From findings to clean: a practical route to better audit outcomes

Every year, audit outcomes across government tell a similar story: material findings on asset registers, irregular expenditure, performance information and financial statement quality. The institutions that break the cycle share a common approach — they stop treating the audit as an annual event.

Start with the prior-year findings — properly

Most audit action plans fail because they treat symptoms. A finding on the asset register is rarely about the register; it is about the controls that let it decay. Effective action plans trace each finding to its root cause, assign an owner with authority to fix it, and set milestones that are monitored monthly — not revisited the week before the auditors arrive.

Fix the reconciliations that feed the statements

Clean financial statements are assembled from clean underlying records. Suspense and control accounts reconciled monthly, asset registers verified and reconciled to the general ledger, commitments and accruals tracked in-year — these disciplines make year-end a compilation exercise rather than a crisis.

Treat performance information as seriously as the financials

Findings on the annual performance report (AOPO) are now among the most common audit outcomes. Indicators must be well defined, targets measurable, and evidence collected as delivery happens. Retrofitting a portfolio of evidence in audit season is the most expensive way to fail.

Build capacity, not dependency

External support should leave an institution stronger. Whether the need is interim CFO capacity, audit file preparation or mSCOA support, insist on skills transfer as a deliverable — measured and reported, not assumed.

Nakede supports departments, municipalities and public entities with audit outcome improvement programmes. Contact us to discuss where to start.