« REDEFINING INTERNAL AUDIT AS A BUSINESS NECESSITY »
Should the Internal or External Auditor simply study the organizational, accounting, functional and managerial processes and ensure the quality of the information on which the Directorate-General supports its decisions?
The selection of internal audit assignments is based on an annual interactive audit mission plan, classified according to estimated priorities, approved by the Audit Committee or the executive.
The Internal Auditor, like the External Auditor, provides an analysis and control of the company’s activity. It summarises, through a report including recommendations, with the management and follows the implementation of recommendations.
For this, the main tasks of the traditional internal auditor are:
1. Develop and adapt analytical tools, indicators, within companies
2. Ensure a watch on sensitive sectors or with an interest in the growth of the company
3. Set up reporting, standards, and processes
4. Measuring Risks and performance
5. Analyze the existing
6. Prepare and transmit Audit reports to the Directorate-General
It allows any manager to increase efficiency in risk management and internal control. The role of the internal auditor is to accompany the company in the improvement of its procedures and results.
Let’s not forget that internal auditing, or periodic control, is only a snapshot at a given time.
This synthetic presentation of the periodic control emphasizes that the exact and actual situation is most often piecemeal, even if it is a transversal audit.
In addition, the Internal Audit does not have the same scope depending on the function to which it is attached (Accounting or Finance or Risk-Management or Governance).
We are also confronted, as an internal auditor, with a role of verification and sometimes of advice, subject to properly framing the scope of intervention and the method used.
We are facilitating, as a first step, the work of the external audit (Office of the Auditors), but, secondly, the latter judges (External Audit), at the same time, our efficiency and efficiency towards the entity concerned.
I ask the question: do we need to evolve progressively or practice a disruptive method?
The PwC 2018 State of the Internal Audit Profession Study revealed what most auditors already know: management and boards are demanding more value from internal audit. Lately, audit leaders have written and spoken of the need for auditors to be trusted advisors and to partner with business management. This is a very desirable thing and, of course, some audit teams have already achieved it. The practical question for those audit teams that are not there yet is: What can they be doing differently to help make it happen?
The following are five ways audit teams can communicate and deliver greater value, while ensuring their activities are strategically aligned with the priorities of business leaders
1. Think like a business leader
2. Leverage automation to move beyond traditional audit areas
3. Embrace and promote collaborative technology
4. Be quick and agile
5. Provide insights that no one else can deliver
Not your traditional auditor