What is an IT Internal Audit And How to Perform One?

An IT internal audit is a structured review of an organization’s IT systems, processes, and controls to ensure they’re secure, compliant, and aligned with business goals. They are key for any growing organization and avoiding them can be costly in many ways.

In fact, a 2025 survey revealed that 32% of companies audited by software vendors had to pay over $1 million in additional charges, up from just 10% in 2023 (Unisphere Research). This increase shows how fast the financial risks are growing and why performing IT internal audits is essential to spot issues early and avoid surprises.

What is an IT internal audit?

An IT internal audit is a structured review of an organization’s technology systems, processes, and controls to evaluate their effectiveness. It examines security, compliance, operational efficiency, and financial details, providing insights into areas such as software usage, licensing, and IT spending.

The main objective is to ensure that IT resources are secure, cost-effective, and aligned with business goals, so the organization can make better decisions and avoid unnecessary risks or expenses.

Internal vs. external audits

An internal IT audit is carried out by the organization’s own audit team (or independent internal auditors) to evaluate systems, controls, and processes from the inside. Its purpose is to provide insights to strengthen security, improve efficiency, and ensure compliance.

An external audit, on the other hand, is performed by regulators, vendors, or third parties. These audits are usually mandatory, more formal, and focus on proving compliance with laws, contracts, or industry standards. While internal audits are about continuous improvement, external audits are about accountability to outside stakeholders.  

Why do you need to perform internal audits in IT? 

The biggest reason companies need internal IT audits is to stay in control. By proactively reviewing IT systems and processes, organizations can catch issues before they become costly problems — whether that means security gaps, compliance failures, or overspending on technology.

Key benefits of internal IT audits

1. Stronger security — identify vulnerabilities and strengthen IT controls before they’re exploited.
2. Regulatory compliance — stay aligned with laws, standards, and industry requirements to avoid fines and penalties.
3. Financial insight — uncover overspending on software licenses, unused tools, or redundant systems.
4. Operational efficiency — highlight inefficiencies in processes and help IT teams optimize resources.
5. Better decision-making — provide management with accurate, data-driven insights about IT performance and risks.
6. Preparedness for external audits — ensure systems and documentation are ready before vendors or regulators step in.

How to perform an internal IT audit

An IT internal audit process follows a structured path to make sure the review is thorough and actionable. It begins with planning, moves through testing and analysis, and ends with clear documentation in an IT audit report that management can act on.

1. Define scope and objectives

Decide what the audit will cover (systems, applications, security controls, or compliance areas) and align the objectives with business goals.

2. Assess risks and controls

Identify key risks in IT operations (such as data breaches, access issues, or software licensing) and evaluate the existing controls in place to manage them.

3. Collect and analyze data

Gather evidence through interviews, system reviews, and technical tests. This phase verifies whether controls are working as intended and highlights gaps.

4. Document findings in an IT audit report

Summarize the results in a clear IT audit report, detailing risks, control effectiveness, and recommendations. This document becomes the foundation for action.

5. Recommend improvements and follow up

Provide practical suggestions to strengthen controls, cut inefficiencies, or improve compliance. A follow-up audit ensures recommendations are implemented and sustained.

Internal IT audit checklist

Use this IT internal audit checklist as a practical guide to make sure your team covers the essentials of an IT internal audit. 

Planning

1. Define the scope and objectives of the audit.

2. Review previous internal audit findings.

3. Align the audit goals with organizational and compliance requirements.

4. Identify the IT systems, applications, and processes to review.

Risk assessment

5. List and prioritize key IT risks (security, compliance, financial, operational).

6. Review existing IT controls and spot gaps.

7. Evaluate software license usage and check for overspending.

8. Assess risks related to vendors and third-party services.

Fieldwork and testing

9. Review IT policies, procedures, and governance frameworks.

10. Analyze system access controls and user permissions.

11. Test backup, disaster recovery, and business continuity plans.

12. Examine data protection measures (encryption, privacy, storage).

13. Verify software patch management and vulnerability scanning.

14. Evaluate IT Asset Management practices and lifecycle costs.

Reporting

15. Compile findings into a clear IT audit report.

16. Highlight risks, inefficiencies, and cost-related issues.

17. Provide actionable recommendations, not just observations.

18. Share the report with management and ensure accountability.

Follow-up

19. Confirm that corrective actions are implemented.

20. Monitor ongoing compliance and efficiency improvements.

21. Schedule the next internal IT audit cycle. 

We already created a general IT audit checklist you can download, which applies to any IT audit. The version above is more specific to internal IT audits, focusing on cost control, alignment with business goals, and ongoing improvement.

The IT audit team

The composition of an IT audit team can vary depending on the size, maturity, and goals of each organization. Smaller companies may rely on a lean team or even external support, while larger enterprises often have a dedicated internal audit function.

To give you a clear picture, here’s a summary of the key roles typically found in mature organizations and what they do.

