Internal audit providers render quite a lot of services to the business management. Some of these include observing compliance with organisation policy & the government’s regulation, checking internal control and addressing possible IT security worries. Smaller organisations might need this function more than the large organisations. This is because a small business just can’t afford to deal with a government fine, waste or an employee fraud. So, making use of an internal audit provider is an essential step in the development of a small organisation.
Here are ways internal audit providers can help improve a business;
Monitoring Major Processes and Controls
The top management of every organisation usually centre their focus on the smooth running of the organisation and might not put adequate attention on monitoring major processes & controls. Internal audit providers can assist in doing this thus, reducing errors.
Operational Audit from Internal Audit Providers
Internal audit providers use operational audits to scrutinize the various practices of an organisation. They help to ask questions like; is the organisation following the applicable regulations? Is your organisation operating at the highest efficiency? Inefficient operations increase overhead without growing profit. This audit helps reveal some of these inadequacies or even some unnecessary paperwork. Discovering that you are not in compliance with government legislation before it is found out by the government helps avoid fines or any other legal penalties. An organisation needs to closely observe compliance with laws regarding human resources as soon as new employees are being employed in the company. Internal audit providers a great job in reviewing these functions.
Addressing Probable IT Security Worries
Some organisations have weak security for data and information technology controls. Technical controls can be evaluated by specialised internal audit providers to examine the company’s impending data security apprehensions.
Internal audit providers devise a disciplined, systematic approach to managing every organisation by identifying, alleviating and focusing on the risks that can have a major effect on your company’s long term objectives.
Focus on Risk & Strategy
Internal audit providers assess the risk-based as well as the key strategic focus area for maximum performance on a regular basis. Internal audit providers plan audits for improvement with the risks and the strategic objective of the company in mind, help improve the business exactly where it is required the most.
Improving Employee Turnover
A lot of businesses are usually profoundly reliant on some important members of the staff due to the fact that they possess some specialised skills or knowledge. Without properly documenting the duties of such staff members, losing them could be challenging to overcome. Internal audit providers can help in the development of proper documentation to outline job functions and collating the gathered information with the aid of tools like flowcharts, diagrams and narratives. This can reduce the loss of information or knowledge during the transition of such employees. The documentation of procedures and policies helps in the clarification of business operations and endorse alliance with the expectations of the management.
Audit the Process of Performance Improvement
Internal audit providers contribute to the process of performance improvement by assessing what the company does to improve its performance. Does the company have a procedure to rate and calculate results, examine the root cause, then implement remedial actions? If this is right, then, is it followed meticulously and does it result in a good outcome?
Report of Results
When internal audit providers carry out an internal audit, a report is documented. This audit report includes the recommendations for improving performance and this can serve as a catalyst for a progressive change throughout the company and set the standard for efforts in adding value to the audit team. Internal audit providers work hard to bring fresh ideas to the company by searching for ways to get maximum efficiency from the company’s resources used on the performance improvement tasks.
If you are interested in outsourcing your internal audit function and increase capability through experienced auditors with knowledge of continuous improvement across various industries, please contact us for a free consultation.