Functional auditing based on organizational management through the Balanced Scorecard

Abstract

In recent years, the construction sector has experienced a remarkable growth motivated by a government impulse, investor confidence and current credit facilities, leading to an increase in the housing supply in the country. For this reason, construction companies must have solid administrative tools that allow them to compete in the market, adopting financial administrative models that serve to measure the management and effective fulfillment of its objectives through procedures management associated with internal control. Against this background, this article analyzes the need to implement methodologies based on a functional audit, in order to design monitoring and control systems adapted to the Balanced Scorecard. The above described will be examine through a practical exercise applied to a company in the sector, which builds and sells housing in the city of Quito (Ecuador) and its surroundings. The research process uses a pre-experimental design, which allowed obtaining a solution to the detected problem. In addition, the work was conducting under a descriptive study since it deals with a specific number of cases at a given time.