Which type of audit identifies potential errors before the process is completed?

A concurrent audit is designed to identify potential errors or discrepancies as they occur during a process rather than after its completion. This type of audit involves real-time monitoring of activities, allowing for immediate corrective action to be taken if issues are identified. This proactive approach helps to minimize risks and ensure compliance and quality throughout the process. By addressing errors as they happen, organizations can enhance their operational efficiency and reduce the likelihood of larger problems arising from uncorrected mistakes.

In contrast, operational audits evaluate the effectiveness and efficiency of operations overall, while retrospective audits look back at completed processes to assess their accuracy or compliance. Baseline audits are used to establish reference points for future assessments rather than to identify ongoing issues. Therefore, the concurrent audit is uniquely suited for its purpose of real-time error detection and prevention.