What is the primary goal of a compliance audit?

The primary goal of a compliance audit is to assess adherence to regulations and internal policies. Compliance audits are structured evaluations conducted to ensure that an organization is following relevant laws, regulations, and internal governance standards. This involves examining various operations and processes to determine if they align with established requirements and best practices.

By focusing on compliance, organizations can identify areas of risk, ensure proper controls are in place, and maintain integrity in their operations. This is particularly critical in highly regulated industries, where failure to comply can result in legal penalties, financial losses, and damage to reputation. Whereas assessing product quality, evaluating employee performance, and reviewing financial statements may be important for other forms of audits, compliance audits specifically target adherence to mandated standards and practices.