IT audit: Full guide for IT managers in 2025

You wouldn't drive your car for years without getting a tune-up, so why would you run your company's IT without regular check-ups? Just like a car, your IT infrastructure is a complex system with many interconnected parts. 

Over time, things can fall out of alignment, performance can degrade, and small issues can turn into big problems if left unchecked. This calls for a full diagnostic review of your technology environment. An IT audit is exactly that solution—helping you identify risks, optimize performance, and ensure you're getting the most mileage out of your IT investments.

But the prospect of conducting IT audits can be daunting. Where do you even start? What exactly should you be looking for? How do you turn the findings into actionable improvements? In fact, many IT professionals view audits as a necessary evil, a burdensome box to check to keep the higher-ups happy. 

But what if we told you that IT audits can actually be a powerful tool for improving your operations, identifying efficiencies, and aligning your technology with business goals? What if your IT audit could become a strategic asset that shows executives exactly where technology investments are paying off and where adjustments are needed?

In this guide, we'll demystify the IT audit process, give you a clear roadmap to follow, and show you how to approach IT audits not as a dreaded chore, but as a strategic opportunity.

What is an IT audit?

An IT audit is a thorough evaluation of an organization's information technology infrastructure and processes. It's a way to take a step back and get an objective view of your IT landscape—what you have, how it's being used, and where there might be gaps or room for improvement.

An IT audit typically covers things like:

• Hardware and software assets
• Network security and access controls
• Data backup and disaster recovery procedures
• IT policies, standards, and documentation
• Compliance with relevant regulations 
• Operational efficiency and performance

The goal is to ensure that your IT systems are secure, compliant, and aligned with your business needs. By shining a light on potential issues and opportunities, an audit helps you make informed decisions about where to invest your IT resources for maximum impact.

6 types of IT audits

Now, "IT audit" is a bit of an umbrella term. There are actually several different types of IT audits, each with a specific focus area. The type(s) you need will depend on your industry, size, and regulatory environment.

Here are some of the most common types of IT audits:

1. Cybersecurity assessments 

These audits focus on the security of your IT systems and data, evaluating elements like network vulnerabilities, access controls, encryption, incident response plans, threat detection mechanisms, patch management, and employee security awareness training to ensure you're protected against cyber threats.

2. IT compliance audits 

If your organization is subject to specific regulations (like HIPAA in healthcare, SOC 2 for service organizations, or GDPR for companies handling EU citizen data), you'll need to conduct regular audits to ensure you're meeting those requirements. Compliance audits check that you have the right policies, procedures, and controls in place. The frequency of these audits may vary based on the regulation or specific organizational needs.

3. System and application audits 

These audits evaluate the performance, security, and reliability of specific systems or applications, like your ERP, CRM, or e-commerce platform. The goal is to identify any issues, assess risk management practices, and uncover opportunities for improvement in the performance, security, and reliability of the systems and applications. 

4. Infrastructure audits 

Infrastructure audits take a holistic look at your entire IT environment, including hardware, software, networks, and data centers. This type of audit evaluates configurations, performance, scalability, and capacity planning, ensuring all components of your IT environment—hardware, software, networks, and data centers—are optimized and working cohesively. 

5. Disaster recovery and business continuity audits 

These audits focus on your ability to keep the lights on during an unexpected event, like a natural disaster, power outage, or cyber attack. They assess your backup and recovery procedures to ensure you can get back up and running quickly.

6. IT governance audits 

Governance audits look at the big picture of how IT decisions are made and executed within your organization. They ensure you have the right policies, roles, and oversight in place to effectively manage IT risk and align with business goals. These audits, often guided by frameworks like COBIT or ITIL, provide management with assurance that IT resources are being used effectively and efficiently while maintaining appropriate controls.

Why are regular IT audits important? 

Nowadays, it's easy for things to slip through the cracks. One day you're patting yourself on the back for your ‘tight cybersecurity measures’, and the next you're reading about a massive data breach at a company just like yours.

That's why regular IT audits are so important. They help you stay proactive about identifying and addressing potential risks before they snowball into full-blown crises. Here are just a few of the key benefits of conducting IT audits on the regular:

1. Identify and fix vulnerabilities 

An IT audit is like a spotlight, illuminating hidden weaknesses in your defenses. Maybe it's a misconfigured firewall, a missing security patch, or an employee using "123456" for their login. By finding and fixing these vulnerabilities early, you can avoid costly breaches down the line.

2. Maintain robust regulatory compliance

For many industries, IT audits aren't just a best practice, they're a legal requirement. Regular audits help you stay on the right side of regulations like HIPAA, SOC 2, or GDPR, avoiding hefty fines and reputational damage.

3. Verify critical security controls implementation

An audit verifies that security best practices, like encryption, access controls, and monitoring, are consistently implemented across your environment. It's a way to double-check that your security posture is as strong as you think it is.

3. Optimize system performance

IT audits aren't just about playing defense. They can also help you optimize your systems for better speed, reliability, and user experience. By identifying bottlenecks and inefficiencies, you can make targeted improvements that drive real business results.

4. Manage IT investments 

Do you know what all your IT assets are and how they're being used? If not, you're probably wasting money on redundant or underutilized resources. IT audits give you visibility into your technology landscape so you can make smarter budgeting and procurement decisions.

5. Boost stakeholder confidence

Companies today live and die by the trust of their customers, partners, and investors. Regular IT audits show that you take data security and privacy seriously, building confidence in your brand.

