When developing the work program for an engagement reviewing an organization's small contracting services, the chief audit executive (CAE) should consider the organization's recent changes to how it processes payments. Changes in payment processing can significantly impact the control environment and may introduce new risks or control gaps. Understanding these changes will help the CAE design appropriate audit procedures to evaluate the effectiveness of the controls over the new processes.
References:
* The Institute of Internal Auditors (IIA) Practice Guide: Developing the Internal Audit Strategic Plan
* IIA Standard 2200 - Engagement Planning