MARITIME CHAPTER SPRING 2014

IIA GLOBAL 2014 INTERNATIONAL CONFERENCE

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The IIA’s International Conference is the internal auditing profession’s premier global training and networking event of the year. It features recognized speakers from around the world discussing the hottest topics impacting the profession now and in the future.

Themed “Time to Make the Connection”, the 2014 International Conference positions you as a vital component of a far-reaching network of professionals while connecting in the international trade, finance, and cultural capital of Britain. Last year, the conference attracted more than 2,000 delegates from a record-breaking number of countries, and London’s goal is to surpass that.

Who will you connect with in London? Register today to find out.

Networking – Network with 2,000+ colleagues from around the globe. The 2013 International Conference attracted delegates from a record-breaking 109 countries.

Outstanding Speakers – Connect with outstanding speakers who will share insights on issues impacting the profession.

Timely Issues – The event will focus on timely, global issues through a vibrant and relevant program.

Something for Everyone – Select from 9 program tracks, offering content for all levels of professionals - from chief audit executives and heads of internal audit, to directors, managers, and staff auditors.

Earn Continuing Professional Education (CPE) Credits – Earn up to 19.5 CPE in support of your IIA and CIIA certifications. Additional

CPEs are available when you participate in the pre-conference workshops.

Location – Take advantage of all that London has to offer. London is an exciting travel destination bustling with history and experiences yet to be had.

Venue – The ExCeL London Exhibition and Conference Centre is state-of-the-art. Located in the city’s East End, you’ll be near the heart of London’s famed historic district and site of the 2012 Summer Olympics.

Registration – Register by February 28 to save hundreds! Great rates available for Groups of nine or more.

For more information go to http://ic.globaliia.org/Pages/default.aspx

IN THIS ISSUE

2014 International Conference 1

National Conference 2

Data Lifecycle Management 3

2013-2014 Chapter Activity Snapshots 4

Chapter Member Profile 5

CAP, the Chapter Management and Performance system 6

Professional Development 7

Chapter Leadership 8

Please consider the environment before

printing this newsletter

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IIA CANADA NATIONAL CONFERENCE

The IIA 2014 Conference invites you to participate in the 7th Annual National Conference on October 5-8, 2014 in Ottawa, Ontario. The theme of the 7th Annual National Conference of the Institute of Internal Auditors of Canada is Rising to New Challenges. Delegates will gain knowledge from world-class leaders on how to raise the bar, meet oncoming challenges and serve their organizations with excellence.

As the premier learning and networking event dedicated to internal audit, risk, control and governance, this event draws speakers at the forefront of our profession. Speakers and panelists will include Canadian and international audit leaders, Board and Audit Committee members and influential leaders from industry and government.

Held in the Nation’s Capital, in close proximity to major Canadian industrial centres, this event affords private and public sector audit leaders an ideal opportunity to engage in strategic issues of oversight, leadership, strategy and organizational performance.

A unique, segmented program will allow you to either focus on a specific track or alternate within a wide range of topics. Respected audit leaders will lead general and concurrent sessions that focus on: Strategically Positioning the IA

Function Enhancing Internal Audit

Effectiveness Information Management /

Technology

A Fresh Look at Values, Ethics and Fraud

Auditing in the Public Sector The Modern Auditor: Leader and

Agent of Change

Registration -Register before May 30 to take advantage of our EARLY BIRD SPECIAL $1200 for Members Only.

For more information please visit www.iiacanadanationalconference.com

Presentations - The IIA is looking for qualified speakers and professionals to address current and emerging issues and share best practices at the conference to be held in Ottawa, Ontario by submitting an abstract for presentation.

Contributions are invited from internal audit practitioners, scholars, researchers and educators worldwide on the following tracks/topics: 1. Strategically Positioning the IA

Function 2. Enhancing Internal Audit

Effectiveness 3. Information Management /

Technology 4. A Fresh Look at Values, Ethics and

Fraud 5. Auditing in the Public Sector 6. The Modern Auditor: Leader and

Agent of Change Summary of Important Dates: Deadline for Submission of

Abstracts – January 6, 2014 Acceptance/Rejection Notifications

– February 7, 2014 Speaker Acceptance/Confirmation –

February 21, 2014

Any questions should be sent to iia2014ottawa@simplyeventful.com. All submissions will be peer reviewed.

