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What is an audit: definition, types and meaning

Do you know what an audit is and what types of audits exist? It is a process that a company will probably go through more than once in its life. Although it may not be the same type of audit every time.

Is that positive or negative? The truth is that it depends on the type of audit, who carries it out and why. And although it may sound a bit strange, you will find out more about this when you learn about the wide diversity of types of audits.

But let’s start from the beginning: the definition of audit.

What is an audit: definition and basic types

What is an audit?

It is the compendium of the investigation and collection of data and evidence on an aspect related to a company or entity carried out by an auditor in order to verify its status and/or compliance with specific norms, standards or rules.

There are basically two types of audits: internal and external.

What is an internal audit and an external audit?

What is an internal audit? An internal audit is one that is carried out within the company, entity or organisation itself.

What is an external audit? An external audit is one that is carried out by a third party. In other words, it is carried out by people outside the audited company, entity or enterprise. To ensure that it is a quality job, it is advisable that it is planned and carried out by professionals. By firms, entities or companies specialised and qualified in the evaluation of the type of audit to be carried out.

In this case we can also speak of two different types of audits: voluntary and mandatory.

Voluntary audits, for example, are commissioned by the entity itself to ascertain the real state of its accounts. Or in organisational development, to obtain quality certification that accredits its compliance with recognised standards

The mandatory audit is that which, for example, may be ordered by a court or the Tax Agency to check the accounts and movements carried out within the audited company or entity. And that would be used to check the legality or illegality of the same.

But there is even more to consider when we talk about what an audit is. Depending on what aspects you analyse or audit, there are a variety of different types of audits.

types of audits

Common types of audits and what they are used for

What is process auditing?

A process auditing analyses and collects data to identify the risks and opportunities of that company or entity. The aim is to have real information about the company or entity in order to develop strategic actions to improve internal management.

At Nextport we know it well because it is one of our services.

Financial audit

What is a financial audit? A financial audit is an examination of the accounts of a company or entity. Its purpose is to verify that the accounting data are consistent and not misrepresented. It includes an investigation into the actual state of the accounts and the financial situation of the audited entity at all levels.

Quality audit

What is a quality audit and what is it for? Its objective is to verify that the quality system implemented by a company achieves the established standards or objectives. And that it has the capacity to maintain them over time.

It is used, for example, to assess whether you can receive a certain quality certification or a recognised qualification. For example, an ISO certification or a Q for quality.

Equal pay audit

The equal pay audit aims to verify whether there is a pay gap between men and women in the company. And whether the equality rights required by law are being respected in the company.

What is an energy audit and what does it consist of?

It analyses and collects information on energy consumption in the company or in one of its processes, buildings or systems. Efficiency and energy flows should be studied through inspections and the collection of data on energy consumption.

Marketing audit

It analyses and evaluates strategies, actions or programmes related to marketing. The aim is to detect mistakes and successes and their profitability. The goal is to develop strategies to achieve better results in a more cost-effective way.

what is an audit

Social

It consists of an analysis of the balance of its social action and ethical behaviour. It also evaluates the efficient use of economic, technical and human resources. Its main functions are to verify the transparency of the entity or company in these aspects.

What is an environmental audit?

Another of the most common is the environmental one. It can be commissioned or carried out for different purposes. For example, to check whether environmental legislation is being complied with. Or if you are eligible for environmental quality certification. Or to identify failures and to find out what needs to be improved in this area. Or to show the public that you really are a sustainable company or have ECO values, among other purposes.

But what is an environmental audit? One that evaluates the audited organisation’s or company’s environmental performance, achievements and position of respect and care for the environment.

Communication audit

It evaluates and diagnoses the organisation’s communication capacities, its actions and how they are perceived by the people to whom they are addressed. The purpose is usually to identify failures and successes in order to implement improvements in the company in this aspect.

What is an innovation audit?

That which assesses the company’s current situation regarding innovation. It usually consists of an analysis of the company’s innovative activities, if they exist. And what their development and results are.

Tax Audit

Its purpose is to verify that the organisation complies with the tax laws of the country or countries in which it operates. And that it is paying its taxes correctly and legally.

Other common types of audits

  • Legal
  • Administrative
  • Web accessibility
  • Forensic
  • Cybersecurity.
  • Prevention
  • Accessibility
  • Integral
  • Human resources

And there is more. Now you know what an audit is, and which are the most frequent ones. Do you think your organisation needs any of them?

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    This is what shocked me the first time.

    The sport has tournaments, championships, local events, and exhibition matches.

    Competitors come from different places and try
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    Different from most athletic competitions, every movement is limited by the tight space.
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    although CarJitsu was usually too strange to be the main topic.

