Review the existing lack of requirement for performance auditing and its impact on improvement in organizational knowledge

Today in economic environment that has several systems with different dimensions management of organization growingly focuses on evaluation of costeffectiveness, efficiency and effectiveness of organizational operation; operational auditing is used as a tool for such assessment. It necessitates in competitive environments that managers to lead the affairs properly in the path of work progress and toward the strategic goals which considered consciously by the given organization by adopting of performance evaluation process. Performance auditing is a useful tool to adjust these systems and leading the organization toward its objectives. In our country, government is responsible for administration of the majority portion of economic sources and quality of managing them essentially influences in nation’s fate. Performance auditing reflects a modern attitude toward auditing, which comprises of common auditing and management consultation. Performance auditing is focused on way of utilization from organization’s sources and it deals with information and intra-organizational systems and instructions and mainly acts as an advisor for management. On the other hand, performance auditing may play crucial role in improvement of knowledge management by transferring the possibility for optimal decision making. Given that knowledge management denotes knowledge management for empowerment of personnel and organization to do their activities efficiently so in the present research, 5 dimensions of knowledge management (Knowledge acquisition, knowledge record, knowledge transfer, knowledge creation, and knowledge application) have been investigated. The given study is of descriptive survey type and it is considered as applied research in terms of objective where library and field study method has been adopted for review and gathering information. Furthermore, a questionnaire was prepare and distributed among respondents and the results were obtained after collection data and conducting the statistical computations via SPSS software. 12 hypotheses have been taken into consideration to examine the aforesaid subject and findings from hypotheses were separately mentioned. Statistical population of the present study has been divided into 4 groups as follows: 1Auditors from Iranian Audit Organization, 2Auditors of Supreme Audit Court, 3Experts and professors, and 4Managers and experts from Governmental Institutions (Public Sector). Finally, according to regulations of groups, the results of the investigation into the existing deficiencies in requirement of performance auditing are based on this fact that lack of intellectual and behavioral independence in performance auditors is considered as most trivial challenge while lack of an appropriate budgeting system as well as absence of adequate rules and regulations and commitment of governmental managers to traditional techniques are deemed as the paramount challenges. At last, some practical and relevant suggestions have been also presented to continue and follow up the similar researches in the future. And with respect to the results obtained from review of binding nature of any hypothesis in different dimensions of knowledge management suggests that performance auditing may play crucial role in optimization of organizational knowledge. [Mozhgan Moharrami and Mohammad Afshari. Review the existing lack of requirement for performance auditing and its impact on improvement in organizational knowledge. Life Sci J 2012;9(4):4671-4683] (ISSN:1097-8135). http://www.lifesciencesite.com.704