iia today november - december 2012

PromotingElevatingProfession

and

the

IIA Advocacy:

TodayA M E S S A G E F R O M T H E I N S T I T U T E O F I N T E R N A L A U D I T O R S

Volume 3 / I s sue 6 / November – December 2 0 1 2

OUR PRINcIPAL PARTNERS MAkE A DIFFERENcEThe IIA acknowledges the ongoing support from our Principal Partners, who help enhance the internal audit profession by sharing their resources and knowledge with our most valuable asset – our members. These partners actively serve as members and volunteers within The IIA, participate in the introduction of new guidance, develop world-class training, and show their commitment in many other ways in an effort to advance the internal audit profession.

The IIA encourages you to tap into the expertise of our Principal Partners in 2012!

Dear Valued Member,

About two years ago, I joined The IIA headquarters

staff as vice president of North American Services,

after having been an internal audit practitioner for

much of my career. During my practitioner time,

I had the pleasure of serving The IIA as a chapter

leader, International Committee member, and Audit

Committee chair. Today, I am able to complete the

circle by directly serving you, The IIA’s membership,

with a deep appreciation of what it means to sit in your seat. In this issue of IIA

Today, you will receive updates about initiatives in my areas of responsibility: Chief

Audit Executive (CAE) Services, Quality Services, and North American Advocacy.

In October 2010, The IIA launched the Audit Executive Center, a premium sub-

scription service that elevates the level of support we offer to CAEs. As the Center

celebrates its second anniversary and surpasses 600 CAE members, I want to

emphasize our relentless commitment to enhancing our services to help our CAE

members be even more connected, empowered, and relevant in 2013 and beyond.

Complementing these efforts is our focus on sustaining strong internal audit

functions through Quality Services. Last year alone, The IIA’s Quality Services

team conducted nearly 100 engagements — either external quality assessments or

self-assessments with independent validation. Learn the steps you can take on your

path to quality by reading “Improving the Internal Audit Activity” on page 14.

This issue’s feature story on advocacy, page 6, specifically highlights some of our

recent North American advocacy developments. With the launch of the North

American Advocacy Committee, we now are engaging directly with Capitol Hill,

critical D.C. regulators, and key stakeholder associations. We’re making significant

inroads just five short months into our enhanced advocacy strategy.

As a career internal audit practitioner who has transitioned to association staffer, I

am committed to remaining connected to you — the members of this great organi-

zation — and to ensuring that The IIA continues to meet your needs. Please drop

me a line anytime at [email protected] to let me know how we can enhance our

ability to serve you.

Sincerely,

Hal Garyn, CIA, CRMA

Vice President, North American Services

The Institute of Internal Auditors

PUBLICATION DIRECTOR carrie Summerlin

EDITOR Paula Michaels

STAFF EDITORS Lisa krist

Melissa calhoun Sandra Johnson Shelli Browning

CONTRIBUTING EDITOR christina Brune

ART DIRECTOR Jon Peters

GRAPhIC DESIGNERS Brandie Tate

cathy Watanabe

PRODUCTION MANAGER Lori Shewack

IIA PRESIDENT AND CEO Richard F. chambers,

cIA, ccSA, cGAP, cRMA

IIA ChAIRMAN OF ThE BOARD Philip D. Tarling, cIA, cRMA, cMIIA

IIA Today is a bimonthly publication pro-duced exclusively for members of The IIA. To learn more about this publication, please visit www.theiia.org/IIAToday . We welcome all comments, questions, and feedback. Please send your message to [email protected] and include your name and contact information.

The Institute of Internal Auditors 247 Maitland Ave. Altamonte Springs, FL 32701-4201 USA +1-407-937-1100 www.theiia.org

All contents copyright © The Institute of Internal Auditors (IIA) 2012.

Today

w w w. t h e i i a . o r g / November – December 2 0 1 2 / 3

Welcome message

IIA CERTIFICATIONS ANNOUNCEMENTS

CRMA PER Deadline ExtendedThe IIA has extended the Cer-tification in Risk Management Assurance (CRMA) Profes-sional Experience Recognition

(PER) period to Dec. 31 for members in North America. To date, more than 5,000 professionals have received the CRMA through the PER provision, and more than 3,500 are in the process of certifying. The PER enables practitioners to earn the designation before the exam is offered by submitting an application that provides detailed information regarding education, current certifications held, and professional experience within the five domains of the CRMA. Visit www.theiia.org/certification and click “CRMA” for details.

