How to Conduct Management Audit?

Conduct Management Audit

Management audit requires an inter-disciplinary approach since it involves a review of all aspects of the management function. It should be conducted by a team of experts because the variety of skills required cannot be mustered by one individual.

This team may consist of the accountant, the operations research specialist, the industrial engineer, and the social scientist. Each member of the team should have an analytical mind and an ability to look at a management function from the point of view of the organisation as a whole.

The members of the management audit team should have proper training. They should have an expert knowledge of the science of management. They should also be acquainted with salient features of various functional areas. Experience of actual work situations would also be useful.

To conduct its work properly, the management audit team should have a clearly defined authority from the management. Management audit cannot be conducted unless it is supported fully by the top management.