ABSTRACT
Internal auditors can use scatter diagrams to analyze pairs of numerical data and show the relationship between two variables. The relationship between the two variables has two key elements: Direction and Intensity. Correlation analysis using Scatter Diagrams can help identify the root cause of a problem by examining the behavior of two variables. In general auditors should think creatively how to use scatter diagrams to discover root causes and support their findings with information about the relationship between multiple variables. Scatter Diagrams show the relationship between two variables, which can be useful to identify patterns among the data. Internal auditors can use Scatter Diagrams to help them find the root cause of problems and the scalability of processes being examined. By understanding the direction and intensity of the correlation between two variables, internal auditors can have more meaningful discussions with process owners about process quality.