Transition Plan for CIA Exam Now AvailableThe IIA has released a 2013 CIA exam Transition Planning Tool to help candidates who are

currently in the process of earning their CIA prepare for next year’s change from a four-part exam to a three-part exam. CIA candidates have several options for obtaining their CIA during the transition period:

■■ Complete the four-part exam by the stated dead-lines.

■■ Complete portions of the four-part exam and receive transition credit in the three-part format.

■■ Complete the entire three-part exam.

Visit www.theiia.org/goto/CIA2013 to view key transition dates and deadlines, review the 2013 CIA exam syllabus, access the CIA Transition Planning Tool, or register for an exam part via the Certification Candidate Management System (CCMS).

SAvE 20% ON ThREE NEw BOOkS!The IIA Research Foundation (IIARF) Bookstore has released three new books:• Enterprise Risk Management: Achieving and

Sustaining Success, by Paul Sobel and kurt Reding, translates complex ERM concepts and provides a roadmap for internal auditors in today’s rapidly changing business climate.

•Auditing Outsourced Functions: Risk Management in an Outsourced World, by Mark Salamasick, offers tools to help professionals identify outsourcing risks, conduct due dili-gence before entering an outsourcing agree-ment, and establish a control structure that ensures outsourced functions are successful.

• The Practitioner’s Blueprint to Construction Auditing, by Ron Risner, follows the order of the construction project life cycle, explaining the key concepts, risks, best practices, and controls for each step of the project, along with the best methods for auditing them.

Now through Dec. 31, save an additional 20 percent when you make your purchase at The IIARF Bookstore, www.theiia.org/bookstore. Use Promo Code “NEwBOOkS” to take advantage of this offer.

4 / I IA Today / w w w. t h e i i a . o r g

NeWs

IIA ChAIRMAN OPTIMISTIC ABOUT INTERNAL AUDITING IN AFRICAIIA Global Chairman of the Board Phil Tarling recently spent 22 days in Africa visiting established and prospective IIA Institutes and meeting with key inter-nal audit stakeholders and government officials. The trip included visits to eight countries: Burundi, Ethiopia, Ghana, Malawi, Zimbabwe, Botswana, South Africa, and Mozambique.

“It’s clear that the message is getting through that internal auditing is needed, that it’s a key component of good governance,” says Tarling of his meetings with government officials in Africa. “With guidance from IIA Global and more mature Institutes around the world, we will be able to help the Institutes in Africa, who are at the beginning of their journey, influence the way that internal auditing is adopted in a number of countries.”

To read more about Tarling’s trip, visit www.globaliia.org. Tarling also describes his trip in greater detail on AuditChannel.tv.

IIA CONFERENCES DREw PRACTITIONERS FROM ACROSS NORTh AMERICA

GRC Conference More than 340 internal auditors participated in the August 2012 Governance, Risk, and Control Conference in Palm Beach, Fla. Keynote speaker Felicia Hawkins, of the Office of the Inspector General, U.S. Postal Ser-vice, shared best practices on the use of data mining to combat fraud. In addition, nearly 20 government auditors attended a complimentary preconference forum entitled “The IIA’s National Summit on Government Audit Chal-lenges,” where a panel of distinguished government audit leaders discussed key issues facing government internal auditors.

Southern Regional ConferenceIn September, more than 485 delegates came together to “Lasso the Possibilities” for the annual Southern Regional Conference, which covered hot topics on governance; IT auditing; fraud, waste, and abuse; and emerging issues. J. Michael Peppers, chairman of The IIA’s North American Board and chief audit officer ad interim for the University of Texas System, presented the opening general session on personally impacting the internal audit profession.

