© institute of internal auditors 2019 connect with the iia ... presentations/expan… · audit...
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Expanding Audit Analytics CoverageKEN PETERSEN / PRODUCT MANAGER, TEAMMATE ANALYTICS
APRIL 1, 2019
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ObjectiveUnderstand the value of performing analytics on as many audits as possible and how your organization can achieve this
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The First Camera
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Before Photography
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Early Cameras
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Later Cameras
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Digital Photography
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Quantum Shift
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Significant Market Changes
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So What?What does that have to do with Audit Analytics?
There is a Quantum shift happening in Audit related to analytics
Upper management expect findings are supported by dataSupport◦ More and more business decisions / business cases require data to support the case◦ More analytics tools/information within business (and consumer) applications◦ More user friendly reporting and analytics applications
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Why?1) Finding money
2) Increased assurance and reduced risk
If you were the CAE / Director of audit presenting your findings, would you like to have data to backup your findings?
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Customer Story2014: 25% of audits were supported with analytics
2017: 63% of audits were supported with analytics
150% increase or 2.5 times as many audits contained analytics
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Audits per Year
Initial Audits with
Analytics
Future Audits with
Analytics Net Gain20 5 13 840 10 25 1560 15 38 2380 20 50 30
100 25 63 38
Would your CAE/Audit Director be interested in this kind of change?
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Where do we start?Verify the completeness and accuracy of the file where you are pulling a random sample of 30
Policies and Procedures
External Sources
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Audit Analytics Quantum Shift1 auditor performs all of the analytics for all audits
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CoE
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Audit Analytics Quantum ShiftAll auditors perform analytics on their audits
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Audit Analytics Quantum ShiftAll auditors perform analytics on their audits with champions for guidance
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Our auditors can’t do analyticsRequires programming skills
Requires database skills
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Practical Examples
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DEMOOverview
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How do we get there?
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Develop a vision & plan
Set a clear vision for the end-state and a plan toward
getting there, then communicate it
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How do we get there?
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Get buy infrom the top
Make sure the CAE is fully bought in and voices his
support
2
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How do we get there?
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Determine‘success’
Set targets and design KPIs around them to monitor
progress
3
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How do we get there?
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Appointa lead
One central person responsible for coordination and driving
usage
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How do we get there?
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Appoint Champions
Trained team members to drive usage on each audit and provide
support
5
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How do we get there?
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Providetraining
Provide an appropriate level of training for champions and users
6
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How do we get there?
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Identifyquick wins
Use a few simple areas or toolsto build momentum and
demonstrate initial success
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How do we get there?
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Share ideasand successesEncourage experimentation and
collaboration, share ideas and examples of analytics usage
to build enthusiasm
8
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How do we get there?
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Incorporate analytics into planning
Ensure that analytics are considered early in the audit planning process
and baked into audit programs
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How do we get there?
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Audit plan
Planning an audit
Audit programs
• Review all the audits in the audit plan• Which of these audits might have a transactional or data component?• Ensure that analytics are considered as part of planning the audit
• What data might exist for this audit area?• How could this data help us to meet the audit objectives?• Request data that would be helpful in advance
• What tests can we to perform on the data?• Which of these tests can help us to meet the audit objectives?• Ensure these tests are included in the audit program
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How do we get there?
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Mandate use orprovide incentives
Consider linking each individual’s usage to their performance targets and bonus, or ensure audits not using analytics have to
be approved
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Questions and Answers?
[email protected] OF PRESENTATION
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Thank you for your time and attention!
[email protected] CHAPTER CHICAGO | 59TH ANNUAL SEMINAR
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