The Office’s system of quality control promotes recognition to staff that quality is essential in audit work. It helps ensure the Office and staff comply with professional standards and legal requirements. It also ensures that the Office’s audit reports are reliable. The Office’s internal documentation, training materials, and staff appraisal procedures ensure staff are aware of and adhere to the Office’s quality control policies and procedures, and reinforce the view that quality is essential in its audit work.
The Office’s system of quality control includes documented quality control policies and procedures. These address the following elements: leadership responsibilities for quality within the Office, ethical requirements, acceptance of specific assurance work, human resources, engagement performance, and monitoring.
To continuously improve the quality of its work, the Office is subject to periodic external quality reviews of its audit practices performed by CPA Saskatchewan, as well as biannual peer reviews performed by other members of the Canadian Council of Legislative Auditors – (CCOLA). The Office reports the results of these external reviews in its Annual Report on Operations each year. The most recent report is available at https://auditor.sk.ca/publications/our-annual-report-on-operations.
The Office also conducts an annual internal review of its audit practice through a Quality Practice Review program. This program is designed to meet the quality control elements on monitoring as required by the professional auditing and assurance standards.
Furthermore, the Office reviews and assesses the annual summary results of CPA Saskatchewan inspections to identify areas for further improvement to its audit processes. CPA Saskatchewan publishes a summary of its practice inspections findings in its Focus on Firms Newsletter annually. CPA Saskatchewan inspects more than 100 firms each year. See https://www.cpask.ca/public/plugins/pdfs/2018_nov_cpask_focus_on_firms_newsletter-1542833733.pdf.
The Office uses the results of its periodic external quality reviews, annual internal Quality Practice reviews, and CPA Saskatchewan’s annual summary results to identify areas for improvement. It revises its policies, procedures, and guidance accordingly. It uses ongoing communications and training to make sure staff are aware of and understand the changes.