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FGMSD-77-11 1 (1977-01-27)

handle is hein.gao/gaobaabrh0001 and id is 1 raw text is: 



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00%94 - [107511101

Actions Needed x,. Strengthen the Ne Defense Internal Au4it
S -vice. FGmSD-77-1i: B-160759. Canuary 21, 1977. 3 pp. +
appendix (4 pp.).

Report to Secretary, repartment of Defel3se, tj D. L.
Scantleuury, Directone Financial and Ge:eral management Studies
Div.

Issue Area: Internal auditing Systems: Sufficiency of Federal
    Auditors and coverage (201).
Contact: Financial and General management Studies Div.
Budget Function: miscellanpous: Financial Eanagement an..
    information Systos (i002 ; Yttional Defense: Atomic Energy
    Defense kA-'.vities (0'.3).
organization Concerned: D4-artnent of Defense: Defense Audit
    Service.

         A survey was conducted of internal audit operations of
the Office of the Secretary of Defense to determine whether
internal audit operations vere efficieitly and effectively
carried out and whether practices and procedures cont±rr.od to
standards pracibed by the Comptroller General. During the
survey, the Defense Audit Service was established   o carry out
functions and responsibilities previously carried out by three
other offices. Findings/Conclusions: Befcre the reorganization,
internal audit policies# plans, and operations generally
complied with requirements for an effective intexnal audi0
system, Recommendations: The effectiveness of the new inter4al
audit organization could be enhanced by: performing mcre reviews
in significant areas of high lev,,1 defense organizations; us3ng
a more systematic method for follovinj up on audit
recommendations to insure appropriate cor'ective action; and
reviewing contemplated staffing level- of the Defense Audit
Service to determine if they are adequate to maet required audit
cycles. (RRS)

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