Risk Based Internal Audits


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01Solution AreaRisk Based Internal Audits

Audit where the risk is. Let AI do the paperwork.

A central risk register and control library drive a rolling audit plan: high-risk processes audited every year, medium every two, low every three. AI then handles transcripts, process notes, checklists and the draft gap report.

AI suggests re-ratingVendor master changes · Medium → High
Risk-Based Audit PlanFY 2026-28
Likelihood × Impact
Low
Medium
High
High
M
H
H
Med
L
M
H
Low
L
L
M
Rolling audit frequency (half-years)
High · yearly
Medium · 2 yrs
Low · 3 yrs
The full internal-audit lifecycle

Configure, plan, execute, report.

Every step of a risk-based internal audit, in one workspace shared by auditors, process heads and auditees.

Phase 1

Configuration

  1. Risk registerCentral library of process risks with category, likelihood, impact and inherent and residual ratings.
  2. Control mastersKey controls with type, owner and the risks each one mitigates.
  3. Process mastersAuditable processes and sub-processes, linked to their owners.
  4. Risk-based planRolling plan where audit frequency follows risk rating.
Phase 2

Audit planning

  1. Automated & manual schedulingEngagements created from the plan, editable by auditors.
  2. Process-head notificationScope and kickoff details sent when an audit is scheduled.
  3. SPOC & co-auditeesProcess head nominates who coordinates requests and responses.
  4. Meetings & transcripts AITeams meetings transcribed into key points, decisions and actions.
  5. Process understanding doc AIStructured narrative of steps, roles, systems and controls from SOPs and walkthroughs.
  6. Information requestsRequest lists with owners and due dates sent to auditees.
  7. Shared evidence repositoryAccess-controlled uploads against each request.
  8. Risk recalibration AIAI suggests rating changes from evidence; the auditor accepts or overrides.
Phase 3

Audit execution

  1. Checklist generation AITailored checklist from risks, controls and templates, each item linked to a risk.
  2. Checklist responseCompliant, non-compliant or partially compliant, with evidence.
  3. Initial queriesPreliminary observations raised where testing finds exceptions.
  4. Accept / invalid / contradictAuditees respond with reasons or counter-evidence; auditors resolve.
  5. Action item trackingCorrective actions with owners, dates and status to closure.
  6. Gap report AIDraft report with observations, ratings, root causes and recommendations.
Phase 4

Audit reporting

  1. Dashboard & audit MISPlan progress, audit status, findings by rating and actions.
  2. Closure meeting notesExit discussion, agreed findings and management commitments.
  3. Auditee sign-offFormal acceptance of final findings and action plans.
  4. Report export & sharingPDF or Word export, shared under access controls.
Why risk-based

Spend audit hours where they reduce the most risk.

Frequency follows the rating, and ratings move with the evidence. When documents or walkthroughs reveal a new exposure, AuditRoom proposes a re-rating so next year’s plan already reflects it.

Risk-driven coverage

High risk yearly, medium every two years, low every three.

Meetings to minutes

Walkthroughs become transcripts, decisions and actions.

Structured disagreement

Accept, invalid and contradict workflows keep every query on record.

Management-ready MIS

Findings by rating and action status for the audit committee.

Get started

See Risk Based Internal Audits on your own documents.

We will configure the criteria and show you the gaps live.