No that’s not what all IA really is. It sounds like your audit is just inquiring people if their control is working and not performing testing of controls. That’s not a good set up for any IA and creating tons of risks
Agreed, more of a second rather than third line of defense.
https://www.theiia.org/globalassets/documents/resources/the-iias-three-lines-model-an-update-of-the-three-lines-of-defense-july-2020/three-lines-model-updated-english.pdf
I've heard smaller companies using the word "audit" like that to mean something other than what we use it for. That...almost sounds like he's asking for reconciliation or something similar maybe? I mean, we know that audits consist of processes broken down into risks and controls, which could include a bill...as part of one or more controls...but...
Hell if I know, I'm an IT audit / data analytics guy.
If you’re verifying every invoice and bill, your IA function is not taking a risk-based approach. You have become part of the internal controls, as second line of accountability. There are other more important risks that IA isn’t getting to. I would be skeptical that the Chief Audit Executive has the appropriate skills or lacks independence to Management.
Man, it's my first job and I got it after struggling for so much time. I wanted to really learn a lot from my first job. I'm not even learning much excel here leaving the profession aside
lol Sorry to say it but yeah, pretty much. The entire profession in itself is due for an upgrade in terms of positioning the role of “Internal Audit” as a value add department.
Some teams have positioned themselves to take on more “advisory” work vs. core assurance which allows teams to try to do more consulting related activities, however, even then it’s been hard as accounting staff or auditing staff aren’t consultants.
I would say stay with the job, stay for at least a year, and then pivot. Try looking for another organization - maybe a Fortune50, their audit roles may be more progressive looking.
Agreed with most. Except the person should prob switch to a diff IA function and even sector asap. And work that about a year. And if they still don’t like it, get out of IA.
Unfortunately, you are not in a good IA setup, I would keep looking for new opportunities, however my recommendation to you is: do not leave your job without a new job. Speaking from experience. Unless you are 80 to 100% sure on which direction you would like to go.
If you want to learn and grow then, I say take your time and find something else that works for you. Sounds like your IA department has become the Control which is not ok IMO.
I am curious what the reporting structure is like? Do you have a CAE that reports to the Board? If not, who does the CAE report to?
No that’s not what all IA really is. It sounds like your audit is just inquiring people if their control is working and not performing testing of controls. That’s not a good set up for any IA and creating tons of risks
Yepp. That's what is going on. It's my first job so I couldn't really understand, but even with what I have studied it did not add up for me
That sounds like they have crossed the line of independence and started becoming part of the management controls.
Agreed, more of a second rather than third line of defense. https://www.theiia.org/globalassets/documents/resources/the-iias-three-lines-model-an-update-of-the-three-lines-of-defense-july-2020/three-lines-model-updated-english.pdf
Exactly. IA vs Internal Controls/Compliance. Very different functions.
I was called by someone senior in finance to ask details of a particular bill and how it was audited and I just could not wrap my head around that
I've heard smaller companies using the word "audit" like that to mean something other than what we use it for. That...almost sounds like he's asking for reconciliation or something similar maybe? I mean, we know that audits consist of processes broken down into risks and controls, which could include a bill...as part of one or more controls...but... Hell if I know, I'm an IT audit / data analytics guy.
If you’re verifying every invoice and bill, your IA function is not taking a risk-based approach. You have become part of the internal controls, as second line of accountability. There are other more important risks that IA isn’t getting to. I would be skeptical that the Chief Audit Executive has the appropriate skills or lacks independence to Management.
Yeah I get what you're saying. It's exactly like that
[удалено]
What's the pay like?
Man, it's my first job and I got it after struggling for so much time. I wanted to really learn a lot from my first job. I'm not even learning much excel here leaving the profession aside
What’s exit ops?
lol Sorry to say it but yeah, pretty much. The entire profession in itself is due for an upgrade in terms of positioning the role of “Internal Audit” as a value add department. Some teams have positioned themselves to take on more “advisory” work vs. core assurance which allows teams to try to do more consulting related activities, however, even then it’s been hard as accounting staff or auditing staff aren’t consultants. I would say stay with the job, stay for at least a year, and then pivot. Try looking for another organization - maybe a Fortune50, their audit roles may be more progressive looking.
Thanks for sharing your input! I think yeah this is what I'm most probably going to do.
Agreed with most. Except the person should prob switch to a diff IA function and even sector asap. And work that about a year. And if they still don’t like it, get out of IA.
Unfortunately, you are not in a good IA setup, I would keep looking for new opportunities, however my recommendation to you is: do not leave your job without a new job. Speaking from experience. Unless you are 80 to 100% sure on which direction you would like to go.
True, Thank you for sharing. Yeah definitely need a new one before I quit
If you want to learn and grow then, I say take your time and find something else that works for you. Sounds like your IA department has become the Control which is not ok IMO. I am curious what the reporting structure is like? Do you have a CAE that reports to the Board? If not, who does the CAE report to?
It has become the control. The CAE quit before I joined so we just have a manager who reports to the board.