AUDIT ANALYSIS IN THE DIY INSPECTORATE INSPECTION REPORT WITH AN INFORMATION SYSTEM DIGITIZATION APPROACH

Abstract

This research analyzes the causes of financial findings in the DIY Inspectorate's Audit Report (LHP) with a digital information system-based approach. The purpose of this internship is to gain practical experience in financial auditing, especially in identifying discrepancies, ineffective budget management, and completeness of supporting documents. Digitalization is expected to increase audit efficiency and facilitate the identification of financial problems.  Research methods included analyzing financial statements, reconciling document discrepancies, and evaluating the current audit process. The use of digital tools accelerates data management and increases the transparency of financial statements, allowing discrepancies between documents and actual financial data to be quickly identified.

The results showed that the DIY Inspectorate's financial findings were caused by inadequate recording, a lack of understanding of financial procedures, and weaknesses in archiving and document review. Recording errors often occur due to slow and inaccurate manual systems. Document review is also suboptimal due to the large volume of documents. Implementing an integrated digital information system enables faster and more efficient identification, improving the accuracy and transparency of financial reporting. The study recommends further digitization in the audit and financial management of the DIY Inspectorate, including training staff in the use of digital tools and strengthening digital filing systems to prevent similar findings in the future. The use of integrated digital information systems is an important step in improving the transparency and accuracy of financial reporting in the public sector.