Internal Audits SOP
This detailed SOP provides internal audit professionals with a structured framework for managing internal audits within an organisation.
It includes:
– Step-by-Step Process Flow: Outlines essential subprocesses such as Audit Planning, Conducting the Audit, and Reporting and Follow-Up, with clear actions, decision points, and error-handling procedures to ensure a thorough and systematic audit process.
– Risk Management: Identifies key risks such as inadequate audit planning, insufficient evidence gathering, and inadequate follow-up, with mitigation strategies including comprehensive audit checklists, regular training for auditors, and a structured follow-up process to ensure issues are resolved.
– Compliance and Regulatory Requirements: Ensures adherence to relevant regulations, including GDPR and FCA guidelines, by integrating compliance checks during the audit planning and reporting phases, and by maintaining documentation to safeguard legal compliance throughout the audit process.
– Key Performance Indicators (KPIs) and Controls: Defines KPIs such as audit planning effectiveness, evidence collection completeness, and issue identification rate, with controls like regular audit training, stakeholder engagement, and detailed compliance review processes to enhance audit effectiveness and compliance.
– RACI Framework: Clearly defines roles and responsibilities for each task in the audit process, ensuring that audit managers, audit teams, and stakeholders are accountable and involved at every stage.
– Systems Requirements: Details the necessary systems, including an Audit Management System, Evidence Collection Tools, Control Assessment Frameworks, and a Reporting and Feedback Platform, to support the audit process and ensure seamless collaboration, reporting, and monitoring.
– Appendices: Provides practical resources such as audit planning checklists, audit findings presentation templates, and real-life case studies to guide users through each stage of the internal audit process effectively.