internal audit bug mike presentation october 2009

8/8/2019 Internal Audit BUG Mike Presentation October 2009

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Concept & Approach

CBRMP LGED

21 October 2010

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The concept: a peer review

Internal Audit is an independent appraisal set inprojects M&E system to examine and evaluateparticularly group performance of some coreactivities

1. Finance and Asset Group fund ( Own and Project ) Maintenance/conservation activities Cash status Distribution and use of Group/Project fund Books and Records

2. Capacity building Human Social Technical Institutional

3. Performance rating

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The Purpose

The values of Internal Audit is to:

support the project administration and BUGin effective service delivery in transparent and

accountable manner

To that end:

Internal Audit provides them, i.e. Project &BUG : analyses of information recommendations and advices

:

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The objective

Internal Audit's objectives is mainly toreview:

1. The reliability and integrity of the information2. Compliance with policies, plans, procedures,

laws, and rules3. The safeguarding of assets.4. The economical and efficient use of resources to

meet the overall objectives

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1. The reliability and integrity of

information

Financial and operating records are accurate, reliable,timely and complete.

Further on INTEGRITY

Correctness,

Completeness/ containing all parts/works/formalities,

Soundness/valid reasoning/logical and compliance with the intention of the work.

It is achieved by preventing accidental or deliberate unauthorized insertion, modification ordestruction of data in books and records

It is all about: Honesty, Commitment & Fairness a Moral Quality

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2. Compliance with policies, plans,

procedures, laws, and regulations.

Internal auditors are responsible for

determining whether the process practiced areadequate and effective and whether theactivities audited are complying with theappropriate policy, plans, procedure, laws and

rules

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3. The safeguarding of assets

Internal auditors should review the means used

to safeguard assets from various types of lossessuch as those resulting from theft, fire,improper or illegal activities

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4. The economical and efficient use of

resources

Procedures have been established for measuringeconomy and efficiency

Deviations from procedures are identifiedanalyzed, and communicated to those responsiblefor corrective action

Corrective actions have been taken or not

Underutilized of facilities

Procedures which are not cost justified

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The professional ethics

y The primary focus is to provide excellent service to theadministrations

y

Sh

ould be committed to th

eh

igh

est degree offairness, integrity, and moral conduct in performance.

y The relationships with the BUG will be maintained byrespect, helpfulness, sharing, patience, and openness.

yAlthough the IA team members are a part of theproject they should be committed to maintain theirindependencyin defining the scope and objectives oftheir investigations

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Process of collecting information

Information should be/have:

y sufficienty completey relevanty

sound basis for auditrecommendations

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Summary note on findings

Upon the conclusion of the fieldwork, the auditor willsummarize the audit findings with following focuses:

y Statement of Condition (What is?)

y Criteria (What should be?)

y Effect (what impact?)

y Cause (Why did it happen?)

y Recommendation (What should be done?)

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Steps in closing the audit

Preparing draft report

DebriefingManagement letter

Final report

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Follow-up

Internal auditors should check whetherappropriate actions are taken on reported

audit findings

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Scope and Benefit of IA(in summary )

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Integrity

Transparency

Accountability

Credibility


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Thankswish a good work

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internal audit bug mike presentation october 2009

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