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IIA MARITIME CHAPTER

Data Lifecycle Management by Jonathan Nichols

As organizations become more reliant on data for their decision making processes, a new data management approach is coming into the spotlight. This approach is data lifecycle management (DLM). Data lifecycle management is a policy based approach for managing data from creation through storage to deletion.

Data is playing an ever increasing importance in business. More data is being created and stored, resulting in a greater reliance on the completeness and accuracy of data to feed the decision making process within organizations and to keep data safe and secure.

The oversight of data is becoming an issue for internal auditors due to the emergence of new regulation and legislation for the management and retention of data. Regulators have increasingly been focusing on this area of business. This is where data lifecycle management comes in by providing a framework to the data lifecycle.

The key objectives of data lifecycle management are:

• Confidentiality of the data • Integrity of the data • Availability of the data • Preventing unauthorized

modification or distribution of the data

• Secure disposal of the data

To achieve the stated objectives a policy based methodology should follow the 5 phases below:

Discovery

The discovery phase is the beginning of the data lifecycle management. In this phase, the organization must gain an understanding of its data; where it resides, the size of the data, what the data is being used for, who is using the data, the structure and format of the data, etc. This is often a difficult task due to the complexity of IT infrastructure and the varying uses of data.

Design

The next phase, the design phase, is where all the information which was gathered from above phase is used to design the data environment. This will require producing policies to accommodate the sources, formats, structures and the uses of the data identified in the discovery phase.

Maintenance

In this stage, organizations must ensure that data systems continue to run effectively and efficiently. Policies and controls must be put into place to constantly monitor the environment. The data systems will need constant monitoring to ensure the system is running at its optimal state.

Archive

As data loses its importance to an organization it will have to be retired. This does not necessarily mean deleting the data, but re-evaluating its use. The data may need to be saved in a limited format to provide historical data for the organization. The data can be moved to another storage media, parsed, or simply deleted if it serves no value and there is no requirement to

retain the data. Policies will need to be put in place to determine the storage options, the retention period and proper disposal processes.

Data management is becoming increasingly important to organizations as new legislation and regulations are being imposed. The data lifecycle management is a comprehensive approach to managing an organization’s data through policies and procedures. Having a data lifecycle management program in place will provide a framework for internal auditors to monitor the organizations ability to manage data and to ensure compliance with the various regulators.

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IIA MARITIME CHAPTER

2013-2014 Activity Snapshots Overall, we’ve been focused on some specific goals this Chapter year – not just at the Chapter level, but for IIA Canada as well.

IIA National

• IIA Canada continues as a wholly owned subsidiary of IIA Inc., but certain responsibilities were agreed to be delegated to IIA Canada, including oversight of dues increases, the Canadian budget, and services for Canadian members;

• Based on Membership input, key gaps in service were identified that need to be addressed, including Canadian content in educational programming, training and communication in French, Canadian branding, e-commerce in Canadian dollars, underserved groups in government and small audit shops, and advocacy.

• The Canadian Board is working to close the identified gaps.

• Recruiting for the positions of Operations Manager and Chief Operating Officer. An individual from IIA Global has been spending part of her time in Ottawa to help fill the gaps in the short term.

• The 2013/14 operating plan was presented to the North American Board in April, and an overview was provided to Chapter leaders in June. The longer term strategic plan was discussed at the September Canadian Board meeting, with a presentation to the North American Board in November.

• IIA National is working toward financial sustainability by partnering with IIA HQ on key programs and using shared resources to reduce costs. IIA HQ continues to manage

our member database and financial reporting, and is exploring e-commerce for Canadian members;

• Focus on increasing communication with active committees related to membership, education, quality assurance, and communications. Also, quarterly calls with the Presidents are held, who are working on establishing meetings with other Chapter leaders in education, communications, and other roles.