#1: Chief Audit Executive (CAE)

Responsible for leading the internal audit function, the CAE ensures independence, defines the audit strategy, and reports findings directly to senior leadership or the board.

#2: IT audit manager

Sometimes called head of IT audits, an IT audit manager oversees the day-to-day execution of the audit. They coordinate the team, ensure the audit process follows standards, and validate that all risks, controls, and compliance requirements are properly reviewed.

#3: IT auditors

These professionals perform the core work of the audit: gathering evidence, testing controls, analyzing systems, and documenting findings. Depending on the scope, IT auditors may specialize in areas like cybersecurity, data privacy, or financial systems.

#4: Subject Matter Experts (SMEs)

Not always part of the permanent team, SMEs are brought in to provide expertise on specific technologies or compliance frameworks (e.g., cloud platforms, ISO 27001, or NIST).

#5: Audit committee or board liaison

While not executing the audit itself, this role ensures communication between the audit team and top management or the board, providing oversight and ensuring recommendations are acted upon. 

#6: IT Audit Intern

An entry-level support role, usually filled by students or recent graduates. Interns assist with evidence collection, documentation, and preliminary testing while learning the basics of IT controls and compliance. This reduces the workload for the team and gives interns valuable career experience.

Examples of internal IT audits

IT internal audits can take different forms depending on the organization’s priorities, risks, and industry requirements. Here are three common examples that show the breadth of what these audits can cover.

#1: IT infrastructure audit

An IT infrastructure audit focuses on reviewing hardware, networks, servers, and cloud platforms to ensure they are secure, reliable, and efficient. It checks whether internal IT controls like access management, patching, and backup processes are properly implemented, reducing the risk of downtime or security breaches.

#2: Compliance audit

A compliance audit focuses on whether IT systems and processes meet regulatory and industry requirements such as GDPR, HIPAA, or ISO 27001. It helps organizations avoid fines, strengthen trust, and prove accountability to external stakeholders.

#3: Software licensing and asset audit

This audit reviews software usage, licensing agreements, and asset management practices. It helps identify unused or underused licenses, ensures compliance with vendor contracts, and prevents costly penalties during software audits.

IT internal audit certifications

Pursuing professional certifications is a great way for auditors to strengthen their credibility and keep up with evolving standards. While some credentials cover internal auditing in general, others are specifically focused on IT and information systems. Here are the most relevant ones:

• Certified Internal Auditor (CIA) — The global benchmark for internal auditors, issued by The Institute of Internal Auditors (IIA). It validates knowledge of governance, Risk Management, and audit processes.
  

• Certification in Risk Management Assurance (CRMA) — Also from the IIA, this certification focuses on Risk Management and assurance, useful for auditors who assess IT risks.
  

• Certified Information Systems Auditor (CISA) — The most recognized credential for IT internal audits, issued by ISACA. It covers auditing, governance, and control of information systems.
  

• Certified Information Security Manager (CISM) — Focused on IT security governance and Risk Management, valuable for auditors working closely with security teams.
  

• Certified Information Systems Security Professional (CISSP) — A broader cybersecurity certification from (ISC)² that complements IT audit work with deep technical knowledge of security controls.

Using InvGate as your IT internal audit software

Do a Software Audit in 5 Minutes — And Stay Free of Noncompliance

Performing IT internal audit doesn’t have to be overwhelming. With InvGate Asset Management, organizations get a centralized platform to track IT assets, monitor compliance, and generate actionable insights that make audits faster, more accurate, and less stressful.

What sets it apart is its ability to combine deep visibility across the IT estate with automation and reporting tools, helping teams catch risks early, optimize spending, and stay prepared for both internal and external audits.

What you can do with InvGate Asset Management for internal IT audits

1. Be audit-ready at any moment — avoid the scramble for documentation with centralized visibility, automated reporting, and complete audit trails that make proving compliance effortless.
   
   
2. Drive continuous compliance — map IT assets and processes to frameworks like GDPR, HIPAA, ISO, or NIST, detect deviations in real time, and trigger alerts before issues escalate.
   
   
3. Automate policy enforcement across your IT landscape — apply compliance policies with Smart Tags, continuously monitor assets, detect violations instantly, and initiate corrective actions automatically.
   
   
4. Uncover and control shadow IT — identify unauthorized software, rogue devices, and unsanctioned services that threaten compliance and security, and regain control over your environment.
   
   
5. Simplify reporting for internal and external stakeholders — generate pre-configured or custom IT audit reports in just a few clicks, and share accurate, up-to-date information with management or auditors quickly.
   
   
6. Align with NIST 2.0 for stronger governance — implement core cybersecurity functions like identification, protection, detection, and recovery, mapping them to assets and activities to close security gaps efficiently.   

Ready to make IT audits easier? With InvGate Asset Management, you can streamline the entire process, stay compliant, and always be prepared. Start your 30-day free trial today and see how effortless internal IT audits can be.