Professional Documents
Culture Documents
Module 4
Internal Audit
Session objectives
After completing this session you will:
Understand the Audit Committees responsibilities related to Internal Audit (IA).
Understand how the IA function will operate.
Walkthrough the audit planning and approval process.
Explain the independence requirements of the IA function.
Understand the Audit Committees effective monitoring, oversight and assessment role for
Internal Audit
Audit Staff
Audit Staff
Audit Staff
Audit Staff
Audit planning
Annually, the RIAM shall submit to the director of education, senior business official
and audit committee of each DSB a summary of the audit plan (current year work
schedule and multi-year plan), staffing plan, and budget for the following fiscal year.
Plan is driven by two key factors: risk assessment results and Internal
Multi-Year Plan Audit resources. It describes the Internal Audit objectives, audit goals,
a forecast of available audit hours, the planned allocation of audit
hours to each type of audit and school board for a five year period
given the identified risk areas and the available resources. Changes in
risk or audit resources may lead to a change in the plan.
Describes in further detail audit responsibilities, audit focus and audit
Annual Internal
direction for the fiscal year. The plan will be uniquely prepared from a
Audit Plan
regional perspective.
The audit plan is to be developed based on a prioritization of the audit universe using a
risk-based methodology.
(Source: Sample Internal Audit Mandate and Guideline on Establishing the IA Plan- Ministry of Education Website)
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A conflict should be fully resolved within six weeks from the date the issue
is submitted to the chair of the RCRC.
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External auditors can, in certain circumstances, use the work of the Internal
Audit function
External auditors must determine:
1.
If the work of the internal auditor is likely to be adequate for the external audit.
Consider points:
objectivity
technical competence
effective communication
2.
The impact on the nature, timing and extent of the external auditors
procedures
Consider points:
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When the Internal Audit functions direct reporting line is to the Audit
Committee, it allows the Internal Auditors to remain structurally separate
from management and enhances objectivity.
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Communication
Goal Setting
Support
See that the Internal Auditors have appropriate stature and respect
and are visibly supported by senior management throughout the
organization
Support the RIAM providing guidance and assistance, if needed
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Quarterly report:
Planning Memo
Introduce the upcoming audits and key risks to be addressed
Outline the scope, approach and timelines for the review
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Internal Auditors
Professional Behaviour
Written Communication
Communication
Timeliness
General Skills
Initiative
Overall Evaluation
Overall Evaluation
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