen if a step in the process fails or if the quality of the process falters.

Place a value to the process. This is the amount of money lost if the process fails. The penalty can also be legal. In these cases include the cost of legal fees in the calculation.

Include a list of all the business partners, internal and external to the company, that are included in the process. Identify their role, title and contact information.

Provide a time line for the audit. Include an audit kickoff meeting, three milestones and the end of the audit. Include in the time line an estimate of the completion date.

Calculate the cost of the audit. Estimate the cost of out of office visits or travel expenses.

About the Author

James Collins has worked as a freelance writer since 2005. His work appears online, focusing on business and financial topics. He holds a Bachelor of Science in horticulture science from Pennsylvania State University.

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