how to need a waiting room in internal audit
TRANSCRIPT
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
How to Need a Waiting Room
in Internal Audit
ACT…
Audit, Consult, Teach
Whit Madère & Mary Barnett
VCCS Audit & Consulting Team
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
Agenda• Background & Institutions
• Missions & Visions
— Fulfilling Responsibilities— Evolving Expectations of IA
• Adding Value
— Building “value” into your plano Risk assessmento Listen and commento Plan, coordinate, execute, follow-up
— The options & ideas
• Relationships
• Making the Change
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
Background & InstitutionsBackground
• We are “atypical auditors”
• We all have our own journeys and stories
• Where we are going next
Institutions vary… or do they?
• College/university/system
• VCCS/UTEP/Virginia
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
Missions
• Why we are here
• We are all pretty much the same… sort of
Visions
• They should be um… “visual” and motivational
• Examples (NASA, Navy, Caterpillar, etc…)
• A “waiting room” with people in it
Missions & Visions
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
ACT Mission
Provide assurance services and consultation to VCCS entities based on…
• objectivity,
• risk-based focus and prioritization,
• a focus on both effectiveness and efficiency,
• data-driven support, analysis, and decision-making,
• consideration of college/student success, and
• understanding operational, financial and mission-critical implications…
• without compromising IIA compliance, departmental goals, or system objectives.
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
VCCS Vision
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
Next auditee!
... and a waiting list.
We will become the most trusted and respected higher education auditing and consulting organization in Richmond, within the Commonwealth of Virginia, and across the nation and the world.
Our advice and counsel will be sought by VCCS administrators and faculty, by our counterparts throughout Virginia higher education, and by our peers at higher education audit departments throughout America and the world.
ACT Vision
A waiting room
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
Next auditee!
ACT Vision
Who says auditors can’t have waiting rooms?
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
ACT VisionYou usually have to wait for that which is worth seeking for. Craig Bruce
…but not Everyone Waits Patiently
2015 ANNUAL CONFERENCEI n d i a n a p o l i s We hope to have a nicer waiting room!
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
ACT VisionNow, all we need is the customers….
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
Evolving Expectations of Internal Audit
• Proactive
• Adding value
• Part of the team
• CEOs, IIA, consulting firms and visionaries agree
Mission & Vision
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
“…the importance of [Data Analytics] was rated high (at 78%) in our 2015
survey. If implemented properly, [Data Analytics] can help an Internal Audit
function simplify and improve the audit process to protect and create value.”<KPMG’s 2015 Data & Analytics-enabled Internal Audit Survey>
“When asked what would best improve overall effectiveness… the [audit committee
members] said
a better understanding of the business…
greater diversity of thinking, background, perspectives, and experiences…
more “white space” time on the agenda for open dialogue.” <AccountingWEB, referencing KPMG’s 2015 Survey of Audit Committees>
Mission & Vision
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
Adding Value“It’s about how your [services] exist in the real world: how people use your [services] –how they add value to people’s lives, ease their troubles, help shoulder their burdens, meet their needs. Think in those terms when producing… client narratives – so that people can relate to them.” Author Ann Handley
“Value” is some product, service, or other benefit that adds tangible worth such as monetary or material gain for our customers. In other words, some change that you create that your customers are (or would be) willing to pay for.
“Valued”, on the other hand, means “highly esteemed". A "valued" item is appreciated by your customers, but may not be important enough to them to pay for it.
Often, we think about what our customers appreciate rather than what they value.
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
Build “value” into your plan
• Definition of “value”
• Involve your “customers” in your risk assessments
• Listen and comment
• Plan, coordinate, execute, follow-up
Remember, YOU don’t get to decide what value is!
Adding Value
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
Some options
• Voluntary “non-audit” reviews
• Assisted self-assessments
• Training
• Involvement in risk assessment
• Quick wins (low hanging fruit)
• Facilitation & process mapping
Adding Value (options & ideas)
Adding Value (Real-life example)
SWCC Student Refund Disbursements
Syst
ems
Fin
. Aid
Bus
ines
s O
ffic
eG
ran
ts/O
ther
sFo
unda
tion
Func
tion
Stud
ent
Phase
Start Queries
Multiple Reports by Item Type Review
SIS SIS
Stamp & check SIS
Scholarship?
