Internal Audit Quality

Chapter 5Externally Assessing Quality

Be a yardstick of quality. Some people aren't used to an environment where excellence is expected.

—Steve Jobs

Good managers are not afraid to be critiqued. They understand that an independent person or agency might identify issues that were overlooked, or processes that are undertaken more efficiently in other organizations. External assessments provide that review. Internal auditing bears some similarity to external review, and internal auditors often play the role of a form of external reviewer. To this end, internal auditors should understand the external assessment process. While this does not necessarily make it easier for internal auditors when it comes to having their own activities reviewed, they should at least gain insight into how auditees normally feel.

As assurance professionals, internal auditors should embrace the process of external assessment. Chief audit executives should build external assessments into their quality assurance and improvement program. However, external assessments should complement internal assessments rather than replace these processes. Internal and external assessments should be complementary and support the continuous improvement on the internal audit function.

What Is an External Assessment?

External assessments answer the question Who audits the auditor? They are to the internal audit function what internal audit is to the rest of the organization—an independent and impartial review of operations. ...