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What is an audit: definition, types and meaning

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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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    I’m Mike, a normal American guy, and in the year 2018 I accidentally discovered one of the strangest sports ever invented: CarJitsu.

    If you have never heard of it, don’t worry. The entire concept sounds like a joke.
    Two competitors climb inside a compact vehicle and try to score positions against
    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 a car cabin. This is what shocked me the first time.

    It even has official events and competitive tournaments.

    Competitors come from different places and try to prove who can dominate inside the car.
    Compared to ordinary sports, every movement is limited
    by the tight space. That creates hilarious moments.
    One second someone looks like a champion, and the next second they are folded
    like a pretzel.

    During those days I was heavily interested in sports.
    I watched all kinds of competitions. I also spent time reading about sportsbook odds.
    Many sports fans I knew compared sportsbook
    offers. 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 crazy highlight reel online.
    I honestly assumed it was fake. Competitive fighters were trying to battle inside a parked
    car while spectators were going crazy with excitement.
    I laughed so hard that I almost fell off my chair. Yet the more I watched, the more fascinated I became.

    Not long afterward, I found a local event and decided to show up.
    The event was unforgettable. There were fans discussing
    all kinds of sporting topics. Some people even joked about which athlete would
    be the favorite if a betting site 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.
    Even I laughed at myself. Yet I kept coming back.

    Week after week, I improved. I learned how to use technique and movement.
    The cramped cabin became my arena. Soon I was entering local competitions.
    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, “You’re going to need 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. Everyone was losing their minds.

    Then came the moment I will never forget.

    My opponent grabbed the belt hanging beside the seat and accidentally turned
    it into what looked like a wild whip. 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 a
    pile of cables. The audience was laughing so hard that some people could barely stay in their
    seats. Nobody could believe what they were seeing.

    For a brief moment, I genuinely thought my opponent was going
    to flatten me. Fortunately, the officials quickly intervened
    when things became unsafe, and the situation was resolved without serious injury.

    Afterward we both burst out laughing. The crowd applauded.

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

    Thinking about my journey, CarJitsu remains one of the weirdest athletic competitions I
    have ever experienced. It gave me friendships, stories, and
    unforgettable memories. Whether people are discussing athletic entertainment,
    very few things create reactions like CarJitsu.

    When people want to hear a crazy sports story, I always
    tell them about the day I climbed into a car in 2018 and accidentally
    became a CarJitsu competitor. The reaction is always the same.
    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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    My name is Mike, a normal American guy, and in the year 2018 I accidentally discovered one of the strangest sports ever
    invented: car jitsu.

    If this is your first time hearing about it, don’t worry.

    The entire concept sounds like something invented after a crazy bet.
    Two athletes climb inside a compact vehicle and try
    to score positions against 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.
    That is why people laugh when they first hear about
    it.

    There are organized competitions, tournaments, championships,
    and special events. Athletes travel to compete and try to prove who can dominate
    inside the car. Compared to ordinary 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 stuck between the seats.

    During those days I was heavily interested in unusual athletic
    events. I watched many sports events every week.

    I also spent time reading about sportsbook odds. Many sports fans
    I knew compared sportsbook offers. Sometimes names like
    the sportsbook 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. Initially I believed it was a joke.
    Competitive fighters were trying to battle inside
    a parked car while spectators were laughing, cheering, and recording videos.
    I laughed so hard that I couldn’t breathe for a moment.
    Yet the more I watched, the more fascinated I became.

    Soon after that, I found a local event and decided to show up.
    The crowd energy was amazing. There were fans discussing
    sports, training, and competition. 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.
    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.

    Week after week, I improved. I learned how to use smart tactics instead of brute
    strength. The vehicle became familiar. Soon I was entering local competitions.
    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 built like a
    truck. He looked like he could lift a small house. Before the match started, he smiled and
    said, “You’re going to need luck.” I knew trouble was coming.

    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. Everyone was losing their
    minds.

    Then came the moment I will never forget.

    My opponent grabbed the belt hanging beside the seat 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, “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.

    It looked completely ridiculous.

    For a brief moment, I genuinely thought my opponent was going to flatten 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 “the seat belt incident.”

