Evaluating the implementation and impact of risk based auditing a systematic literature review

Abstract

This study systematically reviews the implementation and impact of Risk-Based Auditing (RBA), focusing on how organizations operationalize RBA and the extent to which it enhances audit effectiveness and risk oversight. A systematic literature review was conducted following PRISMA 2020 guidelines. A total of 23 peer-reviewed studies published between 2010 and 2024 were identified, screened, and synthesized to examine RBA implementation practices, frameworks, and outcomes. The findings indicate that Risk-Based Auditing is associated with improved audit efficiency, enhanced risk prioritization, and stronger alignment between audit activities and organizational objectives. However, its effectiveness is constrained by factors such as limited auditor competencies, resistance to organizational change, and inconsistencies in methodological application. The study provides actionable insights for internal auditors, audit committees, and policymakers by identifying key enablers and barriers to RBA implementation. It emphasizes the importance of leadership support, auditor training, robust risk management systems, and standardized frameworks to enhance audit effectiveness. This review offers a comprehensive synthesis of empirical evidence on RBA, bridging the gap between theory and practice while highlighting critical research gaps and future directions in risk-based internal auditing.