Funds available?
Post batchY
N
Pmt Dist Reports: Refunds, Tuition,
Book, Emerg Loans
Student Refunds Report (Non-
Update)Y
Request Funds Draw Funds Record Funds Deposit to AccountsCheck
Next Day
Check for Funds (Internal)
Selection Process
Award S/S (Internal)
Receive Funds Log Daily Deposit WeeklyTransmittal to Financial Aid
A
C
B Notice Verify and Correct Notify D
F Errors? GN
Research
Y
Opportunity
Monitor and Zero End
SIS Student Accounts
Mistakes?Disburse Refund
N
Corrections Y
Report with No Name – List, Batch
Total
Scholarship?
Student Refunds Report (Update)N
Y
Process for TMS
Process Vendor Pmt
Next Day Reconcile Correct?
Resolve N
AIS Transfer Funds
3 – 4 Days
Feedback Loop – Re-award?
Release and Email
By Date
Y
Reports for Business Manager Business Manager
Signs
By Date
Adjust?
Manually Process Checks
N
TMS Process
Adjust for Books and Expenses
Post and AdjustY Prepare ListsList Foundation
List Local
F
GStudent Refund
Process to TMS Nightly
D A
CFunds?
(Reconcile Funds Roster)
Y
BN
N
Y
Adding Value (Real-life example)
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
Some ideas
• Big data… or little data
• Dash Boards
• CIM Stats/Ratios/Charts
Adding Value (options & ideas)
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
What specialized skill can you offer?
Adding Value
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
Selling the Invisible – the idea of you
• It’s a new day
• There’s a new sheriff
• A new approach
• We have new standards
• New risks/emerging issues/events
• Tragedies are game changers
• Sometimes, all it takes is a new name (branding) or new attitude
Relationships
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
Relationships
We are all salesmen now
Are you prepared to “sell the invisible” value you can add?
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
• Attunement – Understand the Perspectives of our Clients
• Buoyancy – Accept Rejection by Questioning Your Approach
• Clarity – Provide Information for your Clients from an Ocean of Data
Relationships
We are all salesmen now
Are you prepared to “sell the invisible” value you can add?
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
Lead by example
• Self Accountability
• Contact Management Tools
• Face-to-face, phone calls, or post cards instead of emails
Relationships
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
Lead by example
• Self Accountability
• Contact Management Tools
• Face-to-face, phone calls, or post cards instead of emails
Relationships
Publicize your core values
• Sincerity
• Integrity
• Courage
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
Fulfilling your responsibilities, your mission…
• While remaining in compliance with the Standards
• Without compromising independence
• Without disclosing “holes” (examples including current Fed. Govt. leaks)
• Without hiding issues from the public/authorities
Bad news is NOT equal to a 2x4 (blindside)
It’s not just what you say, but how you say it!
Relationships
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
“If you focus on results, you will never change. If you focus on change, you will get results.”
Jack Cook
Making the Change
“Change will not come if we wait for some other person or some other time. We are the ones we've been waiting for. We are the change that we seek.”
Barack Obama
“Life was always a matter of waiting for the right moment to act.”Paulo Coelho
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
Don’t overlook “the little things” like the importance of politeness
• Flowers, chocolates
• Responsiveness
• Presentation
• Respect for their calendars
• Thank you notes
• Ask for endorsements at presentations/assemblies
Are you ready to make a change?
Making the Change
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
Q & A Opportunity
So be honest… some of you are thinking:
• “It can’t happen here.”
• “I’m concerned about not being tough enough.”
• “Will I still be objective if I offer consulting services?”
• Others?
What questions or concerns do you have?
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
Some closing thoughts…
• Optimism (say, “we can if…”)
• Enthusiasm is contagious.
• Be “Fantastic!” or “Outstanding!”
• Be genuine. “Sincerity” is vital.
Be something NEW… …and you just might find that you are worth waiting for!
The Last Slide
2015 ANNUAL CONFERENCEI n d i a n a p o l i s
How to Need a Waiting Room
in Internal Audit
VCCS Audit & Consulting Team
The Real Last Slide
Whit Madè[email protected]
Mary M. [email protected]
ACT… Audit, Consult, Teach