Audit Report Writing Guide

From the External Audit Directorate oI the Audit and Review Branch,
Canadian PSC

1his guide establishes some guidelines for the design, style and
content of the reports published by the External Audit Directorate of
the Audit and Review Branch, PSC, in order to make them useful
and easy to read.


1able of Contents
Introduction
Audit Report Users
Audit Purposes
Communication Channels
Readership
Motivation
Outline
Design
Background
Jisual Appeal
Reading Efficiencv
Design Techniques
Format Specifications
Summarv
Writing Style
Definition
Terminologv
Sentence Length
Passive Joice
Intensifiers
Bullets
Summarv
Report Content
Outline
Structure
Model
Level of Detail
Commentarv
Wrap-up and Conclusion
Wrap-up
Conclusion
Bibliography
Appendices
A - Quotations and Bibliographv - A Practical Guide
B - Elimination of Stereotvpes



Introduction
This guide establishes some guidelines Ior the design, style and content oI the reports
published by the External Audit Directorate oI the Audit and Review Branch, PSC, in
order to make them useIul and easy to read.
Audit Report Users
Audit reports must meet the varying inIormation needs oI users: the clients, the auditee
and their representatives. The clients are: the President oI the Public Service
Commission and the Secretary oI the Treasury Board. The auditee is the Deputy Head
oI the department being audited.
The representatives are: managers and specialists responsible Ior personnel Iunctions in
the client organizations and departments.
Audit Purposes
The primary purpose oI a personnel audit is to inIorm clients whether the department
adheres to the conditions Ior exercising the authorities delegated under the Financial
Administration Act, the Public Service Employment Act and personnel policies and
procedures Ilowing Irom those acts.
Personnel audits also identiIy Ior clients the need to create or change policies and
procedures, advise departmental representatives on better ways to administer the
personnel Iunctions and recognize and reinIorce activities that correct shortIalls, exceed
client standards and suggest and recommend corrective actions when personnel
Iunctions do not meet clients' standards.
In addition, audits have the ultimate goal oI improving personnel management in the
Public Service.
Communication Channels
Audit teams use a number oI channels to inIluence the quality oI personnel
management: inIormal suggestions to client representatives during the planning phase
and to departmental staII during on-site reviews; Iormal brieIings and discussions with
responsible oIIicers on the Iindings; brieIing notes and operational unit reports to
managers and specialists; a Iormal report to the clients, the auditee and their oIIicers; a
letter to the deputy head, summarizing the main topics oI the report. This guide covers
the Iormal audit report only.
Readership
To be eIIective, administrative documents should Iocus on the needs oI a deIined
readership. In the case oI udit reports, there are a variety oI readers with quite diIIerent
needs:
executives with a general knowledge oI personnel systems and terminology who
are mainly interested in results in their areas oI accountability
the auditee's senior personnel oIIicer who must respond to audit
recommendations
specialists concerned mostly with Iindings in their area oI expertise. Audit report
writers must thereIore take into account the needs oI these various readers and
the inIormation already provided through brieIings and operational unit reports.
Note: Audit reports are not written Ior proIessional auditors.
Motivation
With the exception oI consummate bureaucrats, most readers are going to read as little
as possible. They are desensitized to printed material due to the sheer volume that
crosses their desks each day. There is competition Ior their attention and time. In
addition, there is evidence that the level oI literacy is not all it could be, even in
university graduates. Recognizing these barriers is the Iirst step in developing eIIective
audit reports.
This guide describes an approach that will encourage the target audience to read audit
reports and take action to improve personnel management and resource use in the Public
Service.
Outline
To help make audit reports attention-getting, readable and credible, the Iollowing
sections cover: report design, writing style, report content (title page, table oI contents,
summary, introduction, Iindings, appendices), wrap-up and bibliography.

