17-02-2011
17-02-2011CBOK 2010 Report III: Measuring Internal Auditing's Value | ||
Report III of the Common Body of Knowledge (CBOK) study focuses on measuring the value of internal auditing under dynamic business conditions and the key factors contributing to the value delivered by an internal audit activity. The value can be viewed from the perspectives of internal auditors/internal audit service providers, customers (such as the board, audit committee, senior management) and other stakeholders. This report covers the perceived value of internal audit activities by internal auditors/internal audit service providers. To understand the linkage between the performance of an internal audit activity and its perceived contribution (value), this report addresses 1) the relationship between organizational characteristics and the perceived contribution of an internal audit activity; 2) the effect of an internal audit activity’s characteristics on its perceived contribution; 3) the effect of internal audit activity performance measurement methods on its perceived contribution; and 4) the relationship between the services performed by an internal audit activity and its perceived contribution. An analysis of the survey responses revealed the following key findings:
The most important factors to the perceived contribution of the internal audit activity are 1) having appropriate access to the audit committee; 2) functioning without coercion to change a rating assessment or withdraw a finding; and 3) more audit tools or technology used on a typical audit engagement.
This report provides insight to direct internal audit activities in delivering value to the organization to meet stakeholder expectations. |