Our study has revealed a correlation between the involvement of Agile IA Functions and overall business performance in response to disruption. This correlation plays out across many forms of disruption and indicates that the actions Agile IA Functions are taking are helping the company to better manage risk.
Agile IA Functions also do far more to help their companies proactively manage disruption than “just” auditing controls after the fact. As disruption occurs, Agile IA Functions help the organization in a multitude of ways. For example, they more frequently provide a point of view around risks associated with disruptive events, coupled with advice on the process and controls design needed in response. Nearly half are even involved in identifying the potential for a disruptive event to occur.
“Our success is not measured on whether we complete our audit plan. It’s important to have the ability to be nimble and have the freedom to say, ‘This is more important than the audit plan.’”
A global company is reinventing itself to combat new digital entrants by making a significant technology investment that is on the forefront of innovation for its industry. When deployed, this transformative technology will cause disruption internally for the company and add to the disruption felt by the broader industry.
Through a co-sourced model, Internal Audit is proactively involved in this important program, providing value-added project assurance ahead of the technology’s “go-live.” For example, Internal Audit performed an infrastructure review before IT began testing, conducted a readiness assessment prior to user acceptance testing and reviewed implementation training and change management programs before piloting of the technology. Internal Audit is also involved in security and vendor management related to the program. Executive sponsors recognize and appreciate the value Internal Audit is bringing to such a game-changing program and is empowering them to be an integral part of the process.
Beyond contributing to more effective management of disruption, Agile IA Functions are valued by stakeholders: 88% of stakeholders with Agile IA Functions report that internal audit is adding significant value to their organization today compared to 41% of stakeholders with less agile internal audit functions.
The last in our trilogy - PwC's 2017 State of Internal Audit Study looks at how Internal Audit can build the resiliency to evolve and increase its organizational value amidst the influences disrupting organizations today.
Partner, Internal Audit, Compliance & Risk Management Solutions
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