---
sourceDocument: Brazil Governance, Risk, and Compliance
sourceDocumentLink: https://www.servicenow.com/docs/r/governance-risk-compliance

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    - brazil

ft:locale :

    - en-US

ft:publication_title :

    - Brazil Governance, Risk, and Compliance

ft:clusterId :

    - grc

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    - grc

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    - Technology


---

# Audit observations in Audit

# Audit observations in Audit Workspace {#ariaid-title1}

Release version: Brazil  
Updated September 10, 2026  
![](https://www.servicenow.com/docs/portal-asset/ico-clock) 2 minutes to read
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## Summary of Audit observations in Audit Workspace

Audit observations in the Audit Workspace represent the documented results of an audit, including reviews, analyses, interviews, and discussions.
They highlight significant issues identified during the audit process and are critical for reporting findings and recommendations to audit supervisors.
Observations are based on evidence gathered during control testing, interviews, and walkthroughs, showing how operations perform against audit criteria.
Show full answer Show less  
Audit observations can be created from engagements (unless those engagements are in Follow Up or Closed states) or from any type of audit task. They serve as a summary tool for auditors to present problems, discoveries, and recommendations to the audit team, who then determine if these should be tracked as reportable issues, recommendations, or best practices.

## Key Features

* **Lifecycle States:** Audit observations progress through Draft, Review, Respond, Finalize, and Closed states.
* **Creation Process:** Users with the `snaudit.user` role create observations by navigating through the Audit Workspace, selecting an engagement, and filling out the observation form.
* **Assignments:** Observations involve respondents (entity owners and control owners) and peer reviewers (auditors and audit leads).
* **Peer Review:** The observation creator can request a peer review, prompting a notification to the reviewer who then completes the review. During peer review, the observation remains in Draft state with a substate of Peer review requested.
* **Supervisor Review:** An audit supervisor or audit lead reviews the observation and can request revisions or require a response from respondents. Feedback is provided in the Results section.
* **Respondent Interaction:** Respondents respond via the Audit Workspace pending responses area when requested by the reviewer.
* **Finalization and Closure:** After responses and reviews, observations move to the Finalize state and eventually close, at which point an issue is created if applicable.

## Practical Benefits for ServiceNow Customers

ServiceNow customers leveraging Audit Workspace can efficiently capture and manage audit observations through a structured workflow that ensures thorough review and collaboration. This process enhances audit transparency and accountability by involving relevant stakeholders such as respondents, auditors, and supervisors. Customers can expect improved tracking of audit findings and clear documentation that supports decision-making and follow-up actions.  
Audit observations are the results of an audit. As an important part of the audit
report, audit observations represent the results of reviews, analysis, interviews, and
discussions.

## Overview of an audit observation {#observations-audit-ws__section_fhs_zzd_tqb}

Audit observations are used to bring significant issues to the attention of audit supervisors.
Observations are logged in the system. For example, if a bank's operations are being audited,
then the audit observations are based on evidence about how the bank's operations perform
against the audit criteria. During control testing, interviews, and walkthroughs, audit
observations are recorded. An audit user can create an observation from an engagement if the
engagement is not in the Follow Up or Closed
states. An observation can also be created from all types of audit tasks.

After the auditor completes the audit, the auditor then presents the audit observations to the
audit supervisors. By using the audit observations, the auditor can present a summary of
problems, discoveries, and recommendations. The audit team reviews the observations to determine
if the observation is a reportable issue. The audit team can also determine if the observation
can be tracked as a recommendation, an observation, or a best practice.  
In its life cycle, an audit observation moves through the following states:

1. Draft
2. Review
3. Respond
4. Finalize
5. Closed
{#observations-audit-ws__ol_grh_hmy_sqb}

## Status workflow of an audit observation in workspace {#observations-audit-ws__section_s12_kmy_sqb}

1. An audit user with the role sn_audit.user creates an observation. See [Create an observation for an
   engagement](https://www.servicenow.com/docs/1_lWrS3tHxpenlriTMdsdw "Create an audit observation to present a summary of problems, discoveries, and recommendations. The audit team can then review the observations to determine if the observation is a reportable issue.").
   1. To create an observation, navigate to AllAuditAudit Workspace.
   2. Click the lists icon (![List icon.]()).
   3. Click All engagements or My engagements in the Execution list.
   4. Click the link to the engagement record in the Name column.
   5. Click the Observations tab.
   6. Click New.
   7. On the Create New Observation form, fill in the fields.
   {#observations-audit-ws__ul_mxh_f35_tqb}
2. The observation creator assigns respondents and peer reviewers to the observation. The respondents are the entity owners and control owners. The peer reviewers are the auditors and audit leads of the engagement.
3. The observation creator can request a peer review of the observation. In that case, the following happens:
   1. The peer reviewer gets a notification to perform the peer review. The peer reviewer can view the task under My pending tasksAll by clicking the tasks icon (![Tasks icon]()) in the workspace.  
      Note:  
      The peer reviewer can also navigate to TasksMy tasksOpen in the Home page of the workspace.
   2. The peer reviewer completes the review.

   {#observations-audit-ws__ol_j54_pmy_sqb}  
   Note:  
   When a peer review is requested, the state remains as Draft but the substate changes to Peer review requested.
4. The observation creator can also request a review. The reviewer can be an audit supervisor or the audit lead.
   1. The reviewer gets a notification to perform the review. The reviewer can view the task by navigating to My pending tasksAllObservations.
   2. The reviewer can either request a revision of the observation or request a response from the respondent. The reviewer can also provide feedback in the Results section by selecting the appropriate option.
   {#observations-audit-ws__ol_k54_pmy_sqb}
5. If the reviewer requested a response from the respondent, then the respondent responds to the observation by navigating to AuditObservationsMy Pending Response.
6. The observation moves to the Finalize state.
7. The observation is closed and an issue is created.
{#observations-audit-ws__ol_i54_pmy_sqb}

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