System audit refers to a systematic, independent, and documented examination of an organization’s information systems to determine whether they adequately protect data, maintain confidentiality, integrity, and availability, and comply with applicable laws, regulations, and internal policies related to privacy and data protection. In the context of modern digital environments, a system audit evaluates not only technical controls such as hardware, software, and networks, but also administrative and organizational measures including policies, procedures, human practices, and governance frameworks that influence how personal and sensitive data is collected, processed, stored, and shared. The primary purpose of a system audit is to identify risks, weaknesses, and gaps that may expose data to unauthorized access, misuse, loss, or disclosure, and to provide assurance to stakeholders that appropriate safeguards are in place. From a privacy and data protection perspective, a system audit plays a critical role in ensuring that organizations comply with legal and regulatory requirements such as data protection laws, contractual obligations, and industry norms. It assesses whether systems adhere to principles like data minimization, purpose limitation, access control, accountability, and transparency. For example, an audit may examine whether personal data is encrypted at rest and in transit, whether access to sensitive records is