Audit Hypothetical:

You are the VP of Audit for Shirts & Shoes Inc., a major global retail company. The company has two major divisions - one that makes shirts and another that makes shoes.

• Each division has its own audit team, each with 25 auditors.
• The auditors on Team Shirts are able to review 5 transactions per hour.
• The auditors for Team Shoesare more experienced and are able to review 10 transactions per hour.

In order to meet your audit plan, each team has to review 10,000 transactions this year. Due to conflicts rules, Team Shirt's auditors cannot review Team Shoes' transactions, and vice-versa. All of your auditors are paid $50.00 per hour that they test transactions.

Your CEO just told you that you must cut costs this year as much as possible, but you do have enough budget to conduct an efficiency training for one of the two teams:

TEAM SHIRTS: If you give the training to Team Shirts, they will be able to double their output from 5 to 10 transactions per hour.

TEAM SHOES: If you give the training to Team Shoes, they will be able to more than double their output, from 10 to 25 transactions per hour.

Question:

• What team do you give the training to?
• How did you make your decision?
  • Please make sure that you explain each step in your reasoning process, even if at first glance the steps appear obvious to you.
  • In other words, you want to leave a "paper trail" setting out your reasoning so that a third party can verify your results.
  • The CEO does not have time to work through all of the complexities in the data.As a result, in explaining your answer, please make use of at least one data visualization technique--chart, table, etc.--that will help the CEO quickly grasp your reasoning.

Question: I'm struggling with which team to use and how exactly to cut the most costs to be the most efficient. Can you assist?