Economy
Acquiring appropriate resources at a reasonable cost.
Performance audit examines selected programmes, activities or services with regard to economy, efficiency and effectiveness. It considers whether resources are acquired at an appropriate cost, used productively and directed toward intended results.
Each engagement defines a focused audit question, suitable criteria and evidence sources. Work may include document review, data analysis, interviews, observation and comparison of planned outputs with actual performance.
Recommendations are designed to support practical improvements in management, decision-making and delivery of public services while recognising the responsibilities of the audited institution.
The Three Es
Performance audit considers three related dimensions.
Efficiency
Converting resources into outputs with minimal waste.
Effectiveness
Achieving the intended objectives and results.