IIA Maritime Chapter

We are pleased to announce that the 2016 Canadian Conference will be held in Halifax, and planning is already underway to book a location.

Halifax will also be hosting the District workshops which are held at the beginning the new Chapter year, usually between June and August. Workshops build on the activities of the annual Leadership Conference that provides Chapter leaders with core training, tools and information to successfully run a Chapter, including topics on leadership, motivation, volunteerism, Chapter administration, and more. We have offered several courses, throughout the year, as noted in the update from our VP Programs. Although the topics are based on the responses received from our member survey and on input from Maritime CAEs members, attendance continues to be low.

Although we are continuously exploring options to increase attendance going forward, our biggest programs success has been our series of New Auditor Roundtables, which

have been regularly attended by a dedicated group of new auditors.

We are working on establishing a ‘role in a box’ for Chapter leader positions, to aid succession planning and transition when individuals are moving into new roles.

A thank you has to be given to our volunteers, as well as our members who have attended the various events.

Executive and Board continue to work hard to ensure you get even more value from your Chapter membership.

Best regards, Leah White, CA, CIA, CISA

Our Chapter Did you know?

Currently holds 265

members

30% of them hold a CIA designation

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IIA MARITIME CHAPTER

Chapter Member Profile

In our newsletter feature we are profiling Internal Audit leaders in our region and our Chapter to understand how they came into the profession, where their internal audit career has taken them and the challenges they see facing our profession. In this issue, we feature Rob Carruthers, CRMA.

Rob Carruthers, CRMA, is a Senior Manager in Enterprise Risk Services with Deloitte in Halifax. For the last fifteen years Rob has provided a broad base of services focusing on management consulting, internal audit, enterprise risk management, IT auditing, internal controls, security and privacy, project turnaround / risk reduction, corporate and IT governance, CEO/CFO certification, ERP implementation, strategy, and other information technology risk.

Rob is currently serving the IIA Maritime Chapter Executive Committee in the role of President Elect.

How did you get into the internal auditing profession?

• About eight years ago I changed my career path from Management Consulting into Risk Management and Internal Audit. This was out of desire to enhance my ability to integrate my deep experience in IT, business process design, and strategy with a highly analytical audit and value add area of business. Joining Deloitte’s Enterprise Risk has been a great shift.

When did you join the Chapter Executive Committee?

• I have only become involved officially in the last year. I have been heavily involved in internal audit professional circles in the Maritimes for the past number of years but wanted to make a greater contribution. I have recently taken on a President-Elect Role with the Executive Committee.

What is the role of the President Elect?

• The President Elect role is an important role that gives a new President candidate the opportunity to learn the formalities of leading the Chapter and to gain greater insight into the issues and opportunities facing the profession. It has also allowed me the opportunity to work with the current Executive in advance of taking on the leadership role. Specifically, the President Elect position is a 1 year role to be held prior to becoming President of the Chapter.

Why did you decide to volunteer to support the Chapter?

• I have been a volunteer with a number of groups and organizations over the years. I have recently stepped down as Chair of a board and realized that I had some time to volunteer in my profession. The Chapter was a natural area to dedicate time.

What would you say are the biggest challenges for the profession?

• For the profession the biggest challenge is scope and scale. The scope of audit areas can be daunting and can result in many avoidable risks not being audited prior to a risk event. Scale / budget is also a challenge in that it takes time and effort to conduct professional work and address the highest risk areas of the business. To improve the scope and scale of audit areas internal audit must continue to demonstrate its value and also maintain high professionalism. It also needs to establish an advisory role with boards, committees and owners who are investing in enhanced risk management and control. To do this we need to be thoughtful, diligent and confident in our findings and recommendations.

What are the advantages of being a member of the Maritime Chapter?

