Internal Audit strives to involve our clients in every stage of the audit process. The audit process works best when client management and Internal Audit have a solid and constructive working relationship based on clear and continuing communication. This not only ensures that there are no surprises, but also results in a better finished product. Although every audit is unique, the audit life cycle is similar for most engagements and normally consists of the following stages:
Annual Audit Plan – An annual audit plan is developed by the Director of Internal Audit based on a college-wide analysis of auditable entities and business risk. Risk factors included in the analysis may include financial, compliance, public relations, physical security, health and safety, and other factors. Input from college leadership is solicited and incorporated into the plan development process. All these factors drive the frequency and intensity of audit activity in the proposed plan, which is presented to the Committee on Audit, Risk and Compliance of the Board of Visitors for comment and approval.
System Understanding and Documentation - This initial phase includes gathering information about business processes and reviewing and evaluating the existing procedures and internal controls. It may involve written requests for information as well as formal interviews. This process enables internal audit to develop a tailored audit plan based on the current business environment.
Fieldwork - This part of the process involves examination of transactions, documents, and records with the purpose of confirming that the controls established by management exist and are operating effectively. At the conclusion of fieldwork, an exit meeting will be held to discuss audit results and identify possible corrective action steps.
Audit Report - The written report includes a discussion of audit findings, recommendations to management, and management’s action plan. Audit clients will have an opportunity to review and provide input on the wording of the final report before it is issued to ensure accuracy.
Follow-Up Review - Audit performs follow-up procedures to verify the implementation of action plans. Internal Audit reports follow-up status to the Committee on Audit, Risk and Compliance of the Board of Visitors.
Internal Audit is continuously looking for ways to improve. At the completion of each audit, Internal Audit sends an electronic Client Survey to key leaders of the client organization. The survey asks for specific feedback about the audit process and management's experiences with the audit team.
Internal Audit is located at the Hoke House. If you have questions, please contact the department at 757.221.1546 or [[kberdahl, Kent Erdahl]].