Instructor for this course
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Today’s internal audit management function is an ever-expanding role and vital to any business. Many companies consider internal audit as a “training ground” for future management as it provides professionals with key strategic insight into the business. For an organization to truly build credibility within the internal audit function, the skills and organizational positioning of the Chief Audit Executive and Internal Audit management is a critical success factor.

The old saying, “If you can’t stand the heat stay out of the kitchen,” can be applied to anyone stepping into an internal audit management role. You must have the fortitude and ability to appropriately balance the organization’s needs with the necessity for independence and objectivity. This can be a very difficult issue for even the most experienced executive.

Designed by a past Chief Audit Executive of two international companies with more than 30 years of experience, this session covers:

  • Explore critical hard and soft skills required of today's internal auditor.
  • Identify the requirements of the Internal Professional Practices Framework for Internal Audit.
  • Explore real-world examples and challenges facing today’s internal audit management.
  • Identify key concepts to ensure audit management is ready to meet the challenges they face.
  • Examine legal and ethical standards needed when executing the internal audit management role.
  • Explore requirements for transitioning into your new role.

Intro Video Transcript

Welcome, everyone, in on today's session. Today, we're going to be speaking about Top Skills for Internal Audit Management. You may be a new Audit Manager, possibly a new Audit Director, or even a Vice President of Audit, or Chief Audit Executive, as it's sometimes referred to. And we're going to discuss a little bit about the various skills and the challenges within this role and how you can approach those.

I am a past Chief Audit Executive. My name is Lynn Fountain. I am a subject matter expert in areas of Sarbanes-Oxley, Internal Audit, Enterprise Risk Management, fraud, risk and compliance types of issues, and I have over 30 years of experience in those roles. I have been a Chief Audit Executive for two separate internationally-held companies. So I have some good experience, both on the challenge side, as well as on the success side. And I want to share with you those experiences and maybe some of my insight into regards to how to maneuver and walk through those challenges and hopefully come out at the most successful area.

You can see my contact information at the bottom of the screen, as well as my website. After you've viewed this webinar, I encourage you to reach out. Let me know what you thought. If you have any questions, I'm always happy to speak to people further about what their challenges are and brainstorm about what can be done.

With that, I'm going to introduce just a little bit more about what we're going to be speaking about within this topic. And then there will be a series of topics that's really designed for internal audit management. Today's Chief Audit Executive role... You see I have CAE there. That's how I'll refer to it sometimes. But even not just Chief Audit Executive, but if you're an audit director or if you're an audit manager, it's very difficult. The dynamics of today's business continues to evolve. We have ongoing regulations and legislations. Our shareholders are expecting more. Our stakeholders and board members are expecting more. We're seeing an increase in instances of fraud in the workplace and then disclosures for financial statement purposes. There's also just many more issues that come up.

In today's internal audit world, it's much more than just a compliance view or a check and balance-type function, as we may have seen it in years prior to Sarbanes-Oxley. The role of Internal Audit Management continues to evolve also, as our businesses evolve. But what hasn't probably caught up to the plate yet is although the Institute of Internal Auditors does a great job of putting standards out there for internal auditors to follow, sometimes management isn't fully aware of what those standards are and what they mean to the internal audit function. So we're going to address that a little bit as we go through our challenges or our skill sets today and talk about how we can utilize the Professional Practices Framework to actually synergize and then enhance our processes within an internal audit.

As I said, audit management is an integral role for any company these days, and hopefully companies are starting to recognize that and are allowing internal audit management more into the seat at the table, sometimes I'll say. But management has to embrace that role, and they have to look at auditors more than just the back end check and balances. And the tough part is how do you get that done? And if you're in an organization that has had a function for quite a while and the function has stayed fairly static, sometimes the evolution to change is difficult. So those are some of those things we're going to talk about.

Now, what I want to point out here - and I've seen this phrase in other places - but this is really an evolution. It's not a revolution. We're not out there as internal audit management trying to change companies, but we're trying to enhance our role as professionals and allow management to see that we're partners with them and that we, indeed, want what is best for the company and best for our shareholders overall.

IA Management, though, has not always been one of those areas of strategic importance. When it was originally put together years and years ago, if you really research the concepts of internal controls, you'll notice that it goes way back to Egyptian times, when you had the tax collector who collected the money and then someone else counted the money. But as it's evolved, it got very much into -in the 80s and 90s, we were very much a check and balance function. Lots of times, it was on the operational side because they allowed the "external monitors" to really look at the financial statements.

