Audit leaders are nothing without an opinion. An internal auditor’s opinion is also a differentiator in the boardroom; independence and objectivity make it unique. All chief audit executives regardless of sector and size of organisation should provide, at least annually, an assessment of the overall effectiveness of the governance, risk and control framework of the organisation.
Is it informative, insightful, and does it influence decision-making?
Amid the uncertainty and consequences of COVID-19, the climate crisis and Brexit there will be positives for some organisations. However, the stark reality for many governing bodies (individuals accountable for the success of the organisation, principally the board and its sub-committees) will be tough decisions and perhaps a degree of wariness when presented with information by senior executives fearful of their jobs; especially when opportunities are seized without the normal controls in place.
The value of an independent opinion should be increasing.
Are you being asked for yours?
This thought leadership piece examines the professional requirements of providing an overall audit opinion, the benefits of providing a trusted opinion and delivering it with impact.
Skip ahead for 10 key things to do to help others respect and trust your opinion.
Historically, an annual internal audit opinion or statement was largely associated with the public sector. This is no longer the case.
CAEs are required to provide an overall opinion as outlined in the Internal Audit Code of Practice: Guidance on effective internal audit in the private and third sectors supporting Standard 2450 in the IPPF.
An overall opinion is mandatory in the public sector to inform and be part of the organisation’s annual governance statement, as detailed in the public sector internal audit standards (PSIAS).
It is also mandatory within financial services, as explained in the Guidance on Effective Internal…