The news of the upcoming visit of the auditor in some organizations is similar to the announcement of the appearance of the memorable hero Gogol. Why? Is the auditor really scary? Is there a charge on him, and to which he himself obeys? This article is intended to dispel some doubts, although to a small extent it is difficult to reveal all the secrets of communication with auditors. The full answer is to give a code of ethics for Russian auditors.
To begin with, the auditor is an official person with an appropriate document. Since it represents a socially significant profession, it means that it is responsible to society. The relationship between the subject and society, as a rule, is fixed by law. So, at the end of 1996, the “Code of Professional Ethics of Auditors” appeared in Russia.
The most important task of the auditor is the observance of the interests of society. When checking any object, the auditor should act not only in the interests of the customer, but also for the benefit of the whole society. The Code of Ethics of Russian Auditors requires that this rule be strictly followed. When protecting the interests of the client in any disputes, the auditor must be firmly convinced of the absolute legality of the protected interests.
To gain confidence in its findings and recommendations, the auditor needs to process a lot of information. In addition to practical knowledge, complete impartiality and objectivity are absolutely essential here. No outside pressure, personal bias can affect his decisions and judgments. To exclude potentially dominant factors, the auditor should shy away from relationships with individuals who might influence his work.
In carrying out his work, the auditor is obliged to take the work performed seriously and attentively, observing the existing audit standards and the auditor's code of ethics. The whole process requires careful planning with constant monitoring of the work of operatively subordinate specialists.
The Russian Auditors Code of Ethics has been developed taking into account international audit practice and has been adjusted for Russian business conditions, which will not be discussed here. Nevertheless, due to historical features, it is rather difficult for the Russian auditor to remain independent. Circumstances may arise where the independence of the auditor is called into question. Qualification and firmness of the auditor should serve as a guarantee of his fidelity to duty.
Often the reason for the violation of the code of ethics is the personal relationship of the auditor and the management of the client company. The roots of these relationships are very different, and, of course, they must be excluded. It is also unacceptable for the auditor to participate in the audit of organizations where he has financial interests.
The competence of the auditor is ensured by his special education and passing the certification tests. The auditor does not have the right to provide professional services, being not sure of his competence. The Russian Auditors Code of Ethics implies, by default, the high competence of audit staff. In order to be in good shape all the time, each auditor undergoes training on a special program with subsequent monitoring of training, as well as ownership of new standards that arise in the process of activity.
It happens that the auditor's behavior does not meet the requirements of the code of ethics. In this case, a decision is made on his professional unsuitability. An example of this kind may be participating in two or more tests simultaneously. Actions related to conducting prohibited activities or violating the law and professional standards are also considered unacceptable.
In general, the provisions of the Code of Professional Ethics of Auditors are based on international ethical standards developed by the International Federation of Accountants.