And in those cases, if you are in an older generation, you probably know that we had a lot of audit work programs and standard audit work programs that we would go by. And then once we got into the 2000s and the Institute of Internal Auditors started updating their standards, we started going more towards risk-based auditing in trying to get that "seat at the table" for an internal audit management to be able to be of true value to the organization and not just the monitoring and the check and balance function.

Now, Sarbanes-Oxley itself, the legislation really opened the eyes of the investment community to the importance of things, like internal control and internal auditors. If you go back and look and Google back in 2000 when that first came out, there's topics that'll say, "Internal auditors are now rock stars." Well, I'm not sure that's the exact instance, but the point was it was a lot more focus on what internal auditors could really bring to the table. However, we still have a long way to go. Management sometimes still sees internal audit as lagging in priority, in regards to areas that should be "having that seat at the table" or integral to companies' strategy. And that's where audit management needs to step up to the table. And to be able to do that, you have to gain some of the buy-in and understanding and confidence of management in various ways.

I'm going to give you a little bit of a real world view and to some of the challenges we face, and I'll talk a little bit about my experiences. But it's not just my experiences that these series is going to bring to bear. I have the opportunity to train a lot of internal auditors. I do training for the Institute of Internal Auditors. I've written some books. I do a lot of trainings for other conference groups. So I'm out there quite a bit and talking to internal auditors about the challenges that they are facing. So this is to bring that to bear too, and I'm bringing forth those ideas to help you understand what some of your challenges may be.

There's an old saying that says, "If you can't stand the heat, stay out of the kitchen." And I used to laugh when I was the Chief Auditing Executive and say, "Sometimes that kitchen got really hot." But if you are not a person that can manage that type of atmosphere, who can take the criticism, who can stand up for what you believe, and stick up for your priorities, maybe the role of internal audit management is not one for you. But we're going to talk about those various things, and you can evaluate that as we go through.

So here's our agenda for today. We're going to talk about some of the top key and critical skills for Internal Audit Management, which includes both technical skills, as well as soft skills. And I will say that soft skills often are those that come with the bearing of time or as you have matured through an organization or through a business. We'll also talk a little bit about the variance between the ethical and legal standards and how that causes issues for Internal Audit. And then we'll discuss a little bit about how you can prepare to transition into the role or even if you're already in the role, if there's some things that you feel you need to change or enhance, how that can be done. So that's our agenda for today.

 

Learning Objectives

  • Explore critical hard and soft skills required of today’s internal auditor.
  • Identify the requirements of the Internal Professional Practices Framework for Internal Audit.
  • Explore real-world examples and challenges facing today’s internal audit management.
  • Identify key concepts to ensure audit management is ready to meet the challenges they face.
  • Examine legal and ethical standards needed when executing the internal audit management role.
  • Explore requirements for transitioning into your new role.
Last updated/reviewed: September 18, 2018