All Star ConferenceKnown as “the best conference The IIA offers — espe-cially for the price,” this year’s All Star Conference did not disappoint. The October conference saw record-breaking attendance with more than 600 attendees. With four gen-eral sessions and 32 concurrent sessions covering topics from effective auditing for rapid changes in technology to proactive strategies on ethics and fraud, attendees walked away with fresh ideas to reenergize their efforts in the field. After eight years of being held in Las Vegas, the All Star Conference will move to new territory next year: New Orleans, Oct. 14–16, 2013.


NeWs


and

the

IIA Advocacy:


Feature story


and

the

IIA Advocacy: ■■ Increasing staffing resources at IIA headquarters from one to two director positions, enabling one to focus on global efforts and one to focus on North America.

■■ Establishing a separate North American Advocacy Committee (NAAC), which collaborates with the Global Advocacy Committee to maximize coverage and budget efficiencies.

■■ Engaging a leading government relations firm to assist in building relationships with key U.S. legislators and regulators.

TeambuildingIIA NA Board Vice Chair – Guidance and Research Patricia Miller helped spearhead the efforts to build the NAAC, which consists of a chair and six members. Michael Head, vice president and managing director of corporate au-dit at TD Ameritrade Holding Corp., enthusiastically accepted the nomination to chair the committee. “Recruiting the right members was crucial, as relation-ship-building is at the core of what the committee will do,” says Head. “Our committee members are influencers, with established relationships in The IIA and the profession. They’re adept at networking and relationship-building, and they represent financial services, the public sector, and a range of industries.”

The NAAC held its first meeting at The IIA’s 2012 International Conference in July. Although the first official meeting occurred less than six months ago, ground-work began with the committee’s formation last year, which allowed the NAAC to hit the ground running. A critical part of positioning the committee for success was providing staff support from IIA headquarters. To that end, Kathy Anderson was brought on board as The IIA’s director of North American advocacy relations to help implement, coordinate, and manage the day-to-day advocacy efforts. Ander-son, a certified association executive and graduate of the U.S. Chamber of Com-

merce’s six-year association management program, brings more than 27 years of experience to the position. She most recently served as the CEO-executive director of the Florida Institute of Certified Public Accountants.

With its mission clear — to be responsible for providing thought leadership, guidance, and assistance to the NA Board in the implementation of the IIA North America

Last year, with the update of The IIA’s North American Strategic Plan, the decision was

made to place greater emphasis on advocacy. Until then, The IIA’s Global Advocacy

Committee shouldered the expansive responsibilities that came along with having a

meaningful impact in both North America and throughout the world. With the new year,

the North American (NA) Board committed to raising the bar for advocacy by:


Feature story

advocacy-related strategies — the committee has identified certain key targets as primary areas of advocacy focus. These targets fall into three primary categories: legislators, regula-tors, and like-minded professional organizations/associations. “Our goal is to be recognized by U.S. regulators and legisla-tors as a credible, objective voice on matters affecting corpo-rate governance, risk management, and control,” says Head.

Recognizing the need for an experienced partner to help the NAAC navigate the complex landscape in Washing-ton, D.C., Miller and Head worked with IIA staff to com-plete a thorough search process, which led to engaging Patton Boggs, a premier U.S. government relations firm, as its advocacy partner. With more than 40 years of experi-ence, Patton Boggs emerged as the clear choice due to its unparalleled level of public policy acumen and extensive resume of work with Congress and regulatory agencies. The firm’s comprehensive understanding of business and finance coupled with its impressive resume made the partnership a natural fit.

STraTegy developmenTTogether with IIA staff, the NAAC and Patton Boggs have proposed a three-phased maturity model to execute The IIA’s advocacy plan, which includes:

■■ Initially building awareness and educating policy makers at appropriate agencies and Capitol Hill about The IIA and the important role internal audit plays in organizational governance, risk management, and control.

■■ Secondly, becoming a trusted source of informa-tion on matters affecting corporate governance, risk management, and internal controls, and to secure a rightful seat at the table when regula-tions and/or legislation that may affect these areas is being considered.

■■ Lastly, through being recognized as the primary voice for the internal audit profession, having The IIA’s International Standards for the Profes-sional Practice of Internal Auditing be recognized formally, if not eventually mandated.

