Context: Recently, the Comptroller and Auditor General of India (CAG) announced the full activation of the One Indian Audit & Accounts Department One System (OIOS) workflow system in the audit offices.

Key Points

• The Comptroller and Auditor General of India (CAG), Girish Chandra Murmu, on March 31, 2023, announced the full activation of the One Indian Audit & Accounts Department One System (OIOS).

• It is a web-enabled IT application with support for multiple languages, offline functionality and a mobile app, for the complete digitalisation of the audit process from April 1, 2023.

• It was first envisaged in late 2019-early 2020.

• It is the primary system of record for the entire chain of audit activities, from audit planning and design through audit execution to issue and follow-up of inspection reports to processing and finalisation of the CAG’s audit reports and follow-up. 

• It covers all types of audit – compliance, financial and performance.

• All audit work across India will become paperless and will only be carried out digitally from April 1, 2023.

• The only exception would be the Defence Audit offices as it requires more time because of security issues. 

• About 90 audit reports are prepared through CAG’s 130 offices across India and approved every year for submission to Parliament, state legislature or union territory legislature, containing findings on government business transacted during the preceding financial year (or earlier years).

• This will ensure accountability along with accuracy in the audit process.

About One Indian Audit & Accounts Department One System (OIOS)

• It is an enterprise-wide end-to-end IT application.

• It is a web-enabled solution with support for multiple languages with, offline functionality, and a mobile app.

• All new audit work in offices under the CAG will take place only through OIOS.

Applications

• All audit work can be carried out digitally.

• Offices will not have to go through files physically, and records can be maintained for eternity.

What is an Audit?

• Auditing, or a financial audit, is an official examination and verification of a business’s financial records.

• The financial records include a balance sheet, an income statement, a statement of changes in equity, a cash flow statement, and notes comprising a summary of significant accounting policies and other explanatory notes.

• The main goal of auditing is to make sure that a company’s financial statements are accurate and follow regulatory guidelines.

• Auditing also gives investors, creditors, and other stakeholders reasonable assurance that they can rely on a company and its integrity.