39 Reviews (147 ratings)Reviews

5
Anonymous Author
A great course to have an overview regarding the skills required to be successful internal audit management.
5
Anonymous Author
Very good and detailed set of information. It will really help in my carrier up to the top :-)
4
Member's Profile
Your final exam questions appear to have errors, specifically numbers 9 and 10. I did not identify correct answers; I guessed D for each, which was correct. However, I'm assuming this is because they are "which of these is NOT correct" questions, and answer D for each included a double negative... Perhaps re-read and revise the wording, as that was confusing.
4
Anonymous Author
This course is very straight forward and easy to follow. Lynn also mentioned about IA should make themselves viewed as a business partner by understanding the overall risk the company faces and provide appropriate feedback and suggestions. This will help the company to maintain a healthy corporate structure and meet business objective in the long run.
5
Anonymous Author
As a Chief Audit Executive who just entered my second year in the role, this course has been an excellent reminder of how I need to use all my senses in order to be successful. I especially appreciated the way the instructor broke down important but intangible concepts such as Drive, Determination, and Vision.
4
Member's Profile
I think that the course provided a very good presentation and explanation of the skills required. The course could have further elaborated on skills such as data analytics skills that are so important in conducting an audit today. Also some more guidance on developing the skills could have been better
4
Member's Profile
Great course for those thinking of moving up in internal audit and those who plan an IA role as a career. The self-analyzing discussions were helpful, as this is not a "how to" as much as a "can/should I" perspective. The presenter was engaging and informative, as well as organized and effective.
4
Member's Profile
Lynn was once again phenomenal in her presentation. She broke down for me the role of an Internal Auditor and the characteristics one must have to be one. I like the fact that she emphasized that the efforts deployed by such function is for the health of the company.
5
Member's Profile
I enjoyed Ms. Fountain's low key, casual presentation. Made me want to get to the next topic. There was no extraneous commentary. Ms. Fountain delivered key points in a clear, effective manner. I would definitely look to take more of her seminars.
5
Member's Profile
Outstanding. Very organized and detailed. Was surprised that CAE in the past did not receive a "seat at the table" because they were viewed as unqualified. Any person at the supervisory level and above in IA should take this course.
3
Anonymous Author
Good material, but I think there were some issues with the test questions. Strangely written to focus more on verbose semantics rather than concepts.
5
Member's Profile
Great presentation!!! The presentation demonstrates a strong understanding IA professionals need to know in progressing with the profession.
5
Member's Profile
Lynn is one of my favorite presenters. Always clear and concise. Keep the program moving and maintains my interest. Thanks Lynn.
5
Member's Profile
I really like Lynn's systematic explanations, as she explores every facet of every skill needed in today's internal auditor.
5
Anonymous Author
This course provided solid contents of Top Skills for Internal Audit Management and the instructor was effective.
4
Member's Profile
Well structured class! I learned about the key skills and traits needed to get to the next level in management.
5
Anonymous Author
Excellent course. Good discussion around the concepts of soft skills, integrity, ethical vs legal.
5
Member's Profile
Very informative course. Learned about the importance of the internal auditor's role in a company!
4
Anonymous Author
Liked the course. Good overview with appropriate level of detail. Good to reinforce some topics.
5
Anonymous Author
A good overview of the characteristics that IA managers need to have to excel in the profession.
4
Member's Profile
Program materials were relevant and contributed to the achievement of the learning objectives.
4
Member's Profile
Good explanation of the technical and soft skills expected out of Internal Audit management.
5
Anonymous Author
This course is a great review for assessing whether an internal audit career is right.
5
Anonymous Author
I recommended this course to few of my fellow workers who are part of the Audit team.
4
Member's Profile
Only one hour but covers a lot of issues but is interesting. enjoy the course
4
Anonymous Author
She does a great job of explaining the topic and keeps your attention.
4
Member's Profile
Great refresher to the top skills required by IA management.
4
Member's Profile
Good checklist of skill sets needed for role.
5
Member's Profile
Very detailed and well presented.
5
Member's Profile
The ease of navigation was nice.
4
Anonymous Author
Good overview of IA management.
5
Anonymous Author
A great primer for the new CAE
4
Anonymous Author
It was a very good course
5
Member's Profile
Good training.
5
Anonymous Author
Great course!
4
Anonymous Author
good review
5
Anonymous Author
No comment
Anonymous Author
xc
3
Member's Profile
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Prerequisites

Course Complexity: Intermediate

Prerequisite: Exposure to managing the internal audit function

 

Recommended understanding of internal controls and the Institute of Internal Audit Standards of Professional practice.

Individuals either in Internal Audit management or considering taking on an Internal Audit management role. 

Advanced Preparation: None

 

Education Provider Information

Company:
Illumeo, Inc., 75 East Santa Clara St., Suite 1215, San Jose, CA 95113
Contact:
For more information regarding this course, including complaint and cancellation policies, please contact our offices at (408) 400- 3993 or send an e-mail to .
Course Syllabus
INTRODUCTION AND OVERVIEW
Skills, Acumen and Standards
  5:56Technical Skills
  7:29Business Acumen
  8:55Business Acumen Continued
  6:48IPPF Standards
Drive, Vision, Passion
  5:30Internal Drive
  3:04Components of Determination
  2:42Vision
  2:38Passion and Innovation
Communication and Ethics
  7:05Communication Skills
  6:38Executive Presence
  9:27Ethics and Integrity
  3:12Legal or Ethics
CONCLUSION
  6:23Transitioning to Internal Audit Management Role & Summary
Continuous Play
  1:31:37Top Skills for Internal Audit Management
SUPPORTING MATERIALS
  PDFSlides: Internal Audit Management
  PDFInternal Audit Management Glossary/Index
REVIEW & TEST
  quizREVIEW QUESTIONS
 examFINAL EXAM