• MeetingswereheldwithCommissionersElisseWal-ter, Troy Paredes, and Luis Aguilar, of the U.S. Securi-ties and Exchange commission (SEc), to familiarize them with The IIA and discuss the role of the audit committee, the U.S. Foreign corrupt Practices Act, and whistleblower rules, among other topics.

• DuringmeetingswithPublicCompanyAccountingOversight Board (PcAOB) chairman James Doty and board members Jeanette Franzel and Jay Hanson, there was open dialogue about many topics, includ-ing the state of the internal audit profession in North America, the PcAOB’s task force on fraud, and the role of internal auditing in detecting fraud.

• DuringameetingwithCarlodiFlorio,directorofthe SEc’s Office of compliance Investigations and

Examinations, a possible collaboration to develop training programs on internal auditing, risk management, and corpo-

rate governance for the SEc staff was broached. • AsaresultofameetingheldwithMartinBaumann

and Greg Scates with the Office of the chief Auditor for the PcAOB, it was agreed that regular, ongoing meetings should be held with The IIA and the Office of chief Auditor.

• IIAstaffmembershavemetwiththemajorityandminority staff for the House committee on Financial Services (as well as staff for several members of the committee), staff for the House Majority Whip, the Senate Banking committee, and the Senate majority and minority leaders. During these conversations, IIA representatives were able to introduce The Institute and the internal audit profession and position The IIA as a resource to assist congress in raising the stan-dards of business conduct and enhancing corporate governance practices, by emphasizing good corporate governance, risk management, and internal control.

Preliminary Discussions


Feature story

The IIA wasted no time implementing phase one. Since July, IIA staff members have met with an impressive roster of legislators, regulators, and like-minded organiza-tions and associations. “Generally speaking, awareness of The IIA and internal audit’s value proposition has been low among our targets,” says Head. “When we meet with them, we educate them about what internal auditors do, on a high level, and ask them what we can do to help them. Because we don’t come in with an agenda — but rather with a sincere desire to identify their needs and objectives so that we can help them improve regulations and legislation related to governance, control, and risk management — we have received a warm reception.”

meaningful ConneCTionSFrom a regulatory perspective, The IIA has made con-siderable headway with respect to getting in front of key targets (see “Preliminary Discussions” on page 8). Equally as encouraging is the NAAC’s log of legislative-related activities, which include meetings with congressional members’ staff as well as members of the Senate Banking Committee and the House Financial Services Committee (HFSC). Additionally, The IIA submitted written testimo-ny on “The 10th Anniversary of the Sarbanes-Oxley Act” to the HFSC and Subcommittee on Capital Markets and Government Sponsored Enterprises.

In addition to its regulatory and legislative efforts, the NAAC has reached out to like-minded organizations. For the past two years, for example, The IIA has been working with the Center for Audit Quality (CAQ), the National Association of Corporate Directors (NACD), and Finan-cial Executives International (FEI) on a multiple-project initiative designed to promote the detection and deter-rence of financial reporting fraud. The collaboration in-volves a webinar series on skepticism, fraud case studies, and roundtable discussions on the expectation gap among financial reporting supply chain members, as well as many other initiatives.

greaT expeCTaTionSAlthough the NAAC is still in its infancy, the traction its efforts have already yielded makes it something that IIA members should keep on their radar. “Advocacy is one of the key elements of both the global and North American strategic plans, and is, quite frankly, one of the most stra-

tegic things we can do to promote and elevate the internal audit profession,” says IIA President and CEO Richard Chambers. “The tremendous progress we’ve made in such a short time attests to the soundness of the strategy and the skill level of those supporting our efforts. The positive impact these efforts will have on the pro-fession and the business commu-nity as a whole is both gratifying and exciting.”

The IIA recently developed a Global Advocacy Platform, a clear advocacy message that communicates The Institute’s principles, beliefs, and positions related to corpo-rate governance, risk management, and control. Intended to be a starting point from which each Institute can tailor more specific messages, the Platform helps ensure that advocacy efforts at the global, regional, and national levels maintain consistent themes and core messages. The Platform’s four key principles are:

1. Organizations should have a strong and effective audit committee or its equivalent.

2. Organizations need clear accountability for risk management and internal control.

3. Internal auditing should be:• Structuredproperly.• OperateincompliancewithTheIIA’s

International Standards for the Professional Practice of Internal Auditing.

