建立一个有效的内部审计部门 ESTABLISHING AN EFFECTIVE Interna
AbstractIf you are wondering how to establish an effective internal audit department (IAD), The Schwan Food Co did just that with the help of Randy Just when he was the chief audit executive (CAE) at the company. Finding a qualified department head is a crucial first task in establishing an effective IAD. Once the CAE is hired, he/she should lead the development of the written audit charter, which sets forth the purpose, authority, and responsibilities of the IAD. Once the staffing was completed, Just worked with two of his managers to develop a risk-based assessment methodology tied to the Committee of Sponsoring Organizations of the Treadway Commission internal control framework and a consumer products business process model. The risk assessment framework closely incorporated the concepts of risk and control. In its first year, the department received a large number of requests for other projects, and that was clearly viewed as a substantial measure of success. Full test
The demand for internal auditing services has skyrocketed with two recent events.
First, Section 404 of the Sarbanes-Oxley Act (SOX) mandated public companies to include with their annual report an internal control report that contains an assessment by management of the effectiveness of the company's financial reporting internal control system. Internal auditors have the technical expertise and professional objectivity to assist in this assessment process.
Second, the New York Stock Exchange required all listed companies to "maintain an internal audit function to provide management and the audit committee with ongoing assessments of the company's risk management processes and system of internal control" by October 31, 2004. But the benefits of an internal audit department aren't unique to public companies. They are also applicable to private companies.
If you are wondering how to establish an effective internal audit department, The Schwan Food Company did just that with the help of Randy Just, one of the coauthors of this article, when he was the chief audit executive (CAE) at the company. Sadly, Randy died unexpectedly in January. He added a tremendous amount to the body of knowledge on establishing an effective internal audit department, and his contributions will be sorely missed. His co-authors dedicate this article to his memory. WHY ESTABLISH AN INTERNAL AUDIT DEPARTMENT?
The motto of the internal audit department (IAD) at Schwan is "advancing the business." There are a multitude of ways in which internal auditors can help accomplish that objective. First, an effective IAD can help a company reach its goals by helping management improve controls, business processes, and business risk management. second, internal auditors serve a critical role as part of the corporate governance structure by ensuring that the company achieves its objectives in an ethical, legal, and well-governed manner.
Third, internal auditors help fight the battle against fraud. In 2004, the Association of Certified Fraud Examiners (ACFE) obtained data on 508 fraud cases totaling more than $761 million in losses. In the resulting 2004 Report to the Nation, the ACFE stated that approximately 57% of the victim organizations in its study had an internal audit function and that those organizations suffered a median fraud loss of $80,000 compared to median losses of $130,000 for companies without internal audit departments. This result is similar to the ACFE's 2002 study where the median fraud losses were $87,500 for entities with internal auditors vs. $153,000 for those without.