Internal Audit is defined by the Institute of Internal Auditors as a dynamic profession involved in helping organizations achieve their objectives. It is concerned with evaluating and improving the effectiveness of risk management, control and governance processes in an organization.
Internal auditors work across all areas and apply a systematic, disciplined and independent evaluation on both the tangible and intangible aspects of the operations. After which, the internal auditors present their report, containing the status of the company in connection with its goals – the risk that they are currently facing, the risks that they may face in the future, how the risks are being handled, and identifying what can be improved. There are just some of the things that internal auditors need to find out about your company. With these tasks at hand, is it really wise to outsource Internal Audit?
YES. And here’s why:
1. Objectivity and independence are ensured.
You will be not be audited by someone from organization, but by someone who made it his/her job to be objective. Objectivity and Independence are very important with regards to internal audit as it really affects the auditor’s evaluation. Without it, the organization will be misled and risks might be underestimated or worst, they might be ignored.
2. It is easier and more practical to buy services than recruit and employ experts.
Experts are like gems, they are both rare and expensive. Aside from which, there is also a cost associated with maintaining in-house experts in your company. Outsourcing companies provide experts to work for your companies for a relatively lower cost. In addition to which, employers may face problems when an in-house auditor is unavailable, gets sick or decides to leave the company. It may take weeks or sometimes even months to get a replacement compared to outsourcing services, where there are always employees ready to take over when something happens.
3. Specialised and unmatched calibre in providing auditing services.
Internal Audit is not an easy task. It takes time and experience to know it very well. Outsourcing your internal audit to firms ensure that the people working in your audit know what they are doing. They have been trained to do these things and there are also experts checking the quality of their work. In addition, specialist firms provide wide range of skills that you may need after the results of the internal auditors have been reported. These includes accountants, data analysts, financial analysts, etc.
4. You have more time on managing your business!
Having in-house auditors mean that you also have to look out on what they are doing, the things that you need to prepare for them to do their work properly, among others. However, outsourcing your internal audit will give you the luxury of using your time to do the things that you really need to do for your company.
These are just some of the benefits of outsourcing internal audit. To know more about these benefits, you can reach our experienced auditors here.