If
the audit is an internal one, the Internal Auditor will contact
you with details on timing and needs. If the audit is from an external
or governmental source, contact the Office of Audit and Control.
The Auditor will co-ordinate all external audits and inform you
of the timing and needs of the auditors.
Q:
How long will the audit take?
Audits
can last from one or two days to several months depending on the
processes being audited. After the planning phase is finished, we
will give you a reasonable estimate of the time needed to complete
the audit.
Q:
What will the Auditor need from me?
Cooperation
and communication between the area being audited and the auditor
are essential. Requirements will vary by the type of audit being
performed. Generally the auditors will want to see any department
policy and procedures documentation, samples of forms used and reports
generated. If procedural documentation does not exist, you should
be prepared to answer detailed questions concerning the operations
and flow of work in your area. The auditors will usually sample
work performed by requesting and reviewing files, vouchers and reports.
They will also inquire about the status of past findings and corrective
actions taken since the last audit. If you are having trouble collecting
any requested materials for auditors, inform them of the problems
as soon as they are known. When performing tasks or fulfilling requests
for outside auditors, please inform the Internal Auditor of the
status of this work.
Q:
Will the audit disrupt my department's everyday activity?
Every effort to minimize any disruption will take place and we will
cooperate with you whenever possible to ensure a smooth process.
Q:
Will I know the results of the audit?
In
the case of internal audits, at the end of the process a report
will be written. This report will be reviewed with the area and/or
requesting management before it is finalized. All management in
the reporting chain of the area audit will receive a copy of the
final report. Copies of reports are also sent to the President and
the Chair of the Audit Committee of the Board of Trustees. In the
case of external audits, the University will receive an official
report at the end of the process. These reports are usually addressed
to the President of the University. The Office of Audit and Control
will inform affected areas of the results of external audits when
they are known.
Q:
The audit is over and I've received the report, am I finished now?
If
the report contains no finds or recommendations, you are finished,
just keep up the good work. If there are findings and/or recommendations,
a response will be needed from area management. If actions need
to be taken there will be a follow up from the auditor at a later
date to determine if those actions were taken.
Q: What are good internal controls and why
are they important?
Internal
controls are good business practices that assist in achieving
the University's objectives encompassing cost effective, timely
and flexible measures. Good internal controls help each department
operate more efficiently and effectively with assurances that procedures
are adequately adhered to and assets are protected.
Q:
Are there different kinds of internal control?
Internal
controls can be classified as preventive or detective. Preventive
controls discourage errors or irregularities: computer applications
preventing invalid entries; reading and understanding University
policies helps prevent violations; and a director's review of purchases
for validity prevents inappropriate expenditures. Detective controls
identify an error or irregularity after it occurs: an exception
report detects and lists incorrect or invalid entries or transactions;
a comparison of validated cash receipts to the financial statement
detects erroneous accounts; and the director's review of long distance
phone charges will detect abuse.
Q:
What can jeopardize internal control?
Many
circumstances may compromise the effectiveness of internal control
but these are the most common and serious that warrants special
attention:
