SELECTING THE RIGHT PEOPLE FOR THE JOB: THE ROLE OF THE INTERNAL AUDITOR

 The internal auditor role is normally staffed by experienced employees from throughout the organisation. The purpose of the internal audit is to confirm that the company’s documentation meets requirements (e.g., ISO9000, OSHA, etc.) and that day-to-day operations follow the documentation.

So, the internal auditor must serve as:

  • A catalyst
  • An interface between different groups
  • An advisor
  • A reporter of fact

 As the auditor, he/she must ensure that he/she brings an objective, professional perspective to the job.

This means the auditor is not:

  • An inquisitor
  • A fault finder or rock thrower
  • Biased (for or against)
  • Dishonest
  • An inspector of products

 AUDITOR QUALIFICATIONS

  • Selection of candidates for the role of internal auditor should be made based on several factors:

 Personal Interest

  • Desire to take on extra responsibility.

 Qualifications

  • Knowledge, skills, abilities, experience.

 Work ethic

  • Ability to produce high-quality and efficient results without direct supervision.

          Specific minimum qualifications that should guide the selection of auditors include:

 Education

  • Demonstrated competence in clear and fluent oral communications and in written concepts and ideas.

 Experience

  • Three to four years full-time workplace experience. Understand the role of individual units within the overall organisation.

Personal Qualities

  • Communication skills
  • Tactfulness
  • Flexibility
  • Persistence
  • Objectivity
  • Integrity

Personal Attributes

  • Open-minded and mature
  • Sound judgment
  • Analytical skills and tenacity
  • Ability to perceive situations in a realistic way
  • Understand complex operations from a broad perspective

AUDITOR TRAINING

  • Specific skills for internal auditing are supported by training in: Knowledge and understanding of the standards used.
  • Assessment techniques of questioning, evaluating and reporting.
  • Audit management and auditing skills such as planning, organizing, communicating and directing.

AUDITOR RESPONSIBILITIES

  • The tasks of the internal auditor include obtaining and assessing objective evidence fairly.
  • Remain true to the purpose of the audit without fear or favour.
  • Evaluate constantly the effects of audit observations and personal interactions during an audit.
  • Treat concerned personnel in a way that will best achieve the audit purpose.
  • Perform the audit process without deviating due to distraction.
  • Commit full attention and support to the audit process.
  • React effectively in stressful situations.
  • Arrive at generally acceptable conclusions based on audit observations.
  • Remain true to a conclusion despite pressure to change that is not based on evidence.

AUDITOR SELECTION

  • The selection of appropriate individuals to invest the training and time commitment should consider matching personal qualifications with an understanding of the role and responsibilities of the auditor. Another essential factor to consider is that the audit team must consist of individuals from a variety of functions. This supports the requirement that auditors must not audit their own function or department to maintain objectivity:

                 “…selection of auditors and conduct of audits shall ensure objectivity and impartiality of the audit process. Auditors shall not audit their own work.”

However, it must be noted that small companies may have no option but to audit their own work.