Describe the five most significant control concerns that you would like to express to the senior management in the transition to Microsoft?
You are the technology auditor for a medium size online retailer. With the growth, it has been very difficult for the Information Technology (IT) group to keep up with the hardware requirements and new software for all the various smartphone applications. Much of the in-house technology is outdated from a web application and regulatory standpoint. Many organizations have lowered costs by going to cloud computing solutions, including your competitors allowing them to lower costs and gain market share. One of the key benefits of cloud computing is the opportunity to replace up-front capital infrastructure expenses with low variable costs that scale as the business grows.
The CIO has done a complete analysis of moving to a cloud computing solution with Microsoft’s Azure Cloud Platform. The reduction in ongoing costs would be almost fifty percent along with major capital expenditures for upgrades if they were to keep processing in-house. There would be reduction of 70% in the IT staff. With this change, all IT functions for the primary application of customer order processing and fulfillment would be handled through the new platform. The physical inventory will continue to be managed by the retailer (i.e., warehousing and distribution). Some existing applications such as human resources and accounting will remain in-house.
You have been asked by senior management to assist with this project and the evaluation of the controls.
a. Describe the five most significant control concerns that you would like to express to the senior management in the transition to Microsoft? Give it some thought. Make sure your five items are consistent with the facts of the case and that each is unique.
b. How would you propose the organization get comfortable with the controls at Microsoft prior to signing the contract? Be specific.
22) How would a large international automobile manufacturer like Toyota differ from a bricks and mortar retailer like Target in terms of its significant business risks? Describe the significant risks these businesses have in common and ones which differ? You should be able to come up with at least three differences and three similarities
23) Describe the four most critical things you would be looking for in an audit of corporate governance.
24) Describe four key points which should be considered when assessing fraud risks.