Performance audit process

Defining the subject matter

Our Act allows us to decide what areas of government to audit. We focus our performance audits on areas of significance and relevance to the primary users of our reports – MLAs. We consider what information MLAs need assurance on to understand if government programs or organizations are achieving their objectives. We conduct preliminary research and interviews to identify the areas that have the greatest financial, social, health, or environmental impact on British Columbians and determine the focus of the audit. During this phase, arrangements will be made to ensure the audit team has access to government staff and documents.

Developing the audit plan

Once we land on the subject matter of the audit, the team will continue to gather information needed to develop the audit plan. Through this process, the audit team discusses the audit’s objective, scope, criteria and timeline with the organization. At the end of this process, the head of the organization reviews a summary of the audit plan and acknowledges that the organization is responsible for the subject matter of the audit and that the criteria that we will use to assess performance are suitable.

Carrying out the plan

We spend this phase of the audit gathering the evidence we need to conclude on the audit objective. This includes interviewing, doing walkthroughs of key processes, obtaining and analyzing documents and data, and holding progress meetings with the organization. At the end of this phase, the audit team discusses their findings and conclusions with the organization. The team will request the organization confirm they have provided all the evidence requested by the team and any other information that would impact the audit findings and conclusions.

Reporting

At the end of the audit the team will produce a formal draft report. The audited organization will have the opportunity to review and discuss the draft with us and prepare a response that is included in the final report. The minister receives the final report at least seven days before the Speaker tables it with the Legislative Assembly as an official record. Once tabled, it is posted on our website, a news release is shared province-wide, and we will often have a press conference where the auditor general shares a summary of the report, takes questions from the media, and allows for time to do more in-depth one-on-one interviews with media.

Follow-Up

Our performance audit reports often include recommendations for improvement. Organizations respond to these recommendations by outlining whether they accept them and how they’ll implement them. After the release of an audit report, organizations report annually to the Public Accounts Committee on their progress in implementing the recommendations. We review the progress reports to conclude whether the organizations have faithfully represented their progress. Our follow-up work results in an annual report that summarizes the progress made in implementing recommendations by the organizations we have audited. This allows MLAs to track the progress organizations make over time.