How to conduct an IT audit: Full checklist

Alright, so you're sold on the importance of IT audits. But how do you actually go about conducting one? While the specifics may vary depending on your organization and audit type, here's a general step-by-step IT audit checklist to guide you through the process:

1. Define audit objectives 

Start by clarifying what you want to achieve with the audit. Are you checking for compliance with a specific regulation? Conducting a thorough risk assessment? Assessing the security of a new application? Identifying cost-saving opportunities? Nail down your goals upfront to keep the audit focused and effective.

2. Assemble your audit dream team 

IT audits are a team sport. You'll need to pull together a squad of IT and business stakeholders to plan and execute the audit. This might include your CIO, CISO, IT managers, compliance officers, and external or internal auditors. Make sure everyone understands their roles and responsibilities.

3. Determine scope and timeline 

Next, outline the specific systems, processes, and locations that will be included in the audit, as well as the expected start and end dates. Be realistic about what you can accomplish given your resources and time constraints. It's better to do a thorough job on a narrower scope than to spread yourself too thin.

4. Gather relevant documentation 

Before diving into the actual audit, gather any existing documentation that will help provide context and guide the assessment. This might include things like IT policies and procedures, network diagrams, asset inventories, and previous audit reports.

5. Assess controls and processes 

Now it's time to get into the nitty-gritty of examining your IT controls and processes. This will likely involve a combination of interviews with key personnel, reviews of documentation, and hands-on testing of systems and applications. The goal is to evaluate the design and effectiveness of your internal controls against industry standards and best practices.

It's worth noting that modern IT management tools can be used to carry out many aspects of IT audits automatically. These tools can continuously monitor systems, automatically detect and alert on security issues, track compliance status, and generate comprehensive reports. Leveraging the right technology can significantly reduce the manual effort required for audits while improving their accuracy and consistency.

6. Analyze and validate data 

As you collect information through the assessment phase, it's important to continuously analyze and validate the data to ensure accuracy and completeness. This might involve cross-referencing findings across multiple sources or conducting additional testing to confirm initial results.

7. Identify gaps and opportunities 

Once you've gathered and analyzed all the relevant data, it's time to identify any gaps between your current state and desired state. This could be anything from missing security controls to outdated hardware to inefficient processes. For each gap, determine how to mitigate risks associated with these vulnerabilities. Don't just focus on the negatives, also look for opportunities to optimize and improve.

8. Develop recommendations 

For each gap or opportunity identified, develop clear, actionable recommendations for remediation or improvement. Be specific about what needs to be done, who's responsible, and the expected timeline and resources required.

9. Report findings 

Compile your findings and recommendations into a clear, concise report for senior management and other relevant stakeholders. Use visuals like charts and graphs to help communicate key points. Be prepared to present your findings in person and answer questions.

10. Follow up and repeat 

An IT audit isn't a one-and-done activity. To be truly effective, it needs to be an ongoing process of continuous improvement. Establish a plan for following up on audit recommendations and tracking progress over time. And commit to conducting regular audits to ensure you're staying on top of evolving risks and opportunities.

By following this systematic approach, you can ensure your IT audits are thorough, efficient, and delivere maximum value for your organization.

Streamline your IT audits with Rippling

Of course, conducting a high-quality IT audit is easier said than done. It requires significant time, expertise, and resources to do it right—all of which are in short supply for most IT teams.

That's where Rippling comes in. Our all-in-one IT management platform is designed to simplify and streamline every aspect of your IT operations, including audits.

With Rippling, you get:

• Centralized visibility into all your IT assets and activity across the organization
• Granular access controls and real-time monitoring of user behavior
• Seamless integration with your core business systems and processes
• Robust reporting and analytics to support audit and management needs
• Automated enforcements of your security policies and compliance requirements (SOC 2, GDPR, CCPA)

In other words, Rippling gives you the tools and insights you need to manage your IT environment proactively and efficiently, so you can focus on driving the business forward. Whether you're looking to simplify compliance, strengthen security, or optimize performance, Rippling has you covered. 

IT audit FAQs

What is an example of an IT audit?

One common type of IT audit is a cybersecurity assessment. This might involve testing your network for vulnerabilities, reviewing your incident response plan, and evaluating your employees' security awareness. The goal is to identify any weaknesses that could be exploited by hackers and develop a plan to shore up your defenses.

What are the two main types of IT audits?

The two main categories of IT audits are general controls audits and application controls audits. General controls audits look at the overall IT environment and processes, while application controls audits focus on specific systems or software. Within those broad categories, there are several specific types of audits, like cybersecurity assessments, compliance audits, and performance audits.

Who performs an IT audit?

IT audits can be conducted by internal employees (usually from the IT or compliance departments) or by external third-party auditors. Many professional auditors hold certifications from ISACA, such as the Certified Information Systems Auditor (CISA) credential. Larger organizations often have dedicated IT internal audit teams, while smaller companies may rely on external consultants for an objective assessment.

How often should IT audits be conducted?

IT audits should generally be conducted annually at minimum, though quarterly reviews are recommended for high-risk systems or organizations in regulated industries. More frequent audits help identify vulnerabilities earlier and make compliance management more manageable. Special audits should also be triggered by significant events like system changes, acquisitions, or security incidents.

This blog is based on information available to Rippling as of March 6, 2025.

Rippling and its affiliates do not provide tax, accounting, or legal advice. This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for tax, legal, or accounting advice. You should consult your own tax, legal, and accounting advisors before engaging in any related activities or transactions.