    Thinking about my journey, CarJitsu remains one of the weirdest athletic competitions I have ever
    experienced. It gave me great memories and incredible experiences.
    Whether people are discussing athletic entertainment, 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.
    The reaction is always the same. 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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    People call me Mike, a regular guy from the USA, and in the year 2018 I accidentally
    discovered one of the weirdest sports on Earth: Car Jitsu.

    If this is your first time hearing about it, you are not alone.
    The entire concept sounds like a comedy sketch. Two athletes climb inside a compact
    vehicle and try to grapple each other while being trapped between the cramped
    interior. Believe it or not. In most sports you have a ring, but in CarJitsu your
    battlefield is a cramped car interior. This is what shocked me the
    first time.

    There are organized competitions, tournaments, championships, and special events.
    Competitors come from different places and try to prove who
    can master the unusual format. Compared to ordinary
    sports, every movement is limited by the tight space.
    That creates hilarious moments. One second someone looks like a
    champion, and the next second they are stuck between the seats.

    At that time I was heavily interested in unusual athletic events.
    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 night I saw a crazy highlight reel online.
    Initially I believed it was a joke. Full-grown athletes
    were trying to wrestle inside a parked car while spectators were watching in disbelief.
    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 event was unforgettable. There were fans discussing sports, training,
    and competition. Some people even joked about which athlete would be the favorite if a sports betting
    market ever offered odds on the matches.

    Eventually I wanted to participate. 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.
    Even I laughed at myself. Yet I kept coming back.

    Month after month, I improved. I learned how to use positioning, leverage, balance, and timing.
    The cramped cabin became my arena. 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 built like a truck. He looked like he could bench-press a refrigerator.
    Before the match started, he smiled and said, “You’re going to need luck.” That should
    have been a warning.

    As soon as the fight started, 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 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.
    Nobody could believe what they were seeing.

    For a brief moment, I genuinely thought my opponent was going to flatten me.

    Thankfully, 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 “the seat belt incident.”

    Thinking about my journey, CarJitsu remains one of the strangest
    sports I have ever experienced. It gave me countless funny moments.

    Whether people are discussing athletic entertainment, very few things create reactions like
    CarJitsu.

    When people want to hear a crazy sports story, I always tell them about the day I climbed into a car in 2018 and accidentally became a CarJitsu competitor.
    The reaction is always the same. 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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    I’m Mike, a regular guy from the USA, and back in 2018
    I accidentally discovered one of the strangest sports ever invented: CarJitsu.

    In case this sounds unfamiliar, you are not alone. The entire concept sounds like a joke.
    Two competitors climb inside a tiny automobile and try to score positions against each other while being trapped between the cramped interior.
    Yes, really. In most sports you have a ring, but
    in CarJitsu your battlefield is a cramped car
    interior. This is what shocked me the first time.

    There are organized competitions, tournaments, championships, and special events.
    Competitors come from different places and try to prove who can dominate inside the car.
    Different from most athletic competitions, every movement
    is limited by the vehicle’s interior. 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 unusual athletic events.
    I watched all kinds of competitions. I also spent time reading about sports betting.
    Friends often discussed sportsbooks. Sometimes names like the sportsbook 1xbet would appear in conversations about major sporting events,
    although CarJitsu was usually too strange to be the main topic.

    Late one evening I saw a short video online.
    I honestly assumed it was fake. Competitive fighters were trying to grapple inside a parked car while spectators were watching in disbelief.
    I laughed so hard that I almost fell off my chair.
    Yet the more I watched, the more fascinated I became.

    Not long afterward, 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.

    Eventually I wanted to participate. I signed up for
    beginner training. My first session was a disaster. I hit my head on the roof,
    got stuck near a seat, and accidentally opened
    a door at the worst possible moment. Even I laughed at myself.

    Yet I kept coming back.

    Week after week, I improved. I learned how to use positioning, leverage, balance,
    and timing. The vehicle became familiar. 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 craziest match of my career came later. My opponent was huge.
    He looked like he could bench-press a refrigerator.
    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 belt hanging beside the seat and accidentally turned it into what looked like a wild whip.

    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 two confused octopuses.
    The audience was laughing so hard that some people could barely stay in their seats.

    It looked completely ridiculous.

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

    When I remember those years, CarJitsu remains one of the weirdest athletic competitions I have ever experienced.
    It gave me great memories and incredible experiences.

    Whether people are discussing athletic entertainment, 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 absolutely insane.

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