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Design
Background
In the Introduction, we mentioned the intense competition Ior reader attention and time.
Report writers can control three Iactors critical to gaining and keeping attention: design,
writing style and content.
Design may be the key to attracting readers - particularly the reader who is not
motivated. Once attention is captured, writing style and content should be able to
maintain this attention.
EIIective design increases visual appeal and reading eIIiciency.
Jisual Appeal
An audit report has visual appeal when it looks proIessional and easy to read. That
means the reader should develop positive Ieelings about the report at Iirst glance.
The talent and eIIort that have obviously gone into the report's appearance send strong
signals to readers. It tells them the subject is important. It also tells them the readership
is important enough to warrant a quality product. There is a big diIIerence between a
memo and the annual report oI the Commission. Audit reports should be closer in
appearance to the annual report.
Reading Efficiency
An audit report should not appear long, dull or tedious. The proposed design is
interesting, Ieaturing plenty oI white space and easy-on-the-eyes lettering. The design
encourages the potential audience to read.
EIIicient reports use design techniques to make it easy to Iind a particular piece oI
inIormation and increase reading speed, comprehension and retention.
Design 1echniques
The Iollowing techniques have been selected to enhance the visual appeal and reading
eIIiciency oI audit reports:
type size and style are easy to read
line length is limited to 4.5 inches Ior eye travel that is not tiring
blocks oI text are limited to 8 lines or so to prevent skipping and to provide
Irequent rest points
the amount oI white space is not only more comIorting to the eyes but also
provides the reader with room Ior notes
the location oI page numbers, headings and subheadings helps readers to search
Ior speciIic inIormation; the standard Iormat quickly becomes Iamiliar and is
easy to scan
in addition to providing inIormation, the header and Iooter lines "Irame" the text
complete topics are placed on one page wherever possible
the text is laser-printed oII desktop publishing soItware
capital letters are not used Ior emphasis or to highlight key words and phrases
because they slow up the reader
the text is unjustiIied with Ilush leIt and ragged right margins, to encourage
smooth eye Ilow
there are no broken words at the end oI lines
there are no broken sentences at the end oI pages
there are no single lines on the top or the bottom oI a page.
Format Specifications
Format is the shape, size and arrangement oI text on the page. For ease oI use, the
Iormat described here is available through the Directorate computer system.
This guide identiIies the Iollowing elements oI Iormat:
Fonts: body: Times Roman 12.5pt (seriI); recommendations and compliments: bold;
headers and Iooters: not bold - headers: Helvetica 14pt (sans seriI) - Iooters: Helvetica
9pt (sans seriI). "Styles" exist Ior headers and Iooters.
Margins: top and bottom margins: 0.5" and 0.4"; leIt and right margins: 1.25" with the
binding set at 0.25". This results in an inside margin oI 1.5" and an outside margin oI
1.0".
Spacing: single space between lines; 2 space ahead oI bullets; double spacing between
topics.
Tabs: Tabs are set at: 2.8", 3.0" and 3.2".
Printing: The Branch will produce a camera-ready copy oI the audit report. The report
will then be printed back-to-back, and bound.
Summary - Design
This section describes design techniques that will help audit teams produce eIIicient
audit reports. The Iollowing two sections deal with writing style and content - the keys
to eIIective reports.
"Have something to say, and say it as clearly as you can. That is the only secret oI
style." (Matthew Arnold)
"To me, style is the outside oI content, and content is the inside oI style, like the outside
and the inside oI the human body: both go together, they can't be separated." (Jean-Luc
Godard)
"Too much oI a good thing is worse than none at all." (English Proverb)