• For me the greatest advantage of being a member is knowledge and experience sharing. Fellowship with like-minded professionals is of high value. There’s no way we can attest to be aware of all the aspects of audit and risk management. We need to share, and where possible collaborate on driving our professional forward. For me the Maritime Chapter is diverse (many industries, markets, languages and geographies) which can be a challenge to get us all working together as a collective group of internal audit professionals – but we need to keep working at it.

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IIA MARITIME CHAPTER

CAP, the Chapter Management and Performance System by Frank Mader CAP stands for the IIA’s Chapter Achievement Program. The program provides Chapters a framework with which to organize their operations to service the needs of members and the profession and guide their administrative structure. The program also provides Chapters the opportunity to evaluate their performance through a points system. CAP is divided into three categories: • Service to Members, • Service to the Profession • Administration. Service to Members awards points based on member participation in program events, such as seminars, webinars and roundtables. Points are earned based on the number of members and the CPE hours awarded. Recognition is also given for each new CIA or other certification. The Chapter earns Administration points for preparing and submitting to the IIA specific reports, such as budgets, financial statements or the Chapter’s Long Range Plan. For acquiring points to certain levels Chapters are recognized with bronze (685 points), silver (1,060 points) or gold (1,560 points) status. Those Chapters that earn gold status in 10 out of 11 years are recognized with platinum status. A Chapter must meet internal minimums in each of the three

categories to earn the status recognition. Achieving one of the status levels enhances the profile and regard for the Chapter and its members within the organizations and community that they serve. Our Chapter achieved Bronze status for 2013. In the last 13 years it has achieved gold five times, silver three times and bronze three times. A key to our success in achieving gold status is member participation in program events; this assists members in achieving their CPE points. The Chapter achieved Bronze status for 2013; however, you can contribute to the Chapter’s success by taking the time to complete the Members’ Survey when it is circulated this summer. The survey provides valuable input into developing programs that meet your training needs for distribution.

In 13 Years Our Chapter has achieved

5 times

3 times

3 times

S PRING 2011 T HE MAR I TIM E MO NIT O R P AGE 7 IIA MARITIME CHAPTER

Professional Development by Jaime Rudolph As we shared through our email communications, the Programs Committee announced the Chapter calendar for this winter/spring training sessions. As always the Maritime Chapter is excited to provide you with these training opportunities expecting you and your organization can benefit from them.

If you are interested to attend please refer to the links provided below for more information and registration details or let us know if you have any questions.

Timing (AST unless other

time zone is indicated)

Location Topic CPE Other information

5-Sep-13 Moncton & Halifax New Auditor Roundtable – Topic: Data extraction uses, techniques & using ACL

2 hrs Complete

8-Oct-13 IIA Canada Webinar

Board oversight of management’s risk appetite and tolerance: Utopian fantasy or stretch objective?

1.5 hrs Complete

ICANS Fall training week – to promote the session:COSO Undone – How to Transition to the New COSO and Optimize your Internal Control Program

5-Dec-138:30am-10:30am

5-Dec-13 Elearning – Introduction to Internal Audit12pm-4pm ET (more sessions to be held in the future)10-Dec-13 IIA-Canada’s free to members webinar series1pm-2:30pm ET Topic: Risk-based auditing provides peace of mind8-Jan-13 IIA-Canada’s free to members webinar series1pm-2:30pm ET Topic: COSO updated framework24-Jan-14 Risk Management Social4pm- 6pm

Aim: An opportunity for IIA members and non-members to enjoy a beverage and socialize with others involved in Risk Management/ Audit in a relaxed setting.

Tables topics to get the conversations going include:

1. Strategic Planning & Generating Risks (what to do or not)2. IS031000 – practical applications or things to avoid3. Progress Through Sharing - time to brag or your share your worst work/personal experience4. Risk of Gathering Auditors together ( Identify what could go wrong when auditors gather - never let the truth get in the way of a good story )5. Topics for a next social event or NOT.6. The best wine you have ever tried or you would avoid!

Come out and enjoy this unique opportunity to learn and share with other professionals!

