An external auditor examines the financial statements of any company or an organisation to ensure the financial reporting process transparency. They need to review the retirement funds, plans, non- profits, municipalities and other financial reporting requirements of the organisation. An external auditor needs to avoid the conflicts in the organisation and approach all the engagements with objective mind. He ensures that the operating controls are functional, adequate and up to organisation’s regulatory requirements, standards, corporate rules and policies. He must display effective and efficient leadership skills and also he should understand the accounting and system control.
The main of an external auditor is to provide assistance in the planning of all audit engagements. He coordinates and requests the clients for all the financial materials and records. An external auditor designs, develops and operates the financial information systems, procedures, policies and other system controls to meet all the financial reporting requirements. He needs to manage the staff, assign the workload to auditors and also set the engagement dates. The job of an external auditor is a respected one in the market with lots of reputation and high earnings.
Since the job of an external auditor is important in carrying out an audit so there are also several skill requirements associated with the job. Some of them are as follows:
- Time management as well as stress management skills.
- Leadership qualities in order to monitor and supervise the work properly.
- Active listener thus giving full attention to the implications of information for problem solving.
- Ability to work for long hours under pressure.
- Respectful and self-disciplined.
- Mathematical skills to solve problems.
- Efficient in decision making and judgement.
- Good in system analysis and system evaluation.
- Good in quality control enquiry and also must perform a check on if the customer and other staff members needs are fulfilled by the organisation.
- Computer skills are also essential.
- Proper management of projects and resources.
- Well- organised.
- Maintain the confidentiality of the organisation data.
Major Job duties of an external auditor include:
- Maintain a list of all the employees of the organisation who needs to get interviewed during the audit procedure.
- Prepare detailed and complete reports on the audit findings.
- Supervise and support the junior employees and enhance their work by providing the required information.
- Assigning the workload to the staff and other senior auditors.
- Provide the required material during the audit procedure.
- Assure accuracy of the work.
- Interview the officials of the organisation or a company for ensuring recording of the transactions and other laws of the same.
- Provide technical assistance, support and direction to the staff members.
- Records the staff’s working hour.
- Plan and conduct properly managed audits.
- Perform other assigned duties properly.
The job of an external auditor is to plan and conduct a properly managed audit in companies and government organisations. He provides constructive work environment to the entire staff. An external auditor needs to go out with the entire auditing team for conducting the audit and thereafter prepare a complete report on the financial activities of the organisation, in their office using the computer.
Tips for a good job:
- Must ensure the compliance of the policies, procedures and other rules and regulations.
- Be honest towards his job.
- Prepare an efficient report on the financial activities of the organisation or company.