Feb 07, 2012 11:37AM

2013 CIA Candidate Transition Plan and Exam Content Map Now Available

The Professional Certifications Board (PCB) has announced the transition plan for Certified Internal Auditor® (CIA®) program candidates who cannot complete their certification before the new exam is launched in mid-2013. The plan explains how credit for partial completion in the four-part exam will translate to the three-part exam format, and it indicates any additional requirements for achieving credit for specific parts. To assist candidates with their transition, The IIA also has released a document that shows the realignment of content from the four-part structure to the 2013 three-part exam format. The content map highlights which content has transitioned to a new part, has been removed or added, or has changed knowledge level on the exam. Read more about The CIA Candidate Transition Plan in the Certification News section of The IIA’s Global website.  Download the CIA Four-part to Three-part Exam Content Map.

Feb 07, 2012 06:40AM

Audit Executive Center Hosts Roundtables on COSO Framework Exposure Draft

The IIA’s Audit Executive Center recently hosted three roundtables to garner insight from the internal audit profession on the exposure draft of proposed updates, revisions, and enhancements to the 1992 Committee of Sponsoring Organizations of the Treadway Commission’s (COSO’s) Internal Control — Integrated Framework (Framework), which was released for public comment in December. Roundtable discussions explored seven observations on the exposure draft. Read more . . .

Feb 01, 2012 03:00PM

Internal Auditor Unveils New Look, App

Internal Auditor magazine has launched a new look AND a smartphone app. The magazine went through a major redesign to create a look that is up-to-date, more reader friendly, and translates easily to mobile editions of the publication.   “From the cover to every inside page, our design firm, Yacinski Design LLC, used a cleaner, more open look and a wider variety of design elements to create a more interesting appearance for the publication,” say Editor in Chief Anne Millage. “The firm captured our vision for the redesign perfectly.”  The new app includes the digital edition of the redesigned magazine, daily news updates, and the latest posts from InternalAuditorOnline’s “Chambers on the Profession” and “Marks on Governance” blogs. Readers can access the magazine via their iPhone, iPad, iPod, or Android phone by downloading the app from either the App Store or Android Market using their member/subscriber number and password. They must currently receive the publication to be able to download the app.   For more information: http://www.theiia.org/intAuditor/mobileapp/  

Feb 01, 2012 12:20PM

Updated Supplemental Guidance Released: The Role of Auditing in Public Sector Governance, 2nd Edition

Updated Supplemental Guidance Released: The Role of Auditing in Public Sector Governance, 2nd Edition This supplemental guidance updated by The IIA is intended to further clarify the importance of the public sector audit activity to effective governance and defines the key elements needed to maximize the value the audit activity provides to all levels of the public sector. The guidance is intended to point to the roles of audit (without differentiating between external and internal), methods by which those roles can be fulfilled, and the essential ingredients necessary to support an effective audit function. As such, it may not be fully applicable in every jurisdiction, particularly where public sector audit roles and responsibilities are specifically defined by governing institutes or legal mandates to exclude certain functions or assign them to other entities  You can download The Role of Auditing in Public Sector Governance, 2nd Edition and other supporting supplemental guidance today. This document is classified in our new category titled “Supplemental Guidance.”  Please note that this new category is not part of the IPPF.  This material is not mandatory or strongly recommended IPPF guidance. Learn more about this category and other guidance available. Additional supplemental guidance focused on the public sector will soon be released: Value of Internal Audit and the Internal Audit Capability Model – Public Sector and Implementing a New Internal Audit Function – Public Sector. Public Sector Definition is currently available for download.

Feb 01, 2012 12:00PM

Research Identifies Opportunities for Internal Auditors to Provide Greater Insight to their Organizations