• Requiredformostorganizations.4. Reporting lines for the chief audit executive

should enhance organizational independence.For more information about The IIA’s Global Advocacy Platform, visit www.theiia.org/advocacy.

Global Advocacy Platform


Feature story

As The IIA’s Audit Executive Center celebrates its second

anniversary, the caliber of services it delivers to members has

never been higher, and its commitment to delivering value

has never been more evident. Created in 2010 with guidance

from leading internal audit practitioners, the Center provides

chief audit executives (CAEs) with direct access to a cost-

effective suite of resources tailored just for them.

For members like Charlie Johnson, chief audit executive for the Lower Colo-rado River Authority, the value the Center delivers is unmatched in the mar-ketplace. “I’m an avid reader, and I keep up on relevant literature and research. However, the Center monitors topics that I may not be tracking, but need to be aware of, and provides quick-read highlights and practical approaches,” says Johnson.

A self-described highly-satisfied Center member, Johnson says he keeps several Audit Executive Center reports on his desk at all times, referencing them regu-larly for both formal and impromptu meetings. In fact, he recently used Center resources to help him address his organization’s recent restructuring efforts. Recognizing the need to re-educate executive management about the value internal audit provides, he turned to a recent document provided by the Audit Executive Center, “The Role of Internal Audit in Value Creation,” which he used as a framework to create a presentation that resonated with key stakeholders.

2Expanding Services in Year

1 0 / I IA Today / w w w. t h e i i a . o r g

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Becoming a go-to resource for the Center’s more than 600 members is exactly what the creators had in mind when they launched the Center, which features three levels of member-ship to fit the needs of every CAE. And it’s this early success that prompted the Center to develop an array of additional benefits that were unveiled throughout 2012, including:

■■ Internal Audit Skills Assessments, a service that provides CAEs with skills assessment surveys they can distribute to their staff members and have evaluated by the Center to create a tailored plan for staff development.

■■ Peer Requests, a knowledge-sharing service that enables CAEs to request resource recommen-dations from other Center members through a communication generated by Audit Executive Center staff.

■■ Discounted rates on The IIA’s Certified Internal Auditor Learning System.

■■ Periodic CAE roundtables.■■ Weekly news emails (“Emerging News”) for

Ambassador-level members.■■ Increased distribution of the CAE Bulletin and

“What’s New” to include the CAE’s entire staff (at the Advocate and Ambassador levels).

■■ A Center Member Directory.

Beginning in 2013, Center members also will have access to discount pricing on seminars and onsite training.

For George Lewis, The IIA’s newly appointed director of CAE Services, the path to continued success is clear. “Two of the Center’s critical success factors in the future will continue to be the evolution of our website capability and special roundtable events and webinars, which are thriving from our new collaborations with other leading professional organizations and adding value in ways not seen elsewhere in the marketplace,” he says.

Lewis, who brings more than 15 years of internal audit and risk management experience with organizations in-cluding Best Buy Corp., U.S. Bancorp, and 3M Co., notes that as the Center continues to grow, its foundation and philosophy have remained unchanged. “At the core of the

Center are the skilled and dedicated people of the CAE Services team who work tirelessly every day to support the needs of Center members by bringing hands-on service, tools, thought leadership, and news together for a CAE to be empowered and connected,” says Lewis.

It is this focus that has allowed the Center to deliver an impressive arsenal of CAE-tailored content to its members during the last two years, some of which has included:

■■ Publishing 55 pieces of thought leadership, with three more due by year’s end.

■■ Building a knowledge repository that houses more than 800 pieces of thought leadership.

■■ Creating exclusive webinars, including four fo-cused learning opportunities in 2012 alone.

■■ Hosting Center Forums (three in 2012), which address pressing issues of concern to CAEs.

■■ Distributing the newest and most highly desired publications from The IIA’s renowned Research Foundation.

■■ Delivering insights via reports such as the 2012 Pulse of the Profession to paint a more compre-hensive picture of changes that impact practitio-ners globally.

