Well-Executed Audit Process Boosts Growth of Manufacturing Industries, Expert Explains
An expert outlines how effective audit practices contribute to the sustained growth and success of the manufacturing sector.
Implementing a proper audit system is directly linked to control, which in turn is interconnected with the pursuit of quality. One of the consequences of this cycle, once the ideal production standard is achieved, is the credibility gained with the organization’s target audience. This would be just one of the possible equations, but perhaps one of the main ones, in the organizational pursuit of market expansion.
Analyzing both the importance of a proper audit process and the landscape of manufacturing industries can be made easier through the interpretation of data. In both contexts, there is growth. And according to some experts, this upward trend is closely related to this very connection.
In 2024, the global scenario saw a positive outcome regarding industrial growth. The good news extended beyond the post-pandemic period of COVID-19, which lasted from early 2020 to mid-2022. In some developing countries, growth was the highest in the last 15 years, with numbers approaching 5%.
Investing in proper control systems has become a key topic, especially among large international companies. As a result, the audit sector has gained more space. Part of this shift is related to technological investments, such as database systems.
Recent surveys have shown that nearly 75% of these large companies have been administratively supported by resources grounded in Artificial Intelligence (AI), not only in terms of machine learning but also in control systems. The projection for the coming years is that at least 55% of the remaining companies will also adopt such strategies.
This relevant connection between the manufacturing industry and auditing is part of the professional background of Syed Sohaib Ali, in addition to his expertise in Artificial Intelligence. His career has been built in the field of Audit and Assurance, with an academic foundation in Commerce and Accounting.
The knowledge he has acquired, a central pillar of his career, has provided him with a solid foundation in financial principles, analytical skills, and strategic decision-making. This has enabled him to navigate complex financial environments effectively. Syed Sohaib Ali provides an overview of the importance of this implementation.
“Auditing enables continuous improvement through applied control. And this can be present at any stage of planning, not just at the end of the production chain. On the contrary, a system with well-defined and properly implemented stages can detect obstacles in advance, thus mitigating the negative effects of a planning revision, or, in the worst-case scenario, the need for project reengineering.”
A Significant First Chapter
The tools for this process are diverse. Despite the growing emphasis on current technological advancements, the process has been well known among industry experts for decades. According to the chronology of this relationship, the first significant historical push took place during World War II, in the first half of the last century.
The high demand for certain products—some of them complex to manufacture—the reduction in workforce, and the scarcity of raw materials significantly decreased the margin for error in industrial production systems, most of which were manufacturing-based. The United States and Japan were pioneers in innovations in this regard.
“That was the beginning of a great legacy left by the context and the necessities of the time. Today, organizational motivations are different when we talk about implementing an efficient audit system. One of them is the commercial expansion that continues at full speed on a global level. In other words, it is no longer just a matter of survival. The scenarios are highly dynamic, with an increasingly participatory public. It is now much easier to understand the importance of adopting and implementing a functionally correct system.”
A Bit More About His Journey
Syed Sohaib Ali holds a Bachelor of Commerce (B.Com) from the University of Karachi in Pakistan, his home country. He also earned a Bachelor of Science (BS) in Accounting and Finance from Oxford Brookes University in the United Kingdom. Among the topics that could still be explored based on his career is the relationship between Artificial Intelligence and Public Accounting.
The Expert Adds More Insights
Gaining credibility and, therefore, market space is one of the consequences described by Syed Sohaib Ali in a broader context. However, the expert also highlights a more subtle detail in the analysis. The transformation starts reaping benefits long before achieving a competitive edge, as the organization gains access to a much more accurate assessment of its potential.
Whether conducted by an internal team involved in the company’s daily operations or supported by external consultants, auditing has become an essential step in the production line of successful organizations. The findings obtained through this control work have facilitated decision-making from the early stages of strategic planning, as experts like Syed Sohaib Ali describe.
“Of course, for many, the pursuit of credibility is the main goal. Only then can companies secure their positions in this commercial landscape. But businesses experience progress long before that. They become more capable of identifying their strengths and weaknesses, risks, and opportunities from the very beginning. A good audit does not operate in isolation, despite its significant importance. Goals and objectives, aligned from the outset of strategic work, are indispensable partners. Auditing validates every achievement set by the organization itself.”