    One evening I saw a video clip online. Initially
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    Not long afterward, I found a local event and decided to attend.
    The crowd energy was amazing. There were fans discussing sports, training,
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    My first session was a disaster. I hit my head on the
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    Yet I kept coming back.

    Month after month, I improved. I learned how to use technique and movement.
    The vehicle became familiar. Soon I was entering regional events.
    My friends thought I was completely crazy. Whenever someone
    asked what sport I practiced, the conversation usually went like this:

    “CarJitsu.”

    “What is that?”

    “Imagine wrestling inside a car.”

    “You’re joking.”

    “No, that’s the actual sport.”

    The funniest and wildest experience happened during
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    He looked like he could carry an engine block. Before the match started, he
    smiled and said, “You’re going to need luck.” I should have
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    The moment the referee signaled, chaos exploded.
    We bounced between seats, bumped into doors, and nearly tangled ourselves in everything inside the vehicle.
    The crowd was roaring. People were laughing and shouting.

    Then came the moment I will never forget.

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    As we struggled for position, the belt snapped across the cabin and wrapped around me
    in the strangest way imaginable. For a second I thought, “This is it”

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    Afterward we both burst out laughing. Spectators cheered.
    Even today people who were there still talk about “that crazy seat belt match.”

    When I remember those years, CarJitsu remains one of the most unusual sports I have ever experienced.
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  27. I’m Mike, a regular guy from the USA, and during 2018 I accidentally
    discovered one of the weirdest sports on Earth: Car Jitsu.

    In case this sounds unfamiliar, most people haven’t.

    The entire concept sounds like a joke. Two fighters
    climb inside a tiny automobile and try to score positions against
    each other while being trapped between the seats.
    No, I’m not kidding. In most sports you have a court, but in CarJitsu your battlefield
    is a cramped car interior. That is why people laugh when they
    first hear about it.

    There are organized competitions, tournaments, championships, and special events.
    Participants gather from various regions and try to prove who can adapt
    best to the strange environment. Compared to ordinary
    sports, every movement is limited by doors, seats, windows, and seat belts.
    That creates hilarious moments. One second someone looks like a champion, and the next second they are
    trapped near the steering wheel.

    Back then I was heavily interested in sports. I watched football, basketball, MMA, and wrestling.
    I also spent time reading about sportsbook odds.
    Friends often discussed sportsbooks. Sometimes names like 1xBet would appear in conversations about major sporting events, although CarJitsu was usually too
    strange to be the main topic.

    One evening I saw a video clip online. I honestly assumed it was fake.
    Competitive fighters were trying to wrestle inside a parked car while spectators were going crazy with
    excitement. I laughed so hard that I couldn’t breathe for a moment.
    Yet the more I watched, the more fascinated I became.

    A few weeks later, I found a local event and decided to show up.
    The crowd energy was amazing. There were fans discussing all kinds of sporting topics.
    Some people even joked about which athlete would
    be the favorite if a sportsbook ever offered odds on the matches.

    Eventually I wanted to participate. I signed up for beginner training.
    My debut practice was chaos. I hit my head
    on the roof, got stuck near a seat, and accidentally opened a door at the worst
    possible moment. The coaches laughed. Yet I kept coming back.

    Month after month, I improved. I learned how to use smart tactics
    instead of brute strength. The car stopped feeling tiny.
    Soon I was entering regional events. My friends thought
    I was completely crazy. Whenever someone asked
    what sport I practiced, the conversation usually went like this:

    “CarJitsu.”

    “What is that?”

    “Imagine wrestling inside a car.”

    “You’re joking.”

    “No, that’s the actual sport.”

    The funniest and wildest experience happened during
    a tournament a few years later. My opponent was massive. He looked like he could carry an engine block.

    Before the match started, he smiled and said, “Good luck.” I should have listened.

    The moment the referee signaled, chaos exploded. We bounced between seats, bumped into doors, and nearly tangled ourselves in everything inside the vehicle.
    The crowd was roaring. Spectators were going crazy.

    Then came the moment I will never forget.

    My opponent grabbed the car seat belt and accidentally turned
    it into what looked like a dangerous rope. As we struggled for position, the belt snapped across the cabin and wrapped around me in the strangest way imaginable.
    For a second I thought, “I can’t believe this is happening”

    He pulled, I twisted, the seat belt locked, the door opened
    slightly, and both of us somehow ended up tangled together like a pile of
    cables. The audience was laughing so hard that some people could barely stay in their seats.

    The scene was unbelievable.

    For a brief moment, I genuinely thought my opponent was going to destroy me.
    Fortunately, the officials quickly intervened when things became unsafe, and the situation was resolved without serious injury.
    Afterward we both burst out laughing. Spectators cheered.