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Writing Style
Definition
For audit report purposes, style is deIined as the way content is written. Generally, style
consists oI tone, vocabulary, syntax and grammar.
Good style presupposes a writer who knows the subject well, and also: who the readers
will be, what is important to the readers and what the readers need to do aIter reading
the material.
Purpose
This guide is not intended to train auditors in the basics oI style. That can be
accomplished through courses and on-the-job coaching. What this guide can do is
provide auditors with a standard Ior editing their own reports, sort oI an audit guide to
writing style.
Cuidelines
The Iollowing guidelines are not presented in order oI importance. For those readers
interested in pursuing the subject in greater depth, the bibliography lists a number oI
excellent reIerences.
1erminology
Audit reports must transmit inIormation with precision - precision that starts with
consistent terminology. When reviewing reports, look Ior inconsistencies such as the
Iollowing examples oI interchangeable terms: personnel administration, human
resources management and personnel management; objective, purpose and goal; staIIing
and resourcing; personnel disciplines, Iunctions, activities, areas, aspects and practices.
Inconsistent terminology demonstrates an unproIessional approach in business writing.
It may cause readers to interrupt their reading rhythm to interpret the changed term and
misunderstand the message.
The results are particularly noticeable in managers with only a general knowledge oI
personnel Iunctions and terminology.
Sentence Length
Another style element that can blur the precision and clarity oI text is long sentences.
Some grammarians recommend a limit oI 15 to 18 words in business writing. In editing
reports, one should look closely at sentences with more than 20 words. There may be
room Ior improvement. The Iollowing example Irom the second paragraph oI a section
on Sub-delegation oI StaIIing Authority demonstrates the clarity oI shorter sentences.
One sentence: "The roles, responsibilities and accountability mechanisms oI managers
and staIIing oIIicers are clearly deIined in the departmental training course on sub-
delegation which was given to all managers about to receive sub-delegated staIIing
authority." (33 words)
Two sentences: "All managers who were to receive sub-delegated authority attended the
departmental staIIing course. The course deIines the roles, responsibilities and
accountability oI managers and staIIing oIIicers." (13 words in each)
Literary writers can use longer sentences without worrying about clarity. But they do
not have to write audit reports!
Passive Joice
No shortIall in style produces dull, tiresome reading Iaster than the passive voice. The
short example that Iollows demonstrates the diIIerence between passive and active
sentences.
Passive: "Based on the inIormation available, no irregularity oI operation was Iound."
Active: "The audit team Iound no evidence oI irregularity in the available inIormation."
Better Still: "The audit team Iound no irregularity."
When reviewing reports, look Ior a subject - verb - object (agent - action - object)
sequence. II it is not there, consider a rewrite.
Intensifiers
IntensiIiers are words like: clearly, special, key, well, reasonable, signiIicant and very.
Their use should be limited because they Irequently lack precision, reIlect personal
values and Iill space Ior no real purpose.
IntensiIiers raise questions such as "signiIicant compared to what?" and "clearly
according to whose criteria?"
Bullets
Report writers can use bullets as punctuation in Iront oI points to break up dense text
and shorten sentences, Iocus attention, save words and improve logic and Ilow.
The use oI bullets is highly recommended when Iindings are lists oI standards, samples,
activities, Iacts and results.
Example
Without Bullets: "The Department possesses control mechanisms such as a clearly
identiIied responsibility centre, consultative committees Ior target groups and an
AIIirmative Action Steering Committee. These mechanisms which include action plans
and reporting systems adequately ensure the eIIectiveness oI employment equity
programs."
With bullets: "The Department has mechanisms to ensure eIIective employment equity
programs, including:
an identiIied responsibility centre
action plans and reporting systems
consultative committees Ior target groups
an AIIirmative Action Steering Committee."
This guide takes every opportunity to demonstrate the use oI bullets. The nature oI audit
reports makes the technique particularly useIul in enhancing clarity and readability.
Summary - Writing Style
Writing style has many other elements not included in this guide: tone, word economy,
and rhythm are just a Iew. However, the elements covered here have one thing in
common. They can be evaluated against readily observable criteria. Branch audit reports
should be reviewed Ior the use oI consistent terminology, crisp sentences, the active
voice, appropriate intensiIiers and bullets.

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Report Content
Outline
The sections on Design and Writing Style described ways audit reports can gain and
hold attention and promote eIIicient reading.
To a large degree, a report's content is responsible Ior its eIIectiveness. In addition to
logic, two elements enhance eIIectiveness, consistent structure and level oI detail.
Structure
Personnel audit reports include the Iollowing sections: title page, table oI contents,
summary (including the recommendations), introduction, Iindings and appendices.
Cover and 1itle Page
Audit reports use a standard cover, with a window showing: the title: "StaIIing Audit"
or "Personnel Management Audit", the department's name and the report's date oI issue
(month and year). These items are repeated at the bottom oI each page. The title page
also indicates the names oI the audit team members.
1able of Contents
The table lists the sections and sub-sections with page numbers as Iollows: summary
and recommendations, introduction, Iindings (by audit Iield) amd appendices (as
required).
Summary
The summary gives a quick overview oI the state oI the department at the time oI the
audit in light oI the main issues covered by the report. It does not normally exceed three
pages, including the recommendations.
Where a basic personnel Iunction is not included in the audit, a note oI explanation
should be included.
Sub-headings should be limited to paragraphs oI approximately eight lines.
Recommendations should be listed under a lead statement such as: (example) "We
recommend that the Deputy Minister: amend...; establish...; implement..."
Recommendations should be stand-alone statements that can be read out oI context and
still make sense - particularly to a non-personnel executive or manager. Example: "We
recommend that the Deputy Minister" put in place a mechanism Ior monitoring staIIing
activities and take appropriate corrective action.
Introduction
Since readers will read the summary, the introduction should not repeat details. It
should include the Iollowing elements:
Context: This sub-section brieIly describes conditions in the audit entity during the
period under review; Ior instance: the entity's role, size and organization especially with
regard to human resource management; signiIicant pressures on personnel management
during the period under review - events such as the Iollowing should be noted:
organizational changes - personnel disruptions - changes in roles and programs; results
oI internal audits or Iollow-up to our previous audits, iI applicable.
Purpose: This sub-section is a short description oI what Iunctions and special programs
were audited and the clients' authorities.
Scope: The scope lists the period under review, the issues covered in each Iunction and
program, the locations visited and the on-site dates.
Methodology: This section brieIly describes sampling, data collection techniques and
the basis Ior auditors' opinions. It also identiIies any weaknesses in the methodology to
allow the client and auditee to make inIormed decisions as a result oI the report.
FindingsFindings constitute the main part oI an audit report. They result Irom the
examination oI each audit issue in the context oI established objectives and clients'
expectations. The model illustrates how the various elements oI Iindings are to be
presented.
AppendicesAppendices can be used when they are essential Ior understanding the
report. They usually include comprehensive statistics, quotes Irom publications,
documents, etc. and reIerences.
MODEL