■■ Providing members with critical benchmarking information through The IIA’s proprietary Global Audit Information Network (GAIN).

■■ Empowering CAEs to recruit and retain the most talented internal audit professionals with perspective garnered from the Center’s annual Compensation Study.

These benefits are all part of Center membership and have been delivered at no additional cost.

As the Audit Executive Center looks forward to its third year, providing valuable resource offerings remains its top priority. “The value of the Audit Executive Center stands on its own,” proclaims Johnson. “I’m confident that I can always access exactly what I need.”

To learn more about the Audit Executive Center, visit www.theiia.org/cae.

w w w. t h e i i a . o r g / November – December 2 0 1 2 / 1 1

special Feature

(Courses through April 2013) Updated 9/18/12Course Code Course Level Duration Dallas, TX

Feb-12 - Feb-15Atlanta, GA

Feb-26 - Mar-1Las vegas, Nv

Mar-26 - Mar-29Miami, FL

Apr-8 - Apr-11New York, NY

Apr-23 - Apr-26

Four Day courses

Audit Manager Tools and Techniques TTM Intermediate 4 Feb. 26- Mar. 1 Mar. 26-29 Apr. 23-26

Auditor-in-charge Tools and Techniques AIc Intermediate 4 Feb. 26- Mar. 1 Apr. 8-11 Apr. 23-26

Beginning Auditor Tools and Techniques TT Basic 4 Feb. 12-15 Feb. 26- Mar. 1 Mar. 26-29 Apr. 8-11 Apr. 23-26

communication Skills for Auditors EcA Basic 4 Apr. 8-11

Leadership Skills for Auditors LSA Intermediate 4 Feb. 26- Mar. 1 Mar. 26-29

courses Under Four Days

Analyzing and Improving Business Processes ABP Basic 2 Feb. 12-13 Feb. 26-27 Apr. 8-9

Assessing Risk: Ensuring Internal Audit’s Value ARV Advanced 2 Feb. 12-13 Feb. 28-Mar. 1 Mar. 26-27 Apr. 23-24

Assessing Your Organization’s Risk Management Process ARM Intermediate 2 Mar. 26-27

Audit Report Writing ARW Basic 2 Feb. 14-15 Mar. 28-29 Apr. 10-11

Auditing the cloud cLO Intermediate 2 Feb. 14-15 Mar. 26-27 Apr. 10-11

Best Practices in Internal Auditing BP Advanced 2 Feb. 14-15

construction Activity: Audit Strategies EAc Intermediate 2 Feb. 28-Mar. 1

continuous Auditing cA Intermediate 2 Mar. 28-29

contract Auditing Ac Intermediate 2 Mar. 26-27

control Self-assessment: An Introduction cSA Basic 2 Apr. 8-9

control Self-assessment: Facilitation Skills cFT Intermediate 2 Apr. 10-11

corporate Governance: Strategies for Internal Audit AcG Intermediate 2 Feb. 26-27

cOSO Based Internal Auditing cBA Intermediate 2 Feb. 28-Mar. 1

creative Problem-solving Techniques for Auditors cPS Basic 2 Apr. 10-11

Data Analysis for Internal Auditors DA Intermediate 1 Apr. 25

Effective Writing for Auditors EWA Intermediate 2 Feb. 28-Mar. 1

Financial Auditing for Internal Auditors AFA Intermediate 2 Feb. 12-13 Apr. 25-26

Human Resources: Auditing Your HR Function HRF Basic 2 Feb. 12-13

Internal Audit Quality Assessment: Establishing Your Quality Assessment and Improvement Program IQA Intermediate 2 Apr. 23-24

Lean Six Sigma Tools for Internal Audit Fieldwork SSF Intermediate 2 Feb. 14-15 Mar. 28-29 Apr. 25-26

Lean Six Sigma Tools for Internal Audit Planning SSP Intermediate 2 Feb. 12-13 Mar. 26-27 Apr. 23-24

Operational Auditing: Influencing Positive change POA Intermediate 2 Feb. 14-15 Feb. 26-27 Mar. 28-29 Apr. 8-9

Performing External Quality Assessments of the Internal Auditing Activity QAE Intermediate 2 Apr. 25-26

