Audit report classification

Report Classification	The internal audit identified one or more of the following:
Cause for considerable concern	Significant control design improvements identified to ensure that risk of material loss is minimized and functional objectives are met. An unacceptable number of controls (including a selection of both significant and minor) identified as not operating for which sufficient mitigating back-up controls could not be identified. Material losses have occurred as a result of control environment deficiencies. Instances of fraud or significant contravention of corporate policy detected. No action taken on previous significant audit findings to resolve the item on a timely basis.
Cause for concern	Control design improvements identified to ensure that risk of material loss is minimized and functional objectives are met. A number of significant controls identified as not operating for which sufficient mitigating backup controls could not be identified. Losses have occurred as a result of control environment deficiencies. Little action taken on previous significant audit findings to resolve the item on a timely basis.
No major concerns noted	Control design improvements identified, however, the risk of loss is immaterial. Isolated or “one-off” significant controls identified as not operating for which sufficient mitigating back-up controls could not be identified. Numerous instances of minor controls not operating for which sufficient mitigating back-up controls could not be identified. Some previous significant audit action items have not been resolved on a timely basis.
No or limited scope for improvement	No control design improvements identified. Only minor instances of controls identified as not operating which have mitigating back-up controls, or the risk of loss is immaterial. All previous significant audit action items have been closed.