11-Feb-14 IIA-Canada’s free to members webinar series1pm-2:30pm ET Topic: Today’s fraud updates: Investigations, the

internet and the auditor6-Mar-14 Moncton & Halifax New Auditor Roundtable – Testing and Assessing

Controls2 hrs Complete

3-4 April, 2014 Halifax IT Audit 201: IT Auditing for the non-IT Auditor 2 days

Complete

Complete

Complete

ERM and IT Audit 201 courses we are offering 4 for 3 pricing. Also, if you register for both the ERM and IT Audit 201 courses, you will receive a 15% of both courses.For further Details refer to our events section in our local chapter website

27-28 March, 2014 Halifax Enterprise Risk Management – Principles and Practice

2 days

Officers’ Mess CFB Halifax

N/A Complete

Webinar 1.5 hrs Complete

Webinar 4 hrs

Webinar 1.5 hrs

Webinar 1.5 hrs

7-Nov-13 Halifax 1 day Complete

Moncton & Halifax New Auditor Roundtable – What is a finding? 2 hrs Complete

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IIA MARITIME CHAPTER

2013-2014 Leadership

Content Editor: Ana Bustos Contributing Writers: Leah White Jaime Rudolph Frank Mader Jonathan Nichols Layout & Design: Ana Bustos

Do you have a Chapter question? Do you have a Maritime Chapter question or comment that you would like to provide to the Executive and are not sure who to contact? All questions, comments or concerns can be submitted directly through the Maritime Chapter’s website https://Chapters.theiia.org/maritime/About/Pages/default.aspx We will review your message and forward it to the Chapter Executive best able to provide a response. Have you reviewed and updated your member profile information lately? The Chapter Executive and its committees rely on updated and current Chapter member information in planning programs and communicating with the Chapter membership. We ask that you please periodically review your information to ensure that it is current. Your member profile information can be updated by logging into the IIA’s homepage

https://na.theiia.org/Pages/IIAHome.aspx at the top of the website page with your member ID and password. Once logged in simply click on ‘Update Your Profile’ to review and update your member information. Did you know you can advertise your internal audit job postings on our website? As a service to our Chapter members, the Chapter executive posts internal audit job postings on the Maritime Chapter’s website free of charge as a service to our members. Our ask is that the job posting promote candidates with the Certified Internal Auditor designation or individuals interested in pursuing the Certified Internal Auditor designation. Please visit the Chapter’s website for further job posting details. If you are interested in having your internal audit posting advertised please contact the Chapter at https://Chapters.theiia.org/maritime/About/Pages/default.aspx Are you looking for an opportunity to volunteer with the Chapter?

The Maritime Chapter is always on the look-out for more volunteers to assist with various Chapter activities including the Programs Committee, Communication and Membership Committee, , and other Chapter initiatives. In addition to contributing your time to help the Chapter meet its goals volunteers are also eligible to earn up to 25 CPE hours. Interested members are encouraged to contact the Chapter at https://Chapters.theiia.org/maritime/About/Pages/default.aspx Do you have thought leadership information that you would like to share with the Chapter membership? The Maritime Chapter is looking to collect articles and other thought leadership materials developed by its members that can be shared on our website’s ‘Members Only’ Library and through future editions of the Maritime Monitor Newsletter. If you have something you would like to share with the Chapter Membership

please do not hesitate to contact the Chapter via the Chapter website at https://Chapters.theiia.org/maritime/About/Pages/default.aspx MARITIME CHAPTER NEWS AND NOTES ABOUT THE NEWSLETTER You have received this email because you are on the IIA’s Maritime Chapter's email distribution list. To add or remove your email address from our Chapter email distribution you may update your member profile online indicating you give your permission to have the Chapter send you emails or contact the Institute of Internal Auditors Headquarters at 1-407-937- 1100. Please encourage new members, or nonmembers in the profession, to subscribe to emails in order to stay abreast of Chapter and industry developments. If you have comment or suggestions, please send them to https://Chapters.theiia.org/maritime/About/Pages/default.aspx