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Performing a Management Audit of EDP (Electronic Data Processing) Operations

NCJ Number
Financial Executive Volume: 48 Issue: 11 Dated: (November 1980) Pages: 30-32,34,36
C A Srinivasan; P E Dascher
Date Published
5 pages
This article examines management's need to focus on how electronic data processing (EDP) is used and should be used to achieve organizational goals and objectives, and proposes evaluation systems to ensure EDP system fidelity and dependability.
Computer system design flaws are identified, together with the potential problems that might be encountered when a company begins to use a computer system. The advantages of processing essential information through computers and the needs for ensuring that that information is reliable are explained. A systematic approach to a computer system performance evaluation is outlined. Its three steps include understanding the system, analyzing operations, and identifying problems and proposing improvements. Management audits of data processing systems have three levels: the system review, the audit of the computer center, and the issue and policies audit. Efforts to improving the system life cycle are needed, because information systems continue to take too long to build, cost too much, and do not perform as promised when installed. Other important areas are data management, investment and cost management, and technology assessment. The process of performing a management audit is briefly explored, with the caveat that data processing staff can be easily threatened by the initiation of an audit. No references are provided.


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