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What are the disadvantages of rigidly adhering to a system of internal control?

      

What are the disadvantages of rigidly adhering to a system of internal control?

  

Answers


KevinNyabute
a. Extra cost:
Testing involves extra cost to the organization which is considered as a burden. It involves the disruptions of multiple cases. The auditor has to concentrate more even though there are disruptions. Before audit begins the auditor must get the attention of all the staff members of the organization.
b. Harassment of staffs:
Since the employees cannot express their own in terms of auditing, these changes are calibrated and the employees will fell harassed due to the changes that are caused. Even if they try to express their knowledge in new ideas, the organization may not entertain the employees in these types of situations.

c. Unsuitable changes:
The rules and regulations of business may vary from time to time. It remains unstable when the program begins. It is obvious that the company’s policies may not change periodically whereas the rules and regulations may.
d. Chances of fraud:
Since the information delivered after audit procedure is credential then there becomes more chances of getting the situations where an individual will be forced to commit crime. It harasses the auditors to commit crime after the audit gets over.
e. Problems in remedial measures:
Here the problem is created in remedial measures that are enhanced within the detailed interface of the data of remedial measures. These remedial measures are not included in the audit program

kevinnyabute answered the question on March 5, 2018 at 09:10


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