Level of Detail
The depth oI coverage Ior issues should normally reIlect the signiIicance oI the
Iindings.
Situations representing a high degree oI risk or indicating shortcomings that are serious
enough to justiIy a recommendation should be treated extensively.
SpeciIic initiatives that the auditors wish to mention as examples should be described in
detail, while issues where the department meets the expectations and there is nothing
speciIic to mention should be dealt with brieIly.
Commentary
Where a recommendation and a compliment are made under the same issue, they should
be in separate paragraphs. Otherwise, they may conIuse the reader and reduce the
impact oI one or the other.
Statistics need to be used consistently throughout the report. Sample size and error rate
mean more when they are given in context. The size oI the population, the number oI
transactions and the period oI time provide that context.
Percentages should not be used when reIerring to small samples (less than one
hundred).
Graphics should be used when they add to the understanding oI the text.

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Wrap-up and Conclusion
Wrap-up
This guide supports the External Audit Directorate approach to developing consistent
audit reports. It includes the Iollowing elements:
a deIinition oI report users
report purposes
a discussion on the readership
a design that attracts readers and increases their reading eIIiciency
a writing style with: consistent terminology, crisp sentences, the active voice,
Iew intensiIiers and a point system using bullets as punctuation
presenting essential content under standardized headings and sub-headings.

Conclusion
The Audit Report Writing Guide deals with the very basic aspects oI report writing. It
cannot replace the skill, experience and initiative oI audit teams. However, it does
provide the basis Ior consistent and proIessional reports that meet the needs oI both
clients and auditees. In addition, an eIIective audit report will encourage managers to
improve the use oI human resources in the Public Service.

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Bibliography
Audit Branch, PSC. The Audit Branch Manual.
Secretary oI State. The Canadian Style, Dundern Press.
OIIice oI the Auditor General. A Writer's Handbook.
OIIice oI the Auditor General. An Approach to Comprehensive Audit.
Canadian Comprehensive Auditing Foundation. Comprehensive Auditing - Concepts,
Components and Characteristics.
Canadian Comprehensive Auditing Foundation. Conducting Operational Reviews: A
Generic Approach.
Strunk, W. & White, E.B. The Elements oI Style. The MacMillan Co.
Williams, Joseph M. Ten Lessons in Style and Grace. Scott, Foresman and Company.
Lanham, Richard A. Revising Business Prose, Charles Scribner's Sons.
Freelance Editors' Association oI Canada. Editing Canadian English, Douglas McIntyre.
Jonassen, D.H. (Ed.). The Technology oI Text - Volumes 1 & 2, Educational
Technology Publications.
DuIIy, T.M. and Waller, R. (eds.). Designing Usable Texts, Academic Press.
The Project Resource Group, Functional Writing is Writing that Works, PRG, 1992.
Note: The bibliography at the end oI the French version lists a number oI other valuable
reIerence books.