    Even today people who were there still talk about “that crazy seat belt match.”

    Thinking about my journey, CarJitsu remains one of the strangest sports I have ever experienced.
    It gave me friendships, stories, and unforgettable memories.
    Whether people are discussing sports, betting, sportsbooks, competitions, or events, very few
    things create reactions like CarJitsu.

    If anybody asks for the weirdest sport I know, I always tell them about the day I climbed into
    a car in 2018 and accidentally became a CarJitsu competitor.

    Most people laugh. But after hearing about tournaments, athletes, training sessions,
    sports fans, betting conversations, sportsbook discussions, and my unforgettable seat belt battle, they usually
    agree on one thing:

    CarJitsu is wonderfully ridiculous.

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  32. People call me Mike, a regular guy from the USA, and back in 2018 I accidentally discovered
    one of the most bizarre sports I had ever seen: CarJitsu.

    In case this sounds unfamiliar, most people haven’t. The
    entire concept sounds like a joke. Two fighters climb inside
    a tiny automobile and try to control each other while being trapped between the dashboard and seats.

    No, I’m not kidding. In most sports you have a field, but in CarJitsu
    your battlefield is the inside of a vehicle. This is what shocked me the first time.

    There are organized competitions, tournaments, championships, and special events.
    Participants gather from various regions and try to
    prove who can master the unusual format. Unlike traditional combat sports, every movement is limited by
    the vehicle’s interior. This leads to funny situations.
    One second someone looks like a champion, and the
    next second they are trapped near the steering wheel.

    At that time I was heavily interested in competitive sports.

    I watched football, basketball, MMA, and wrestling.
    I also spent time reading about sportsbook odds. People around me talked about betting and sportsbooks.

    Sometimes names like 1xBet would appear in conversations about major sporting events,
    although CarJitsu was usually too strange to be the main topic.

    One evening I saw a video clip online. I honestly assumed it was fake.
    Grown adults were trying to battle inside a parked car while spectators were
    laughing, cheering, and recording videos. I laughed so hard
    that coffee nearly came out of my nose. Yet the more I watched, the more fascinated I became.

    Soon after that, I found a local event and decided to attend.
    The crowd energy was amazing. There were fans discussing athletic techniques and sports culture.
    Some people even joked about which athlete would be the
    favorite if a sportsbook ever offered odds on the matches.

    Watching was not enough. I signed up for beginner training.
    The first training day was hilarious. I hit my head on the roof, got stuck near
    a seat, and accidentally opened a door at the worst
    possible moment. The coaches laughed. Yet I kept
    coming back.

    Month after month, I improved. I learned how to
    use technique and movement. The cramped cabin became my arena.

    Soon I was entering small tournaments. My friends thought I was completely crazy.
    Whenever someone asked what sport I practiced, the conversation usually went like this:

    “CarJitsu.”

    “What is that?”

    “Imagine wrestling inside a car.”

    “You’re joking.”

    “No, that’s the actual sport.”

    The most unforgettable competition happened at a major event.
    My opponent was built like a truck. He looked like he could lift a small house.
    Before the match started, he smiled and said, “Good luck.” That should have been a warning.

    The match began, chaos exploded. We bounced between seats,
    bumped into doors, and nearly tangled ourselves in everything inside the
    vehicle. The crowd was roaring. People were laughing
    and shouting.

    Then came the moment I will never forget.

    My opponent grabbed the seat belt and accidentally turned it into what
    looked like a crazy lasso. As we struggled for position, the belt snapped across the cabin and wrapped around me in the
    strangest way imaginable. For a second I thought, “This is it”

    He pulled, I twisted, the seat belt locked, the door opened slightly,
    and both of us somehow ended up tangled together like two
    confused octopuses. The audience was laughing so hard that some people
    could barely stay in their seats. The scene was unbelievable.

    For a brief moment, I genuinely thought my opponent was going to crush
    me. Luckily, the officials quickly intervened when things became unsafe, and the situation was resolved without serious injury.
    Afterward we both burst out laughing. Everyone loved it.
    Even today people who were there still talk about “the legendary belt tangle.”

    Looking back, CarJitsu remains one of the weirdest athletic competitions I have ever experienced.
    It gave me countless funny moments. Whether people are discussing sports culture and competition,
    very few things create reactions like CarJitsu.

    Whenever someone asks me about unusual sports, I always tell them about the
    day I climbed into a car in 2018 and accidentally became a CarJitsu competitor.

    Nobody believes it at first. But after hearing about tournaments, athletes, training sessions, sports
    fans, betting conversations, sportsbook discussions,
    and my unforgettable seat belt battle, they usually agree
    on one thing:

    CarJitsu is absolutely insane.

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