Risk Based Auditing: A Value Add Proposition RBP Intermediate 2 Feb. 26-27 Apr. 10-11

Sarbanes-Oxley Primer: charting Your course SOX Intermediate 2 Feb. 28-Mar. 1

Sarbanes-Oxley: Assessing IT controls SAI Intermediate 3 Apr. 23-25

Small Audit Shops: Doing More with Less Workshop SAS Intermediate 2 Feb. 14-15

Statistical Sampling for Internal Auditors SSI Basic 2 Apr. 23-24

Value-Added Business controls: The Right Way to Manage Risk VAB Basic 2 Feb. 26-27

Deloitte Public Offerings - courses Under Four Days

critical Thinking for Internal Auditors cTA Basic 2 Apr. 8-9

2013 LIvE SEMINAR COURSE MATRIX


special Feature

(Courses through April 2013) Updated 9/18/12Course Code Course Level Duration Dallas, TX

Feb-12 - Feb-15Atlanta, GA

Feb-26 - Mar-1Las vegas, Nv

Mar-26 - Mar-29Miami, FL

Apr-8 - Apr-11New York, NY

Apr-23 - Apr-26

Four Day courses

Audit Manager Tools and Techniques TTM Intermediate 4 Feb. 26- Mar. 1 Mar. 26-29 Apr. 23-26

Auditor-in-charge Tools and Techniques AIc Intermediate 4 Feb. 26- Mar. 1 Apr. 8-11 Apr. 23-26

Beginning Auditor Tools and Techniques TT Basic 4 Feb. 12-15 Feb. 26- Mar. 1 Mar. 26-29 Apr. 8-11 Apr. 23-26

communication Skills for Auditors EcA Basic 4 Apr. 8-11

Leadership Skills for Auditors LSA Intermediate 4 Feb. 26- Mar. 1 Mar. 26-29

courses Under Four Days

Analyzing and Improving Business Processes ABP Basic 2 Feb. 12-13 Feb. 26-27 Apr. 8-9

Assessing Risk: Ensuring Internal Audit’s Value ARV Advanced 2 Feb. 12-13 Feb. 28-Mar. 1 Mar. 26-27 Apr. 23-24

Assessing Your Organization’s Risk Management Process ARM Intermediate 2 Mar. 26-27

Audit Report Writing ARW Basic 2 Feb. 14-15 Mar. 28-29 Apr. 10-11

Auditing the cloud cLO Intermediate 2 Feb. 14-15 Mar. 26-27 Apr. 10-11

Best Practices in Internal Auditing BP Advanced 2 Feb. 14-15

construction Activity: Audit Strategies EAc Intermediate 2 Feb. 28-Mar. 1

continuous Auditing cA Intermediate 2 Mar. 28-29

contract Auditing Ac Intermediate 2 Mar. 26-27

control Self-assessment: An Introduction cSA Basic 2 Apr. 8-9

control Self-assessment: Facilitation Skills cFT Intermediate 2 Apr. 10-11

corporate Governance: Strategies for Internal Audit AcG Intermediate 2 Feb. 26-27

cOSO Based Internal Auditing cBA Intermediate 2 Feb. 28-Mar. 1

creative Problem-solving Techniques for Auditors cPS Basic 2 Apr. 10-11

Data Analysis for Internal Auditors DA Intermediate 1 Apr. 25

Effective Writing for Auditors EWA Intermediate 2 Feb. 28-Mar. 1

Financial Auditing for Internal Auditors AFA Intermediate 2 Feb. 12-13 Apr. 25-26

Human Resources: Auditing Your HR Function HRF Basic 2 Feb. 12-13

Internal Audit Quality Assessment: Establishing Your Quality Assessment and Improvement Program IQA Intermediate 2 Apr. 23-24

Lean Six Sigma Tools for Internal Audit Fieldwork SSF Intermediate 2 Feb. 14-15 Mar. 28-29 Apr. 25-26

Lean Six Sigma Tools for Internal Audit Planning SSP Intermediate 2 Feb. 12-13 Mar. 26-27 Apr. 23-24

