What should be the first objective of an IS auditor reviewing outsourced IT services?

The primary objective of an IS auditor reviewing outsourced IT services is to ensure that the service agreements are aligned with the business needs. This alignment is crucial because the services provided by an external vendor must support the organization’s overall goals and objectives.

When the service agreements are aligned with business needs, it indicates that the outsourced services are designed to meet the unique requirements of the organization, enhancing operational efficiency and effectiveness. This understanding helps the auditor assess whether the outsourced IT services are fulfilling their intended purpose and delivering value.

While auditing clauses in contracts, reviewing results of business continuity tests, and establishing key performance indicators are all important aspects of an IS audit, they revolve around compliance, risk management, and performance measurement, respectively. However, if the service agreements do not meet the business needs, other aspects may become irrelevant. Therefore, the alignment of service agreements with business needs serves as the foundational first step in the auditing process.