ALTAMONTE SPRINGS, Fla., USA — The Institute of Internal Auditors Research Foundation (IIARF) has recently released a new report examining the prospect for internal auditors to make meaningful contributions to the organizations they serve by providing insight into organizational risks and opportunities. Based on a 2011 survey of 358 chief audit executives (CAEs), board members, and senior management from organizations in 39 countries, as well as in-depth follow-up interviews, Insight: Delivering Value to Stakeholders provides a global snapshot of stakeholders' views on whether internal audit should and is delivering insight, and with what regularity. “The value of the internal audit activity is in its ability to provide objective assurance and insight on the effectiveness and efficiency of governance, risk management, and internal control processes,” explains IIARF Vice President Margie Bastolla, CIA. “And although there is extensive reference material available to support the assurance and objectivity aspects of the function, there’s an opportunity for The IIARF to provide more detailed knowledge about the topic of internal audit insight.” With that in mind, The IIARF commissioned research to gain an understanding of how CAEs and key stakeholders view the current state of insight delivery. Researchers also explored key enablers or hindrances to insight delivery and provide suggestions for CAEs eager to enhance the delivery of insight by internal audit. The top five factors consistently identified as critical enablers of insight delivery are: A strong control environment and tone at the top, where executive leadership and operating management are open to improvement recommendations. Clear board and management expectations for value delivery. A reporting relationship that supports the independence of the internal audit function. A competent CAE. An internal audit team with sufficient practical skills as well as industry and organizational knowledge to provide a pragmatic bridge between an audit process and the business management of risk.   The study also revealed a gap between CAEs’ perceptions of how the internal audit activity provides insight versus stakeholders’ perceptions. Specifically, 66 percent of CAEs indicated their internal audit function “always or frequently” provides insight, whereas only 61 percent of board members believe their organization’s internal audit function always or frequently provides insight. That number drops sharply for senior management executives: A mere 38 percent believe their internal auditors always or frequently provide insight. In the interviews, board members consistently identified the importance of internal auditors having strong information technology (IT) knowledge and experience. This partially sheds some light on the differences in opinion between board and executive stakeholders regarding internal audit’s actual delivery of insight “frequently” or “always.” During research interviews, board members expressed they value the assurance on internal controls and risk management that internal auditors provide. They particularly value assurance on IT areas of the organization where, as board members, they generally have minimal hands-on experience. Executive stakeholders felt IT assurance, however, does not rise to the level of “insight” They do view as insight the advice from internal auditing on things such as a new way to approach an issue or a useful recommendation to enhance operations.” Stakeholders expressed that an internal auditor’s lack of operating or general management experience is viewed as a hindrance to providing true organizational insights, and may cause management to reject an internal audit analysis or recommendation. “We hope CAEs use the information provided to thoughtfully self-assess their functions, consider the applicability of the examples provided by other CAEs, discuss expectations with their stakeholders, and ultimately strive to enhance insight delivery within their organizations,” says Deloitte & Touche Internal Audit Partner Patricia Miller, CIA, who co-authored the report. If there is one take-away CAEs should glean from the study, she says it is this: “You have to be proactive, well-informed, articulate, business- and management-knowledgeable, and sometimes a courageous leader to demonstrate insight delivery to your stakeholders.” The IIARF report indicates an opportunity for internal audit practitioners to bridge the gaps and provides workable guidance and recommendations. It outlines five “next steps” for CAEs to enhance insight delivery:  Meet with your stakeholders routinely. Consider the importance of reporting relationships and sufficient organizational independence. Align the internal audit mission and focus with the agreed expectations. Refocus your internal audit approach to agree with the mission. Assess your leadership skills and communication style.   Researchers also found a statistically valid relationship between certification and insight delivery. Those CAEs with more than 50 percent of their staff holding a certification were more likely to agree that their internal audit organization delivered insights, and did so more frequently than those who had fewer certified staff members. Authored by Patty Miller, CIA, CISA, CPA and Tara Smith, CIA, Insight: Delivering Value to Stakeholders was published by The Institute of Internal Auditors Research Foundation and available for free download at http://www.theiia.org/bookstore/product/insight-delivering-value-to-stakeholders-1587.cfm.     ###   About The IIA Established in 1941, The Institute of Internal Auditors Inc. (IIA) is an international professional association with global headquarters in Altamonte Springs, Fla., USA. With more than 170,000 members in 165 countries, The IIA is the internal audit profession's global voice, recognized authority, acknowledged leader, chief advocate, and principal educator.   About The IIA Research Foundation Founded by The IIA in 1976, The Research Foundation expands knowledge and understanding of internal auditing by providing relevant research and educational products to advance the profession globally.   About the Authors  Patricia Miller, CIA, CISA, CPA recently retired as an experienced internal audit partner in the Northern California Advisory Services practice of Deloitte & Touche. She led the internal audit risk management function nationally, providing consultation on engagement quality and risk management, and on quality assurance activities. She has worked with large and small public clients in a variety of industries.   Tara Smith, CIA is a senior manager at Deloitte & Touche, serving a range of clients with a primary focus in the oil & gas industry. She has managed all engagement-related items for large global projects, including planning and execution, coordinating international resources, and ensuring standard global deliverables.