Operational Auditing: Influencing Positive change POA Intermediate 2 Feb. 14-15 Feb. 26-27 Mar. 28-29 Apr. 8-9

Performing External Quality Assessments of the Internal Auditing Activity QAE Intermediate 2 Apr. 25-26

Risk Based Auditing: A Value Add Proposition RBP Intermediate 2 Feb. 26-27 Apr. 10-11

Sarbanes-Oxley Primer: charting Your course SOX Intermediate 2 Feb. 28-Mar. 1

Sarbanes-Oxley: Assessing IT controls SAI Intermediate 3 Apr. 23-25

Small Audit Shops: Doing More with Less Workshop SAS Intermediate 2 Feb. 14-15

Statistical Sampling for Internal Auditors SSI Basic 2 Apr. 23-24

Value-Added Business controls: The Right Way to Manage Risk VAB Basic 2 Feb. 26-27

Deloitte Public Offerings - courses Under Four Days

critical Thinking for Internal Auditors cTA Basic 2 Apr. 8-9

REGISTERFOR ANY cOURSE OFFERED

JAN-APR 2013and save

$100DOWNLOAD THE IIA’S2013 TRAINING cOMPASS& RESOURcE GUIDE AT

www.theiia.org/goto/2013Compass


special Feature

IMPROvING ThE INTERNAL AUDIT ACTIvITY


special Feature

Internal audit clients often wonder, “Who audits the auditors?” Those who strive

to conform to The IIA’s International Standards for the Professional Practice of

Internal Auditing (Standards) can answer this question without hesitation. The

Standards specifically requires internal auditors to practice what they promote

and to maintain a Quality Assurance and Improvement Program (QAIP), which

includes assessing the internal audit activity’s conformance to the Standards

through an external quality assessment (QA) at least once every five years.

Conformance with the Standards demonstrates the highest level of internal

audit professionalism.

If the internal audit activity does not have a QAIP in place, it may not be in conformance with the Standards — a scenario that unfortunately is not that uncommon. Despite the fact that more than 70 percent of respondents to The IIA’s 2010 Global Internal Audit Survey indicate that conformance with the Standards is a key factor in internal audit’s ability to add value to the organization’s gover-nance processes, and 90 percent of internal audit stakeholder responses suggest conformance with the Standards increases the stakeholder’s confidence in internal audit, nearly one third of respondents acknowl-edge the absence of a formal QAIP in their organization. Additionally, at the time of the study, 60 percent had not yet undergone an external QA, as required by the Standards.

If this describes your internal audit activity, where do you start? Debi Roth, director of Quality Services at The IIA, recommends you consider these preliminary steps:

■■ Conduct an internal as-sessment to understand the current level of Standards conformance and status of the QAIP.

■■ Reference The IIA’s free on-line resources, such as Your Path to Quality, to assess where you stand on the con-tinuum of quality capability.

■■ Explore the cost-effective quality services offered by The IIA, which can help cre-ate a roadmap for completing a comprehensive external QA.

Part of a complete QAIP, as outlined by the Standards, includes undergo-ing an external QA at least once every five years. According to Robert Riegel, QA consultant for The IIA and former chief audit executive of a Fortune 100 company, having an external party conduct a QA not only demonstrates the internal audit activity’s desire for continuous improvement, but it helps executive management and the audit committee understand and apply their fiduciary oversight responsibilities. “Sometimes executive management believes the cost of an external QA is just too much,” says Riegel. “However the cost of nonconformance with the Standards, and all that it implies, is potentially much greater.”

For more information on quality assurance and to access resources

to support your QAIP efforts, including Your Path to Quality, please visit www.theiia.org/quality or contact us at [email protected].

QUALITY STANDARDS AT-A-GLANCE

• 1300:QualityAssuranceand Improvement Program

• 1310:Requirementsofthe Quality Assurance and Improvement Program

• 1311:Internal Assessments

• 1312:External Assessments

• 1320:ReportingontheQuality Assurance and Improvement Program

• 1321:Useof“Conformswith the International Standards for the Professional Practice of Internal Auditing”

• 1322:Disclosureof Nonconformance


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Volume 3 / Issue 6 / November – December 2012

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