What types of documents should be reviewed during the audit process?

During the audit process, it is essential to review a range of documents that reflect the operational and financial health of the organization. Directive and operational documents are particularly critical because they provide insight into the policies, procedures, and controls that govern the organization's operations. These documents help auditors assess compliance with regulations and standards, evaluate the effectiveness of internal controls, and identify areas of risk.

Directive documents typically include things like company policies, regulatory compliance documentation, and standard operating procedures, which guide the organization’s operational activities. Operational documents may encompass project plans, operational reports, and workflow diagrams, all of which inform auditors about how effectively the organization is executing its mission and meeting its objectives.

In contrast, while financial statements are crucial for auditing financial health, they do not encompass the broader operational context necessary for a thorough audit. Personal employee files, though potentially containing valuable information, typically fall outside the scope of a standard audit unless specific issues, such as compliance with labor laws, are being examined. Similarly, marketing materials and product brochures may provide insight into the organization’s branding but are not pertinent to the financial or operational assessment necessary in an audit. Hence, reviewing directive and operational documents is paramount to gain a comprehensive understanding of the organization's processes and controls during the audit.