The Evolving Role of Audit
John Kelly 270004J7VQ firstname.lastname@example.org | | 0 Comments | 213 Visits
The Institute of Internal Auditors 2009 General Audit Management Conference is coming up and should be quite timely given the evolving role that Audit is playing in providing an independent assessment of enterprise risk and governance. The conference has some intr
As you can see, internal audit has evolved from its traditional role of record examination and identification of policy violations to a more modern, consultative approach aimed at risk mitigation. As part of this evolutionary process, internal auditors have also focused more of their efforts on the risk assessment process and a top-down approach to audit scoping.
One of the key roadblocks to an integrated approach was the sheer complexity of data gathering and management. In the past, it represented a tremendous amount of effort for internal audit to collect relevant information and to govern access to that information securely. A centralized technology platform for identifying, assessing and monitoring risk and controls presents a unique and unprecedented opportunity to help the business focus on making risk decisions based on management’s risk appetite and tolerances. This common framework and process can make the business more predictable in meeting financial and management objectives and can help managers anticipate major risk and control problems of the future.
As a partner with the business in managing risk, internal audit should be a driving factor in evaluating technological and process-based changes and evolving the organization’s risk management practices.