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APPEADIX A - Quotations and Bibliography - A
Practical Cuide
Purpose
The purpose oI this guide is to provide auditors with some useIul inIormation on how to
present quotations and bibliographical reIerences in reports.
Quotations
A quotation is a Iragment oI text, or "a word or a passage reproduced Irom a book, a
statement" (Webster's New World Dictionary), that is included in a new text and
identiIied by quotation marks.
The source oI the quotation can be provided brieIly, in parentheses, as in the previous
paragraph, or more completely, in a Iootnote.
Reference - Footnote
The Iive main elements oI a Iootnote are:
1. ReIerence Number: an arabic numeral, placed immediately aIter the cited text, in
superscript
2. Author's Name: Iirst name and/or initial(s) and surname, Iollowed by a comma
3. Document Title: written in Iull, and underlined or in bold
4. Facts oI Publication: publisher, place and year oI publication (in parentheses)
5. Text Location: speciIic location oI the text source: usually the page, paragraph
or section number.

Bibliography
A bibliography is a list, usually in alphabetical order, oI documents consulted or
suggested Ior consultation, or oI sources that have inIluenced or helped the author. It is
usually placed in a separate section at the end oI the document.
Basic Elements
A bibliographical reIerence contains Iour basic elements:
1. Author's Name: contrary to the reIerence Iootnote, the surname is written Iirst,
then the Iirst name or initial; iI there is more than one author, the additional
names are written in the regular order, as in the second example below
2. Title: written in Iull, with no abbreviation; can be put in bold characters
3. Facts oI Publication: publisher, place and year oI publication, as in the Iootnote,
but without parentheses
4. Collation: length oI the work, expressed as the number oI pages or volumes.

EXAMPLE


Bibliography
Mornissey, George L., Effective Business and Technical Presentations, Addison-
Wesley Publishing Co., Reading, Massachussetts, 1968, 143 p.
Rosenblatt, Bernard S., Richard T. Cheatham, James T. Watt, Communication in
Business, Prentice-Hall Inc., Englewood CliIIs, N.J., 1977, 370 p.

When a document is published on behalI oI a government, the country (province or
state) and the responsible entity are cited as author. It may also be useIul to add some
inIormation such as the edition number, the name oI the legal depositary or the standard
book number.
EXAMPLE


Bibliography
Canada. Secretary oI State. Translation Bureau. Public Administration and
Management Vocabulary. Terminology Bulletin #194. Minister oI Supply and
Services oI Canada 1990. 775 p. ISBN 0-660-55655-3. United Nations.
Bibliographical Style Manual. New York: United Nations Publications, 1963. 58 p.
Dag Hammarskjold Library.

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APPEADIX B - Elimination of Stereotypes
Cuidelines
Guidelines concerning the representative depiction oI minority groups and the
elimination oI sexual stereotyping.
ReIerence: Corporate Management Manual (CMM), PSC, Chap. 4: Communications
Management.
Background
In August 1992, the PSC oIIicially approved guidelines to ensure the equitable portrayal
oI women, men and minorities in communications.
This appendix concerns the application oI these guidelines to our reports and other
documents.
Observations
No problems were identiIied in audit reports regarding the equitable depiction oI
minority groups. In tables as well as in text, we should continue to avoid the use oI
terms that may be considered oIIensive or discriminatory, such as "Blacks",
"handicapped", etc.
In French, the equitable depiction oI women and men is a rather complex issue, mainly
due to gender diIIerentiation that applies to nouns, pronouns, adjectives, etc. The main
challenge is Iinding the proper balance between the equitable representation oI women
and language clarity, conciseness and elegance. (See the French version oI this appendix
Ior more details.)
In English, it is usually easy to avoid sexist grammatical Iorms. In many cases, using
the plural or passive Iorm will be suIIicient to avoid the diIIiculties oI subjects (he, she)
or possessives (his, her). The guidelines Iocus mainly on eliminating certain language
Iorms that have a sexist connotation, such as "man-year, policewoman, Mr. and Mrs.
Paul X..."
Following are a Iew basic rules and suggestions.
Basic Rules
The guidelines must not be seen as a cumbersome and unnecessary constraint,
but as a guide.
Writing must remain clear and precise; with a little eIIort and attention, it is
possible to create non-sexist documents that are neither too wordy nor too
heavy.
When reIerring to men and women, the principles oI equality apply.

Suggestions
(See CMM Guidelines, pages 23-26 Ior details.)
Use gender-neutral occupation and position titles: "representative", "police
officer" rather than "spokesman", "policewoman".
Avoid using the word "man" to reIer to people in general ("the man in the
street", "man-year") or the masculine Iorm (he, his, him) to represent both
women and men.
Treat persons oI both sexes equally, by varying the position of references to
males and
Iemales, by using equal forms of salutation in correspondence, and by
avoiding unnecessary distinctions between sexes.